Passion for leisure
A view of the UK leisure consumer – Q3 2017
Leisure consumers continue to cut back on spending in the third quarter of 2017. Our review also highlighted that almost every leisure category has seen a decline in spending since Q3 2016, indicating that consumers are more cautious compared to last year.
- Year-on-year fall in leisure spending across almost every leisure category, indicating that consumers are more cautious than last year.
- Eating and drinking out, in-home leisure and culture and entertainment see the biggest falls since Q3 2016.
- 18-34 year-old consumers are feeling the pinch more than any other age group.
- Spending intentions for this age group are also lower than last year across the majority of leisure categories.
- By contrast, the 55s and over are seemingly less affected by cost pressures.
- But they are starting to show signs of cutting back on their future leisure spending, most significantly on holidays.
- The well documented combination of rising inflation and minimal real wage growth has certainly impacted younger leisure consumers more than any other age group.
- As a result, millennials are reprioritising their leisure spending towards big ticket items, such as holidays and live sports.
The combination of rising inflation and lower wage growth is stretching disposable incomes and causing consumers to rethink their expenditure. It is no surprise that we are seeing UK consumers tightening their belts.
As the fourth quarter progresses and we enter the festive period, we expect UK consumers to cut back on spending as they feel the squeeze in their disposable income, a sentiment echoed in our retail market report, Consumer Tracker, Q3 2017.