Kiwis say 'crisis, what crisis?'

Kiwis' "she'll be right" attitude has extended to our outlook on the global economic crisis, with only a quarter worried about their financial future, according to a recent international survey.

A survey by advertising giant M&C Saatchi found that only 25 percent of New Zealanders were pessimistic about the current economic climate compared with 64 percent of Britons and 36 percent of Australians.

M&C Saatchi New Zealand chief executive Nick Baylis said the survey was good news for businesses in New Zealand.

"Consumption is driven by consumer demand and psychology, and the comparatively optimistic outlook that New Zealanders have shows there is still opportunity out there for brands that are able to best align themselves with the wider mood of the nation."

The survey also identified eight different types of consumers ranging from "Vultures" who were looking to exploit the economic crash, to "Ostriches" who are in denial of the crisis.

Mr Baylis said businesses should be buoyed by the attitudes of Kiwi consumers.

"The downturn need not be downtime for brands and consumers'" he said.

"By understanding the shifts we have identified in people's behaviour and reacting accordingly, brands and retailers can thrive in the current climate."

Eight consumer types as identified by M&C Saatchi;

Justifiers (23.3 percent)

Justifiers are high income earners who like to spend but need an excuse. They are said to believe they have changed their spending habits but have not made any significant sacrifices.

Scrimpers (20.3 percent)

Scrimpers are trading down. They are not making any great sacrifices but are spending less than usual on things like holidays and groceries. Scrimpers are likely to have children under 16 and live within the Auckland region.

Crash dieters (15.7 percent)

Crash dieters are reacting dramatically to the squeeze by ceasing expenditure on non-essential items and looking for bargains.

They tend to be 24 to 34 and 45 to 54-year-old middle-income earners who are pessimistic about the economy and their own finances.

Treaters (11.3 percent)

Treaters are those who traditionally struggle with controlling their spending and like to reward themselves for any sacrifices they make. They are likely to be 65 years of age and above, retired and optimistic about the economy and their financial circumstances

Ostriches (10.3 percent)

Ostriches are said to be in denial and refuse to compromise their behaviour. They tend to be 35 to 44 years old high-income earners who are financially secure but not willing to take risks with their money.

Abstainers (8.3 percent)

Abstainers have not stopped spending, but have postponed large purchases. They are likely to be skilled workers with low household income

They are said to be cutting back in reaction to the recession, and trying to stretch their income.

Clothcutters (6.7 percent)

Clothcutters are making compromises in their lifestyles for example not buying a new car so they can still spend on a holiday.

They tend to be part-time workers with lower household income, and are single

Vultures (4 percent)

Vultures are looking to exploit the economic crash and are particularly active in the property market. They tend to be high-income skilled professional males who are optimistic risk takers.

 

- © Fairfax NZ News