Australia - Ferratum

What is Ferratum Christmas Barometer 2017?

Since 2014, Ferratum Group has been asking its customers to share their spending habits. The survey is conducted twice a year — once during the Summer holidays and, again, just before Christmas.

The purpose of the survey is to review our customers´ spending behaviours during the holidays, what types of purchases will be made, and how spending differs between countries. The survey also explores how people plan to spend their Christmas holidays, which country will be spending the most money during the season, who will be using Airbnb for their accommodation, and which countries prefer online shopping more to shopping marathons.

In our seventh and largest survey to date, with over 21,000 respondents, we’re excited to share our findings of Christmas spending behaviour across the globe in the FERRATUM CHRISTMAS BAROMETER 2017™

Ferratum Australia was part of the seventh holiday survey where we’re looking at Christmas spending in the FERRATUM CHRISTMAS BAROMETER 2017™.

THE LARGEST FERRATUM INTERNATIONAL CHRISTMAS SURVEY COMPARES CONSUMER BEHAVIOUR IN 20 COUNTRIES

Over 21,000 households participated in Ferratum Group’s Christmas Barometer™, which was carried out for the fourth successive year. So what are the most popular gift purchases, and which country will be spending the most this Christmas? Will people make their Christmas purchases online or via traditional retail? Who really spends more on drinks during the festive season, us or our Kiwi neighbours? And, how many Aussies are really planning to use AirBnB this year?

Our results show that 20% will be increasing their spending, while nearly 50% of households will be spending as much on gifts and celebrations as they did last Christmas.

Spending Trends

According to the results in our 2017 Christmas Barometer™, the top Christmas spenders this year will be Mexico (34.6%), Romania (31.9%), Spain (29.6%), and Brazil (28.2%). At the other end of the scale, we can find Croatia (14.4%), Norway (13.4), Finland (12.3%), and the Netherlands (11.8%) who will retain their position from last year as the lowest spenders during Christmas.

Our survey shows that Christmas spending will be high in both New Zealand and Australia with households from both countries allocating 22%-23% of their monthly salary on Christmas.„At a time when we keep hearing that families are doing it tough, it is very interesting to see Australian’s plan to spend more than 22% of their income on items such as toys, clothing and alchohol this year“, said Mr James Logan, Country Manager, Australia.

Christmas spending relative to disposable household income

SPENDING IN RELATION TO OTHER COUNTRIES

Mexico

198 34.6%
Romania

182 31.9%
Spain

169 29.6%
Brazil

161 28.2%
Bulgaria

137 24%
New Zealand

135 23.6%
Australia

128 22.4%
UK

126 22.1%
Poland

121 21.2%
Czech

115 20.2%
Canada

105 18.4%
Grand Total

100 17.5%
Estonia

99 17.3%
Latvia

97 17%
Sweden

84 14.6%
Croatia

82 14.4%
Norway

77 13.4%
Finland

70 12.3%
Germany

68 11.9%
Denmark

68 11.8%
Netherlands

68 11.8%

International Christmas spending 2017

Clothing

17.5%
Toys & Games

13.7%
Sweets and delicacies

12%
Consumer electronics

9.1%
Cosmetics

8.5%
Gift cards

7.9%
Household utensils

6.4%
Alcohol

5.8%
Travelling

5.6%
Books

5.3%
Sports and other hobby gear

4.2%
Well-being services, spa

2.8%
Musical instruments

1.1%

Household Christmas spending forecast 2017

Same as last Christmas

48.8%
Less than last Christmas

30.2%
More than last Christmas

20.9%

Staying Mobile

As well as being some of the biggest spenders this year, Australian’s plan to take their finances mobile, with a staggering 91.1% of Australian respondents saying they will use mobile banking this Christmas, more than any other country in the survey.

More than 50% of survey participants will be using cards over cash to pay for Christmas. 70% of those in Norway and Sweden chose card as their preferred method of payment.

