MORE Filipinos expect their income to increase in the next 12 months, with many citing recovery from the economic effects of the pandemic as their main reason for optimism this year, a recent survey revealed.
TransUnion polled 1,078 adults in the Philippines in February this year to measure changing consumer attitudes and behavior based on the dynamics of income, debt and identity theft. The survey, called Q1 2022 Consumer Pulse Study of TransUnion, showed that 75 percent of surveyed Filipinos expected their household income to increase. About 36 percent of the respondents said their household income has already increased in the last three months.
The company conducted the study from February 8 to 23, 2022 with respondents from Gen Z (born 1995-2004), Millennials (born 1980-1994), Gen X (born 1965-1979), and Baby Boomers (born 1944-1964).
“The survey results reflect the lessons Filipinos learned following the Covid-19 pandemic,” TransUnion said in its report.
In particular, 51 percent of respondents said in the last three months they saved more in an emergency fund, 45 percent cut back on expenses for dining out, travel, and entertainment, and 28 percent added to or expanded digital services like wireless and Internet.
Over the next three months, consumers expect their spending on the following to increase: medical care/services (44 percent), retail shopping (37 percent), and retirement funds and investing (35 percent).
Also, the survey showed that while all generations believe that it is important to have access to credit and lending products to achieve their financial goals, it is the younger Filipinos—or the Gen Z —who view credit as an “essential” part of their everyday lives.
Nearly half of the respondents (46 percent) who are planning to apply for credit in the next year are Gen Z.
“From optimism about improved household incomes to anticipated increased spending in key areas, Filipinos are increasingly bullish about our recovery from the global pandemic,” TransUnion Philippines President and Chief Executive Officer Pia Arellano said.
“By conducting this study quarterly and making the results public, TransUnion Philippines harnesses information and insights to provide a comprehensive understanding of the changing attitudes and situation in the country. This can help better inform consumers, businesses, policy-makers and other stakeholder decisions as the Philippines moves toward economic growth,” Arellano added.