Savings and Investments in Australia 2009 - Part 2 The Consumer Survey

• Savings and investments consumer data from the Australian Financial Services Survey conducted in April 2009 with over 2300 respondents is provided.
• Responses are proportionally split over six age bands to provide a glimpse of segmentation in the market.

• Access unique Australian consumer insight about how they would like to interact with their financial provider.
• Discover how consumers feel about investing in the 12 months from April 2009.
• Review the key reasons why investors picked their current financial planner and what improvements they would like to see.

Overview

Catalyst

Summary

Executive Summary

The majority of consumers believe there will be tough economic times ahead for 2009

Some Australian consumers are considering purchasing investments in 2009

Online investment arrangement is becoming fairly common with the younger generation

Younger consumers are more comfortable and happy to use the internet for product arrangement

Older consumers are much more likely to have a financial advisor as compared to their younger counterparts

Table of Contents

Table of figures

Table of tables

Chapter 1 Consumer Confidence

The majority of consumers believe there will be tough economic times ahead for 2009

As such, consumers are turning to more established financial providers

However, some Australian consumers are considering purchasing investments in 2009

Chapter 2 Financial Product Arrangement

Consumers have a preference for arranging their investments face-to-face in a branch

Online investment arrangement is becoming fairly common with the younger generation

Customers want to discuss their product options and as such this is hindering online product arrangement

Younger consumers are more comfortable and happy to use the internet for product arrangement

Consumers have a 'trust' factor with regards to online savings accounts

Chapter 3 Financial Planning

Two-thirds of respondents manage their own investments

Older consumers are much more likely to have a financial advisor as compared to their younger counterparts

Professional advice was the largest influencer for older consumers choosing their financial planner

The top two improvements that clients want from their financial planner is more regular information and more face-to-face contact

APPENDIX

Definitions

Investments

Older generation of respondents

Product arrangement

Younger generation of respondents

Data tables

Methodology

Further reading

Ask the analyst

Datamonitor consulting

Disclaimer

List of Tables

Table 1: Over the next 12 months how likely are the following in your view:

Table 2: Attitudes towards financial services:

Table 3: Do you currently have or plan on taking up investments including shares, mutual funds, bonds or investment property?

Table 4: Financial product arrangement preferences for those with investments:

Table 5: How did you arrange you investments?

Table 6: What are the obstacles for you arranging financial products over the internet?

Table 7: Who do you have as your main financial planner?

Table 8: With regards to your financial planner, why did you choose this provider?

Table 9: What improvements could your financial planner make regarding service?

List of Figures

Figure 1: Consumers feel that economic conditions will get worse over the 12 months from April 2009

Figure 2: Younger respondents are more likely to take up investments in the 12 months from April 2009

Figure 3: While face-to-face is the dominate method for investment arrangement across all ages, younger consumers are more likely to arrange investments over the internet than their older counterparts

Figure 4: The reasons slowing the uptake of financial product arrangement over the internet was fairly similar across all the age bands

Figure 5: The likelihood of having a financial planner increases with age

Figure 6: Consumers feel that economic conditions will get worse over the 12 months from April 2009

Figure 7: Consumers want to deal with a well-known financial services provider because of the uncertainty in the market

Figure 8: Younger respondents are more likely to take up investments in the next 12 months

Figure 9: Face-to-face in a branch is the leading method for investment product arrangement

Figure 10: While face-to-face is the dominate method across all ages, younger consumers are more likely to arrange investments over the internet than their older counterparts

Figure 11: More consumers were concerned with discussing their product options as compared to security when considering online product arrangement

Figure 12: The reasons slowing the uptake of financial product arrangement over the internet was fairly similar across all the age bands

Figure 13: Two-thirds of consumers claim they manage their own investments

Figure 14: The likelihood of having a financial planner increases with age

Figure 15: The main factor for the older generation choosing their financial planner was professional advice

Figure 16: Providing more regular information and updates is the top ranking improvement that financial planners can make