When it comes to banking, over 60% of all respondents said they would use mobile banking for their daily transactions. More than 80% of respondents in Australia, New Zealand, Netherlands, Sweden, Norway, and Canada said they would be using mobile banking during Christmas.

Where Are People Shopping And What Are They Buying?

Similar to last year, the number of households shopping online will be around 25%. Germany, UK and the Netherlands are the most digital savvy when it comes to purchasing Christmas gifts online, while Croatia, Latvia and Mexico are the most traditional, preferring, physical retail for their Christmas shopping.

What's most important during Christmas time?

Spending time with family/loved ones

70.4%
Enjoying Christmas spirit/feast

19.1%
Christmas is not so special for me

5.1%
Getting Christmas gifts

3.1%
Something else

1.5%
Enjoying wintersports

0.8%

Index of online purchases during Christmas:

Germany

45.4%
UK

38.6%
Netherlands

32.6%
Sweden

31.2%
Canada

27.1%
Denmark

27%
Czech

26.9%
Norway

26.8%
Australia

25.5%
Spain

24.9%
Romania

24.3%
Poland

23%
Bulgaria

21.7%
New Zealand

19.6%
Brazil

19.3%
Finland

18%
Estonia

16.5%
Croatia

15.6%
Latvia

15%
Mexico

14.4%

Expenditure allocated for travelling

Brazil

30%
Romania

28%
New Zealand

27.8%
Bulgaria

21.4%
Australia

20.4%
Spain

20.4%
Mexico

19.9%
Sweden

18.9%
Finland

18.7%
Denmark

17.6%
Estonia

16.8%
Czech

16.7%
Norway

16.1%
Croatia

16.1%
Poland

15.3%
Canada

14.6%
Latvia

14.4%
UK

13.7%
Germany

12%
Netherlands

8.7%

When travelling, how much do you prefer card payments over cash transactions?

Sweden

69.3%
Norway

69.1%
New Zealand

62.1%
Denmark

61.9%
UK

60.7%
Australia

59.2%
Spain

58.6%
Latvia

57%
Canada

56%
Finland

54.5%
Germany

53.1%
Estonia

53%
Netherlands

51.3%
Czech

49.8%
Romania

49.6%
Bulgaria

47%
Poland

42.2%
Croatia

41%
Brazil

35.3%
Mexico

33.3%

Households utilising mobile banking services during Christmas time

Australia

91.1%
New Zealand

87.2%
Netherlands

85.7%
Sweden

85%
Norway

84.3%
Canada

81.1%
UK

79.6%
Brazil

64.6%
Croatia

63.8%
Finland

63.7%
Czech

61.3%
Poland

60.2%
Spain

60%
Germany

57.7%
Romania

54.2%
Estonia

49.3%
Latvia

48%
Bulgaria

46.1%
Mexico

44.6%
Denmark

44.2%

Households planning to utilise AirBnB services during holidays

Romania

40.4%
Germany

35.1%
Estonia

23.9%
Denmark

21.1%
Croatia

19.9%
Netherlands

18.7%
Latvia

17.5%
Canada

16.3%
Bulgaria

15.1%
Australia

15.1%
New Zealand

13.8%
Brazil

12%
Mexico

11.8%
Sweden

11.3%
Norway

11.1%
Spain

9.7%
Czech

8.8%
UK

8.4%
Finland

8.3%
Poland

4.4%

Holiday financing preferences:

With savings

57.6%
Partly with Ferratum Loans

19%
Partly with credit cards

14.4%
Partly with consumer credit

5.5%
Partly with loans from other financial institutions

3.4%

How soon do you think you will able to pay back the loans used for holiday spendings?

In less than a half year

11.1%
In three months

9.8%
In two months

8.2%
In one month

6.9%
In a longer time that half year

5.9%

Top Christmas spending behaviour:

So, what do people expect to get for Christmas this year? 17.5% of respondents put clothes at the top of the list making it the most popular item to give and recieve. Toys and games (13.7%), sweets (12%), and consumer electronics (9.1%) were other popular choices.

