Pre-Holiday Consumer Sentiment Toward Tech Spending Suggests 'Wait and See' Approach as Holiday Season Nears
Positive sentiment toward overall economy provides reason for optimism
Arlington, Va., October 28, 2014 - The latest data released today by the Consumer Electronics Association (CEA) shows consumer confidence toward technology spending in October slipped, while sentiment toward the overall economy increased.
The CEA Index of Consumer Technology Expectations (ICTE), which measures consumer expectations about technology spending, decreased by 3.2 points in October to reach 87.
"Sentiment toward technology spending suggests some tech buying was pulled into September with recent product releases," said Dr. Shawn DuBravac, CEA's chief economist and senior director of research. "The decline was surprising considering a solid economic outlook, but suggests consumers are taking a 'wait and see' approach, building up for November and the holiday shopping surge."
The CEA Index of Consumer Expectations (ICE), which measures consumer expectations about the broader economy, increased 5.3 points from last month to reach 174 in October.
"Overall sentiment toward the economy is showing surprising resiliency in the face of continued geopolitical concerns, as well as volatility in the domestic financial markets," said DuBravac. "Signs that consumers are shrugging off uncertainty supports a positive holiday outlook overall."
According to CEA's 2014 overall holiday outlook, total tech spending will increase 2.5 percent (up from 0.9 percent growth in 2013) to reach $33.76 billion, the highest levels of consumer spending on tech since CEA began tracking holiday spending in 1994. To view CEA's full 2014 holiday outlook, visit CE.org/holiday.
The CEA Indexes are updated on a monthly basis through consumer surveys. New data is released on the fourth Tuesday of each month. To find current and past indexes, charts, methodology and future release dates, log on to CEAindexes.org.
The Consumer Electronics Association (CEA) is the technology trade association representing the $211 billion U.S. consumer electronics industry. More than 2,000 companies enjoy the benefits of CEA membership, including legislative advocacy, market research, technical training and education, industry promotion, standards development and the fostering of business and strategic relationships. CEA also owns and produces the International CES - The Global Stage for Innovation. All profits from CES are reinvested into CEA's industry services. Find CEA online at CE.org, DeclareInnovation.com and through social media: CEA Social Media