Due to the inflation…
New Delhi: High inflation hit the disposable income of nearly 40% of urban Indians over the last 12 months, but the decline in the country was among the lowest when compared with other international markets, as per a survey by YouGov.
Globally, 50% of consumers polled in 18 markets said high inflation caused a net decrease in their disposable incomes.
About 25% of the over 1,000 respondents in urban India saw a net increase in their disposable incomes, while globally only 14% reported the same.
Disposable income is the money left with a household after taxes and expenses related to housing and fuel.
YouGov studied the impact of rising prices of everything from electricity to fuel and daily goods across 18 markets.
High inflation is widespread and, in many countries, prices are rising faster than household incomes, it said.
As a result, consumers are apprehensive about their own finances and their shopping habits are changing as they adapt to this increasingly volatile situation.
Meanwhile, 66% of those surveyed in India are “worried” about their future spending. This is slightly higher than the global average of 62%.
Our data shows that Italy, Poland, and Spain have the highest ratio of concern, with more than three-quarters of consumers worried about the impact of inflation on their spending power. In contrast, Denmark, China, and Sweden are the least worried.
In Great Britain, almost the same volume of consumers who saw their spending power decrease in the last year are worried about the 12 months ahead.
For most countries (except for Sweden, China, and Denmark), future concern over the impact of inflation on spending outweighs the decline in disposable income in the last 12 months.
China is one of the countries with lower rates of inflation which also reflects in lower levels of concern about the months ahead," it said.
As high inflation eats into household budgets, consumers are also seeking deals and discounts.
In fact, 45% of Indians surveyed said they compare prices either online or in-store or use discount coupons to make purchases; 42% wait for items to come on sale.
Nearly 40% of those surveyed said they shop at a budget store to reign in on expenses.
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