Inflation, 11.05 per cent at last count, seems to have dented Indian consumers’ confidence, but they’re not hitting the panic button. A survey by consultancy firm AC Nielsen shows the Indian consumer confidence index down 13 points to 122, but it’s still the second highest in the world. Norway tops the list at 129.
The others don’t feel that optimistic, the global index is down to 88, with Americans, Latvians and New Zealanders high on the pessimism chart.
The index is calculated on basis of answers to questions on job outlook, state of personal finance and whether it’s a good time to buy something. The survey covered 500 people each in the 51 countries it was conducted in.
Sarang Panchal, AC Nielsen’s managing director of research for Asia and Australia, said Indians are shopping more and the country is among the top three brand-conscious markets. “Good jobs, hefty pay packets and exposure to lifestyle are pushing Indians towards luxury items.”
The survey says Indians are optimistic about employment too. Around 26 per cent felt job market in India is excellent, while 60 per cent felt it was good. Sixty nine per cent were worried about inflation, but 58 per cent said the country was not in the midst of a recession.
India is one of the few markets that can benefit from a global recession—cost-cutting in the developed world would lead to more outsourcing.