Spending on retail, restaurants and home
improvement drives Q1 increase of 5.78 per cent
TORONTO, April 28, 2015 /CNW/ - Canadian consumer
spending rose nearly six per cent in the first quarter of 2015 on a
year-over-year basis, according to the MonerisMetrics Quarterly
Report released by Moneris Solutions Corporation ("Moneris"),
one of North America's largest
processors of debit and credit payments.
This marks the second consecutive quarter in which consumer
spending has increased year-over-year. The end of 2014 saw a 3.84
per cent increase in spending, breaking an unprecedented nine-month
flat streak.
"For Canadian businesses, it was a great start to the year.
Spending remained strong after the holiday season, with notable
increases in the retail and restaurant categories," said
Angela Brown, President and CEO of
Moneris. "Spending in these categories suggests that consumers feel
confident enough to continue to spend on non-essentials."
According to Moneris, spending across Canada rose by 5.78 per cent overall, with
increases of 5.10 per cent in January, 5.51 per cent in February
and 6.70 per cent in March, compared to the same months in 2014.
Among Canadian provinces, British
Columbia led the way with an 8.93 per cent increase, with
Nova Scotia posting the smallest
increase, a modest 0.40 per cent gain. The price of oil has fallen
significantly over the past 12 months — a decline coinciding with
Alberta's lower-than-average (3.92
per cent) growth in the first quarter of the year.
Credit card spending increased by 6.98 per cent over the
quarter, holding a 62.73 per cent share of purchases made. Debit
sales rose 3.77 per cent, with a 37.27 per cent share. This
represents a slight increase in the share of debit card sales
compared to the fourth quarter of 2014.
Strong start to the year
- Within the restaurant category, fast food restaurants posted
the highest growth (10.90 per cent) followed closely by bars and
pubs (7.84 per cent).
- Spending in the household category posted a year-over-year
increase of 7.23 percent.
- Sales at drapery, window covering and upholstery stores grew by
11.33 per cent.
- Sales at glass, paint and wallpaper stores grew by 12.86 per
cent.
- The entertainment category posted the lowest growth (0.82 per
cent) including categories such as tourist attractions, movie
theatres and recreation services.
Impressive gains for retail
Strong consumer confidence benefitted retailers as a whole and
underscored the robustness of retailing in Canada. Stores specializing in shoes and
women's accessories were big winners, with increases of 9.32 per
cent and 7.27 per cent respectively. Pet stores also posted 7.04
per cent growth.
In the apparel category, women's clothing outperformed all
others, registering a 6.14 per cent increase in volume. Men's
clothing and family clothing experienced gains of 3.45 per cent and
4.25 per cent respectively.
Note to editors
Please see infographic for highlights, including top categories
and spending by province.
About MonerisMetrics
MonerisMetrics provides information on consumer spending
activity in Canada across a range
of categories by analyzing credit and debit card transaction data.
The percentages cited are derived from actual sales volumes—the
dollar values of credit and debit card transactions being processed
by Moneris merchants—compared with sales volumes from the prior
year.
About Moneris Solutions
As one of North America's
largest providers of payment processing solutions, Moneris
Solutions Corporation ("Moneris") offers credit, debit, wireless
and online payment services for merchants in virtually every
industry segment and processes more than three billion
transactions, annually. Moneris offers electronic loyalty and
stored-value gift card programs. With more than 350,000 merchant
locations, Moneris provides the hardware, software and systems
needed to improve business efficiency and manage payments. For more
information please visit www.moneris.com.
SOURCE Moneris Solutions