Consumer Confidence Highest in 13 Months, According to Latest CEA-CNET Indexes. Consumer Spending Remains Down
ARLINGTON, Va.–Consumer confidence in the overall economy increased in March to its highest level in more than a year, according to figures released today by the Consumer Electronics Association (CEA)® and CNET (www.CNET.com). Although consumers reported improved expectations for the broader economy, the CEA-CNET Indexes also show that technology spending continues to fall.
The CEA-CNET Index of Consumer Expectations (ICE) grew to its highest level since February 2008, reaching 173.1 in March. The ICE jumped nearly seven points from last month and ended three straight months of decline. The index, which measures consumer expectations about the overall economy, is also up nearly five points from this time last year.
“Consumers are feeling more confident and their overall expectations for the health of the economy are beginning to improve,” said Shawn DuBravac, CEA’s economist and director of research. “Americans continue to worry about their own job security but are feeling more confident that the economy will improve in the coming months.”
While consumers are gaining confidence in the overall direction of the economy, confidence in CE and technology dropped for the fourth straight month. The CEA-CNET Index of Consumer Technology Expectations (ICTE) fell to 67.2, a drop of more than a point from last month, marking the lowest level of the ICTE since its inception in January of 2007. The ICTE, which measures consumers’ confidence in consumer electronics and technology, is down more than 16 points from this same time last year.
“With recent increases in the stock market and some signs of firming in the real estate market, consumers are beginning to indicate they’ll be better off financially over the next year,” said DuBravac. “Still, until consumers are more confident in an economic recovery, we expect consumer spending to remain muted.”
The CEA-CNET Indexes are comprised of the ICE and the ICTE, both of which are updated on a monthly basis through consumer surveys. New data is released on the fourth Tuesday of each month. CEA and CNET have been tracking index data since January 2007. To find current and past indexes, charts, methodology and future release dates, log on to www.CEACNETindexes.org.
About CNET:
CNET (www.CNET.com), a property of CBS Interactive, is where people go to discover the latest in tech and consumer electronics. Driven by a trusted voice and a passionate community, CNET creates an open environment for people to find and use the best products to fit their lifestyle. The powerful combination of CNET’s award-winning news, lab-tested product reviews, safe and spyware-free downloads, and user-generated content give people information and inspiration to live and thrive in a life gone digital.
About CEA:
The Consumer Electronics Association (CEA) is the preeminent trade association promoting growth in the $173 billion U.S. consumer electronics industry. More than 2,200 companies enjoy the benefits of CEA membership, including legislative advocacy, market research, technical training and education, industry promotion and the fostering of business and strategic relationships. CEA also sponsors and manages the International CES – Where Entertainment, Technology and Business Converge. All profits from CES are reinvested into CEA’s industry services. Find CEA online at www.CE.org.
UPCOMING EVENTS
* Digital Patriots Dinner
April 22, 2009, Washington, DC
* CEA Washington Forum
April 22-23, 2009, Washington, DC
* LA Games Conference
April 28-29, 2009, Hollywood, CA
* CONNECTIONSTM: The Digital Living Conference and Showcase
June 2-4, 2009, Santa Clara, CA
* Digital Downtown
June 10-12, 2009, New York, NY
* 13th Annual CEO Summit
June 17-20, 2009, Dana Point, CA
* 2009 SINOCES
July 9-12, 2009, Qingdao, China
* 2009 CEA Industry Forum
October 18-21, 2009, Phoenix, AZ
* CES New York Press Preview featuring CES Unveiled @ NY
November 10, 2009, New York, NY
* 2010 International CES
January 7-10, 2010, Las Vegas, NV
Contacts
Consumer Electronics Association (CEA)
Steve Kidera, 703-907-4358
skidera@CE.org
www.CE.org
or
CNET
Jenifer Concepcion, 415-344-2441
Jenifer.Concepcion@cbs.com
www.CNET.com
