Bullet PR client, M&C Saatchi has just released the findings of international research into the behaviour of consumers during the economic downturn. As the NZ Herald reports, “Only 25 per cent of New Zealanders felt pessimistic about the economy, compared with 36 per cent of Australians and 64 per cent of Britons.”

The research was carried out in New Zealand, Australia and Britain into people’s spending habits amidst the current decline in economic activity. Findings suggested that people fit into one of eight categories:

Eight consumer types
1. Justifiers (23.3% of NZ)
• Like to spend, but need an excuse to. More than happy to buy if there’s a limited offer, latest model or additional ‘something free’
• Likely to be skilled professionals earning $100k+
• Believe they have changed the way they buy, but don’t think they are having to make any trade offs

2. Scrimpers (20.3% of NZ)
• Scrimpers are trading down, substituting brands with own-label, eschewing independent grocers for big chain savings
• Have changed spending habits, but do not stop spending – will still go on holiday, but it will be cheaper than usual
• Show little age bias, but are inclined to have no children under 16, and live within Auckland region

3. Crash dieters (15.7% of NZ)
• Are reacting dramatically to the squeeze, ceasing expenditure on on-essential items, and look for deals and added value
• Skew towards 24-34 year olds and 45-54 year olds, earning in the region of $30-70k
• Pessimistic about the economy and their own finances, and don’t see the situation improving

4. Treaters (11.3% of NZ)
• Tightening of belts does not com naturally to this group, and they reward themselves for any frugal behaviour
• While they may buy more own-label goods at the supermarket, Treaters also want ‘reward’ brands such as wine and chocolate
• Likely to be 65+, retired and optimistic about the economy and their financial circumstances

5. Ostriches (10.3% of NZ)
• In denial, refuse to compromise behaviour
• Trend towards 35-44 year old with household income of $100k
• Currently indifferent to their financial state, and while secure financially, are not willing to take risks with their money

6. Abstainers (8.3% of NZ)
• Haven’t stopped spending, but have postponed purchases on big ticket items
• Likely to be skilled workers with low household income
• Are cutting back in reaction to recession, going out less and doing all they can to make their dollar go further

7. Clothcutters (6.7% of NZ)
• Are making compromises in their lifestyles, for example not buying a new car so they can still spend on a holiday
• Tend to be part-time workers with lower household income, and are single
• Reacting to a recession by cutting down, but treating themselves once in a while

8. Vultures (4% of NZ)
• Look to exploit the economic crash, active in the property market and on the hunt for bargains on the high street
• Trend towards skilled professional males, earning $100k+
• Optimistic about their personal situation, and prepared to take risk where previously they might not