consumer confidence

Examples of consumer confidence in the following topics:

• Consumer Income, Purchasing Power, and Confidence

  • Consumer confidence is an economic indicator which measures the degree of optimism that consumers feel about the overall state of the economy and their personal financial situation.
  • In essence, if the economy expands, causing consumer confidence to be higher, consumers will be making more purchases.
  • The ability to predict major changes in consumer confidence allows businesses to gauge the willingness of consumers to make new purchases.
  • On the other hand, if consumer confidence is improving, people are expected to increase their purchases of goods and services.
  • Consumer confidence is formally measured by the Consumer Confidence Index (CCI), a monthly release designed to assess the overall confidence, relative financial health and spending power of the US average consumer.

• Economic Indicators

  • If the number of claims is rising, it signals trouble ahead because unemployed consumers can't buy as many goods and services as they could if they were working and had paychecks coming in.
  • The Conference Board also publishes a consumer confidence index based on results of a monthly survey of 5,000 U.S. households.
  • The survey gathers consumers' opinions on the health of the economy and their plans for future purchases.
  • It's often a good indicator of consumers' future buying intent.
  • For information on current consumer confidence, go to the CNN Money website (CNNMoney.com), click on the "Business" section, and click on "Economy" and on "Consumer Confidence."

• The Federal Deposit Insurance Corporation (FDIC)

  • The Federal Deposit Insurance Corporation is an independent agency whose mandate is to maintain stability and public confidence in financial system.
  • Curry (Comptroller of the Currency), and Richard Cordray (Director, Consumer Financial Protection Bureau).
  • The Federal Deposit Insurance Corporation (FDIC) is an independent agency created by the Congress to maintain stability and public confidence in the nation's financial system by insuring deposits, examining and supervising financial institutions for safety and soundness and consumer protection, and managing receiverships.
  • The FDIC promotes public confidence in the United States financial system by insuring depositors for at least $250,000 per insured bank.
  • United States banks and credit unions are closely regulated and supervised to ensure that consumer money is safe.

• Basic Consumer Rights

  • Basic consumer rights ensure a level of protection for consumers owed by a supplier of goods or services.
  • Kennedy presented a speech to the United States Congress in which he extolled four basic consumer rights -- later called, The Consumer Bill of Rights .
  • To acquire knowledge and skills needed to make informed, confident choices about goods and services, while being aware of basic consumer rights and responsibilities and how to act on them.
  • That's where consumer protection comes in.
  • Kennedy extolled four basic consumer rights, later called the "Consumer Bill of Rights. "

• Confidence intervals exercises

  • If a higher confidence level means that we are more confident about the number we are reporting, why don't we always report a confidence interval with the highest possible confidence level?
  • The 2009 holiday retail season, which kicked off on November 27, 2009 (the day after Thanksgiving), had been marked by somewhat lower self-reported consumer spending than was seen during the comparable period in 2008.
  • To get an estimate of consumer spending, 436 randomly sampled American adults were surveyed.
  • Daily consumer spending for the six-day period after Thanksgiving, spanning the Black Friday weekend and Cyber Monday, averaged $84.71.
  • (e) A 90% confidence interval would be narrower than the 95% confidence interval.

• Confidence Intervals

  • These sections show how to compute confidence intervals for a variety of parameters.

• Introduction

  • If you worked in the marketing department of an entertainment company, you might be interested in the mean number of compact discs (CD's) a consumer buys per month.
  • The 95% confidence interval is (1.8, 2.2).
  • The 95% confidence interval implies two possibilities.
  • The margin of error depends on the confidence level or percentage of confidence.
  • NOTE : Although the text only covers symmetric confidence intervals, there are non-symmetric confidence intervals (for example, a confidence interval for the standard deviation).

• Level of Confidence

  • The proportion of confidence intervals that contain the true value of a parameter will match the confidence level.
  • The level of confidence of the confidence interval would indicate the probability that the confidence range captures this true population parameter given a distribution of samples.
  • This value is represented by a percentage, so when we say, "we are 99% confident that the true value of the parameter is in our confidence interval," we express that 99% of the observed confidence intervals will hold the true value of the parameter.
  • In applied practice, confidence intervals are typically stated at the 95% confidence level.
  • However, when presented graphically, confidence intervals can be shown at several confidence levels (for example, 50%, 95% and 99%).

• Interpreting confidence intervals

  • A careful eye might have observed the somewhat awkward language used to describe confidence intervals.
  • Incorrect language might try to describe the confidence interval as capturing the population parameter with a certain probability.
  • Another especially important consideration of confidence intervals is that they only try to capture the population parameter.
  • Our intervals say nothing about the confidence of capturing individual observations, a proportion of the observations, or about capturing point estimates.
  • Confidence intervals only attempt to capture population parameters.

• B2B vs. Consumer Marketing: Similarities and Differences

  • B2B markets to individuals acting on behalf of organizations, while consumer marketing targets single individuals who pay for their own transactions.
  • Consumer marketing, or business-to-consumer (B2C) marketing, sales are made to individuals who are the final decision makers, though they may be influenced by family members or friends.
  • Whereas emotional factors play a large role in B2C purchases, B2B purchasing decisions tend to be less emotional and more task-oriented than consumer buyer markets.
  • As a result, confidence and trust are gradually built between the seller and buyer over a period of time.
  • The evaluation and selling process for B2B purchases are longer and more complex than consumer purchases.