Respondents from eleven countries said they prefered clothing as Christmas gifts. Finland (17.5%) and Croatia (23.9%) will spend a large portion of their Christmas budget on sweets and delicacies, while respondents in the UK, Sweden, Australia, and Estonia said they´ll be spending 20% of their Christmas budget on toys and games.

„Three quaters of Australians still plan to do their Christmas shopping at brick-and-mortar stores, that shocked me. Perhaps we’re only seeing the tip of iceberg in Australia with the online disruption to retail, a scary thought“, said Mr Logan.

Australia

Toys & Games

20.1%
Clothing

17%
Alcohol

11.6%
Gift cards

11.6%
Consumer electronics

10.3%

Spending in relation to other countries: 128 (FE group = 100)
Spending relative to household income: 22.4% (751.18 €)

Bulgaria

Clothing

17%
Consumer electronics

13.7%
Toys & Games

13.4%
Travels

11.7%
Sweets and delicacies

11.5%

Spending in relation to other countries: 137 (FE group = 100)
Spending relative to household income: 24% (217.96 €)

Brazil

Clothing

27%
Travels

16.5%
Toys & Games

10%
Household utensils

9%
Consumer electronics

8.8%

Spending in relation to other countries: 161 (FE group = 100)
Spending relative to household income: 28.2% (408.18 €)

Canada

Clothing

20%
Gift cards

17.6%
Toys & Games

15.4%
Consumer electronics

13.1%
Alcohol

6.7%

Spending in relation to other countries: 105 (FE group = 100)
Spending relative to household income: 18.4% (582.84 €)

Czech

Clothing

20.8%
Toys & Games

17.7%
Cosmetics

11.9%
Consumer electronics

11.3%
Household utensils

10%

Spending in relation to other countries: 115 (FE group = 100)
Spending relative to household income: 20.2% (273.01 €)

Germany

Books

14.5%
Sweets and delicacies

13.2%
Gift cards

12.1%
Toys & Games

11.8%
Consumer electronics

9.7%

Spending in relation to other countries: 68 (FE group = 100)
Spending relative to household income: 11.9% (371.86 €)

Denmark

Clothing

20.8%
Gift cards

12.2%
Sweets and delicacies

11.8%
Consumer electronics

11.3%
Toys & Games

10.2%

Spending in relation to other countries: 68 (FE group = 100)
Spending relative to household income: 11.8% (435.10 €)

Estonia

Toys & Games

18.8%
Sweets and delicacies

18.1%
Gift cards

11.3%
Clothing

9.8%
Well-being services, spa

7.8%

Spending in relation to other countries: 99 (FE group = 100)
Spending relative to household income: 17.3% (246.78 €)

Spain

Clothing

24.2%
Toys & Games

16%
Consumer electronics

12.1%
Travels

9.1%
Sweets and delicacies

8.7%

Spending in relation to other countries: 169 (FE group = 100)
Spending relative to household income: 29.6% (569.10 €)

Finland

Sweets and delicacies

17.5%
Clothing

14%
Toys & Games

11.5%
Gift cards

9.8%
Travels

9.7%

Spending in relation to other countries: 70 (FE group = 100)
Spending relative to household income: 12.3% (389.18 €)

Croatia

Sweets and delicacies

23.9%
Clothing

19.4%
Toys & Games

17.2%
Cosmetics

9.1%
Household utensils

5.9%

Spending in relation to other countries: 82 (FE group = 100)
Spending relative to household income: 14.4 % (200.51 €)

Latvia

Cosmetics

18.2%
Alcohol

15.4%
Gift cards

14.3%
Clothing

10.8%
Sports and other hobby gear

10.2%

Spending in relation to other countries: 97 (FE group = 100)
Spending relative to household income: 17% (171.97 €)

