Consumer confidence in technology reached its highest level of the year in September, according to the latest CEA Index released by the Consumer Electronics Association (CEA). The CEA Index also showed that consumer confidence in the overall economy improved this month.
Consumers’ confidence to spend on technology reached its highest September level in the history of the CEA Index and its fifth highest level for any single-month period. The CEA Index of Consumer Technology Expectations (ICTE) rose 4.9 points this month, reaching 92.4. The ICTE, which measures consumer expectations about technology spending, is 10.5 points higher year-over-year and is at its highest level since December 2011.
“There were several key high-tech product announcements this month which served as an important catalyst for tech buying heading into the fourth quarter and the holiday shopping season,” said Shawn DuBravac, CEA’s chief economist and senior director of research. “This month’s measure of sentiment is at levels typically only seen during the height of the holiday buying season, an indication that consumers are likely to buy and spend more on tech in the weeks ahead.”
Consumer sentiment toward the overall economy also rose in September. The CEA Index of Consumer Expectations (ICE) increased 3.5 points from August, reaching 172.2. The ICE, which measures consumer expectations about the broader economy, is nearly 15.4 points higher than this time last year.
“Despite rising gas prices, uncertainties overseas, domestic elections and the slow recovery of the U.S. economy, an improved stock market and an increase in housing prices has consumers feeling more confident about their financial future,” said DuBravac. “The wealth effects are real and will help consumers feel as if they are on firmer ground financially.”
The CEA Indexes comprise the ICE and ICTE, both of which are updated on a monthly basis through consumer surveys. New data is released on the fourth Tuesday of each month.
[Image Courtesy: CEA]