NDP Survey: November Results Show Consumers in No Rush to Spend
	With the distraction of the Presidential election behind us and the holiday season upon us, will consumers rebound? The November results of NPD's Consumer Spending Indicator suggest consumers are not ready to head back to the stores, at least not yet.
The percentage of consumers who believe the economy is in a downturn increased again last month. In April, 84% of respondents said they felt the economy was either in or headed for a recession, in November that number increased to 91%. 'Off-hand, that 7% increase may not sound like a lot,' said Marshal Cohen, chief industry analyst, The NPD Group, Inc., 'but when you turn the spending faucet of 14 million people off, that 7% from April to November represents trillions of dollars.' Are consumers motivated by all the sales retailers held during the preceding month? The number of consumers that say they would take advantage of sales or coupons has remained relatively steady since July. 'So those huge sales that were designed to lure the customer in really don't seem to have had much of an impact. They aren't bringing the consumer's back in to shop,' said Cohen. Which of the Following Money-Saving Promotional Events And/Or Programs, If any, Do You Think You Are More Likely to Take Advantage of Either Now or in the Coming Months? Story continues below ↓ Advertisement Where do consumers say they will be cutting back? Most tell NPD that their cutting back will be on dining out. Fifty-seven percent of respondents say they are looking to spend less there. That is followed by cuts in spending on apparel. In the November Consumer Spending Indicator, 52% of respondents said they would cut back on apparel spending. Consumers have shown a continual decline in their desire to spend on apparel, with a 7 point decline since April. Furniture was in the No. 3 spot with 49% stating they plan to spend less. The same categories that were the least vulnerable in last month's study remain so in the current month's study with one slight change. Video games and toys remain steady while beauty is being edged out of the No. 3 spot. Video games take the top spot as the least likely to see cut backs in consumer spending with 32%, followed by toys at 36%. This month, however, movies took the number three spot at 39%. Beauty slipped to forth this month at 41%. 'But beauty is still showing that women remain loyal to their regimen even in tough times,' noted Cohen. As previously noted, an important measure of how consumers are fairing is how secure they feel about their jobs. Here there is a sign of caution. In July, 25% of respondents said they were not concerned about their jobs, but in November 19% say they are not concerned. 'This is a number I watch very closely,' stated Cohen. 'I think it is the best indication of consumer behavior and now, what with the stock market, the political market, the media market and now, the job market we are seeing an all time low here.' Methodology: The NPD Group fielded this study using Fast Checks. This Fast Checks survey was fielded to a nationally representative sample of 2,000 men and women ages 18 and older. The data has been weighted. The data presented in this report was collected from approximately 800 total respondents. The November survey was fielded 6th to 13th, 2008. This study is now in its eighth month. NPD's Fast Checks surveys are quick, flexible, and budget-conscious online surveys.