Mexico

Clothing

29.8%
Alcohol

16.6%
Consumer electronics

9.6%
Cosmetics

8.9%
Musical instruments

7.6%

Spending in relation to other countries: 198 (FE group = 100)
Spending relative to household income: 34.6% (192.04 €)

Netherlands

Clothing

19.3%
Sweets and delicacies

18.8%
Household utensils

13.9%
Musical instruments

9.5%
Well-being services, spa

7.3%

Spending in relation to other countries: 68 (FE group = 100)
Spending relative to household income: 11.8% (268.41 €)

Norway

Clothing

21.6%
Toys & Games

13.1%
Gift cards

11.9%
Sweets and delicacies

11%
Consumer electronics

7.9%

Spending in relation to other countries: 77 (FE group = 100)
Spending relative to household income: 13.4% (613.77 €)

New Zealand

Clothing

19.1%
Toys & Games

16.2%
Travels

14.6%
Sweets and delicacies

8.9%
Consumer electronics

8.1%

Spending in relation to other countries: 135 (FE group = 100)
Spending relative to household income: 23.6% (618.66 €)

Poland

Cosmetics

18.7%
Alcohol

16.8%
Clothing

15.3%
Household utensils

11.8%
Consumer electronics

8.7%

Spending in relation to other countries: 121 (FE group = 100)
Spending relative to household income: 21.2% (268.72 €)

Romania

Clothing

20.9%
Sweets and delicacies

19.4%
Toys & Games

12.7%
Consumer electronics

9.4%
Travels

9%

Spending in relation to other countries: 182 (FE group = 100)
Spending relative to household income: 31.9% (278.15 €)

Sweden

Toys & Games

19%
Clothing

18%
Consumer electronics

11.8%
Sweets and delicacies

11.5%
Gift cards

10.7%

Spending in relation to other countries: 84 (FE group = 100)
Spending relative to household income: 14.6% (557.05 €)

Toys & Games

19.8%
Clothing

19.5%
Consumer electronics

11.1%
Gift cards

9.5%
Sweets and delicacies

8.7%

Spending in relation to other countries: 126 (FE group = 100)
Spending relative to household income: 22.1 % (637.60 €)

How was Ferratum Group Christmas Barometer 2017 ™ conducted?

Over 21,000 households participated in the survey. Respondents were aged from 18 61+. 58.8% of participants were female. The average available net income of participating households was between €555 – €4,580. The average household size among respondents was 2.89 persons.

In addition to demographic factors, respondents were asked about their disposable monthly net income, how much they spend on Christmas, what activities they will be spending their money on, and if they are going to use Airbnb or a hotel while travelling during Christmas.
The survey used each country’s respective currency. Responses were evened out to reflect the respective purchasing power of each country. All survey respondents were anonymous.

About Ferratum Group:

Ferratum Group is an international provider of mobile banking and digital consumer and small business loans, distributed and managed by mobile devices. Founded in 2005 and headquartered in Helsinki, Finland, Ferratum has expanded rapidly to 25 countries across Europe, Africa, South and North America and the Asia-Pacific region.

As a pioneer in digital and mobile financial services technology, Ferratum is at the forefront of the digital banking revolution. Ferratum Mobile Bank, launched in 2016, is an innovative mobile banking platform offering a range of banking services, including real time digital payments and transfers, within a single app. It is currently available in five European markets. Led by its founder, Jorma Jokela, Ferratum has approximately 1.8 million active and former customers who have been granted one or more loans in the past (as at 30 September 2017).

Ferratum Group is listed on the Prime Standard of Frankfurt Stock Exchange under symbol ‘FRU.’ For more information, visit www.ferratumgroup.com.

Contacts:

Ferratum Australia

James Logan

Country Manager, Australia

T: +61 448 601 214

E: james.logan@ferratum.com.au

Ferratum Group

Emmi Kyykkä

PR Manager

T: +41 79 940 6315

E: emmi.kyykka@ferratum.com