Overall Indian consumer confidence has dropped slightly, says the second MasterIndex of consumer confidence survey conducted by MasterCard International across the South Asia, Middle East and Africa Region.
India's MasterIndex rating fell from 63.5 in February 2004 to 58.0 in August 2004, out of a possible index of 100.
The scores are based on respondent answers to questions related to five factors: employment, economy, regular income, stock market and quality of life.
The fall in Indian consumer confidence is attributed to consumers being less positive on three out of the five factors -- quality of life, economy and stock market -- with index scores falling by 21.0 per cent; 5.6 per cent and 4.1 per cent, respectively.
Conducted bi-annually, the survey analyses consumers' perceptions on economic conditions over the next six months in seven selected markets in South Africa, Egypt, Kuwait, Lebanon, Saudi Arabia, the United Arab Emirates and India.
Regular income scores have also shown a slight dip of 0.6 per cent. Sentiments on employment improved slightly, moving up by 3.8 per cent, but are still considered pessimistic.
Announcing the results, Nitin Gupta, vice president and general manager, MasterCard International, South Asia, said, " The survey helps our member financial institutions to understand their customers better. It is also a useful tool in anticipating future market trends and devising better business strategies with which to meet them."
Of the seven countries researched in the region, Saudi Arabia has led the way with a highly optimistic score of 98.4, followed closely by Kuwait (90.6) and United Arab Emirates (83.0). Overall consumer confidence in Egypt and Lebanon remains as low as the previous period with 37.0 and 32.5 scores, respectively.
In the second MasterIndex research survey conducted in August this year, consumer sentiment in the SAMEA region as a whole improved slightly rising from 65.8 to 69.8 in the first half of 2004.
MasterIndex was originally introduced in the Asia Pacific region and has grown in relevance and reputation over the past decade. The survey has proven to be an excellent barometer of the general consumer pulse in Asia Pacific and is much sought after by analysts, academics, and decision-makers in financial institutions, government agencies and multinational organisations.
