National Consumer Agency Market Research Findings: Money Resolutions for 2011 and Coping with the Recession February 2011 Research Conducted by

2 Making Complaints  Key Points  Money Resolutions for 2011 and Coping with the Recession  Research Background & Methodology  Profile of Sample Table of Contents

3 Making Complaints Key Findings - I 61% indicated “Household income decreased since the same period in the previous year”: Of these: 31% = expenditure increased in the period 29% = expenditure remained the same Biggest financial worries for 2011: “not having enough money to meet day to day expenses” (32%) “not being able to meet unexpected expenses” (23%) Number one money resolution for 2011 “ budget better ” (33%)

4 Making Complaints Key Findings - II Percentage who experienced financial difficulty* in the past 12 months: payments on a credit card (13%) payments on a personal loan (14%) payments on a mortgage (12%) 56% budgeting more for household expenses. 44% spending more time ‘bargain hunting’ for groceries 36% spreading shopping across a greater number of shops 34% spending less on groceries overall * Defined as being 3 or more months behind with payments.

5 Making Complaints Key Findings - III Consumers’ economic outlook increasingly negative since the last wave of research (June 2010) : Almost 4 in 5 (77%, up 39%) disagree with the statement “Ireland will be through the worst of the recession in 12 months time”. Enduring lessons learnt: Almost 3 in 4 (72%) will continue to shop around for better deals when the economy improves.

6 Making Complaints Money Resolutions for 2011 and Coping with the Recession

7 Making Complaints Household Income & Expenditure - I Increased a lot since the same period last year (5) Increased a little (4) Remained the same (3) Decreased a little (2) Decreased a lot (1) INCOMEEXPENDITURE (Base: All aged – 1,000) () = June 2010 Don’t know % 61% 66% (-) (4) (29) (36) (26) (5) (6) (22) (15) (43) (9) (5)

8 Making Complaints Household Income & Expenditure - II Increased a lot since the same period last year (5) Increased a little (4) Remained the same (3) Decreased a little (2) Decreased a lot (1) % %Increased: Base is too Small to Analyse Stayed the same (%) % Decreased (%) EXPENDITURE: INCOME: (Base: All aged – 1,000) (62) (43) (4) Don't know = 4% (5% ) () = June % 16% 39%

9 Making Complaints No. 1 Money Resolution for 2011 (Base: All aged – 1,000) * All others 1% or less examples include enjoy life more, earn money, work more, continue same as last year. To budget better To save more Shop around for everything Reduce my debts Put more money into my pension Other* % Higher amongst C2DEs (36%) Higher amongst year olds (30%) Higher amongst Munster inhabitants (24%) Those in full time employment (27%)

10 Making Complaints * All other mentions less than 1% examples include: paying my mortgage, pay cuts, family members, losing jobs, not being able to afford to go to college, having to work Not having enough money to meet my day to day expenses Not being able to meet unexpected expenses Not being able to save money for future needs Losing my job I feel financially secure and have no worries Getting deeper into debt All other mentions 1% or less Biggest Financial Worry for 2011 (Base: All aged – 1,000) % Higher amongst C2DEs (37%) Higher amongst year olds (29%) Higher amongst year olds (14%) Higher amongst 55+ year olds (21%)

11 Making Complaints Experiencing Any Financial Difficulties (Base: All account/product owners) Yes Most likely: year olds (18%) No Credit Card (597) % Refused Don’t Know Yes Most likely: year olds (18%) No Personal Loan (529) % Most likely: year olds (15%) Mortgage (485) % Don’t Know Refused Yes No Don’t Know Refused () = June 2010 (79%) (75%) (80%) (11%) (14%) (8%) (10%) (8%) (11%) (1%) (2%)

12 Making Complaints In Order to Make Ends Meet (Base: All aged – 1,000) Cut back on spending Use money from savings/investments A/C Get a job/second job Borrow from family/friends Claim social welfare benefit Use money available in Current A/C Take out a loan/extend existing one Use my overdraft Not a problem Rent rooms in home Don't know Higher amongst 55+ year olds (44%) Higher amongst ABC1’s (24%) &55 year olds (27%) Higher amongst year olds (29%) Higher amongst year olds (20%) Higher amongst part time employed (13%) Higher amongst year olds (11%) Higher amongst year olds (9%) Higher amongst (8%) # All others 3% or less

13 Making Complaints Economic Outlook – I (Base: All aged – 1,000) Strongly agree (5) I am more relaxed about spending money than I was six months ago Ireland will be through the worst of the recession in 12 months time Agree (4) Neither/nor (3) Disagree (2) Strongly disagree (1) % % % % Mean Score:

14 Making Complaints Economic Outlook – II (Base: All aged – 1,000) Strongly agree (5) As a result of the recession I will continue to shop around for better deals even when the economy has settled Agree (4) Neither/nor (3) Disagree (2) Strongly disagree (1) % % % I will focus less on acquiring possessions and more on having memorable experiences such as holidays Mean Score:

15 Making Complaints Economic Outlook – III (Base: All aged – 1,000) Strongly agree (5) I have learnt to manage my finances better as a result of the recession and will continue to do so going forward Agree (4) Neither/nor (3) Disagree (2) Strongly disagree (1) % % % I am constantly looking for better value and am switching providers regularly to achieve this* Mean Score: * New Statement

16 Making Complaints One Word to Describe: Ireland Right Now Nov/Dec 2010 June 2010

17 Making Complaints One Word to Describe: Ireland in 12 Months Time Nov/Dec 2010 June 2010

18 Making Complaints One Word to Describe: How you Yourself Feel Right Now Nov/Dec 2010 June 2010

19 Making Complaints One Word to Describe: Your Future Nov/Dec 2010 June 2010

20 Making Complaints Change in Behaviour as A Result of Recession – I (Base: All aged 15-74– 1,000) Budgeting for household expenses Collecting & using coupons when buying things Using loyalty scheme points when making a purchase Buying goods on special offer Using online price comparison sites Buying items online Preparing home-made meals from scratch Eating takeaway foods Less % The Same % More % Never did it Nov/Dec ‘10 June 2010

21 Making Complaints Change in Behaviour as A Result of Recession – II (Base: All aged 15-74– 1,000) Less % The Same % More % Never did it Spending time ‘bargain hunting’ when buying groceries Spreading your shopping across a number of shops Planning your weekly shopping in advance Buying grocery items in bulk Spend on groceries overall Buying private label/own label goods Buying Irish produced goods Buying eco-friendly goods Nov/Dec ‘10 June 2010

22 Making Complaints Research Background and Methodology

23 Making Complaints  The research was conducted by means of face-to-face interviewing with 1,000 people between the ages of  To ensure that the data is nationally representative, quotas were applied on the basis of age, gender and social class.  Interviewing was conducted over a four week period in November/December Research Background and Methodology Nov/Dec 2007Aug 2008Nov/Dec 2008 May/June 2009Nov/Dec 2009June 2010 Benchmark Wave 3Wave 4 Wave 1Wave 2 Wave 5 Current Wave Nov/Dec 2010 Wave 6

24 Making Complaints Profile of Sample (Base: All aged – 1,000) Male Female % %% Dublin Rest of Leinster Munster Conn/ Ulster ABC1 F50+ C2DE F50- MAIN GROCERY SHOPPER YesNo