A good time to spend, but paying debt comes first

A survey has come up with good news for marketers - nearly 60 per cent of people think the coming year is a good time to spend.

That put New Zealand second only to India in an ACNielsen survey of more than 7000 consumers in 13 economies across the Asia-Pacific region.

The bad news for marketers was the amount of spare cash destined to pay off debts.

Despite being among the most pessimistic about the performance of their economy over the next 12 months, New Zealanders' spending plans were supported by the second-highest level of consumer confidence in the region. Kiwis and Indians were the most positive about their job prospects and personal finances.

The most popular choice for discretionary spending was debt repayment: 43 per cent of New Zealand respondents ticked that box, compared with a regional average of 30 per cent.

Savings were the next most popular choice, but only for 33 per cent of New Zealand respondents compared with a regional average of 51 per cent.

About 25 per cent of New Zealanders surveyed chose to spend some of their spare money on entertainment outside the home, making it the third most popular option for discretionary spending.

But entertainment was still a less popular choice in New Zealand than across the region, where almost a third of respondents chose it.

Kiwis also planned to spend less than the regional average on holidays, which 22 per cent of New Zealand respondents chose, new technology (18 per cent) and spending on new clothes (17 per cent).

The most marked difference in attitudes was evident in the dearth of New Zealanders who planned to spend some of their spare cash on shares.

Just 3 per cent had such plans, while 19 per cent of respondents across the region said they would invest.

In contrast, home improvements and decorating attracted positive responses from 22 per cent of New Zealand respondents, compared with 15 per cent on average across the region.

Popular choices for spending

After paying essential living expenses, the most popular choices for discretionary spending were:

* Paying debts.
* Saving.
* Out-of-home entertainment.
* Home improvements.
* Holidays.
Source: ACNielsen