P1247676907JUQGX

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BelgiumChristmas 2005
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Contents

• Objectives
• Methodology
• Key messages summary
• Consumer confidence
• Christmas spending intentions
• Christmas consumer behavior

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Christmas survey objectives

• Will Christmas 2005 be a good year for retail
  businesses?
• What are consumer behavior regarding
• When to shop?
• Where to shop?
• What to buy?
• How to buy?
• What are the European commonalities and
  differences?
• What is changing?

4
Contents

• Objectives
• Methodology
• Key messages summary
• Consumer confidence
• Christmas spending intentions
• Christmas consumer behavior

5
Survey Methodology

• Internet survey, with a structured questionnaire
  to a sample of individuals, within controlled
  panel.
• The panel members participate on a regular basis
  in surveys.
• Each consumer in the panel is identified through
  the following dimensions Socio-demographic,
  personal interests and consumer behaviour.
• Respondents were between 16-65 aged.
• Survey conducted by Makno/QA from October 10th
  until October 25th.

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Survey Methodology

• Sample Size by country
• Belgium 400
• France 1000
• Germany 1000
• Italy 1000
• Ireland 400
• Netherlands 600
• Portugal 400
• Spain 1000
• United Kingdom 1000
• -------------
• Total Europe 6800
• For adjusting the internet population towards the
  population of each of the countries, we used
  ex-post statistical weighting on
• Sex (number equal to the population balance)
• Classes of age 16-65
• Income (reflects population mix)
• Regions

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Contents

• Objectives
• Methodology
• Key messages summary
• Consumer confidence
• Christmas spending intentions
• Christmas consumer behavior

8
Christmas 2005 key messages summary

• The economic recovery for 2005, that consumers
  were told to believe, has not taken place. The
  anticipation for 2006 is gloomy and spending
  power is perceived to be reduced.
• In average European Christmas spending is
  anticipated to be 3 down but this figure hide
  many disparities including noticeable positive
  perspectives in Ireland and Spain
• Despite the negative factors aggravated by the
  general socio-political instability in Europe,
  consumers still want to celebrate Christmas and
  offer gifts.
• Last year emerging smart consumers, trying to
  optimize their spending is now maturing and have
  built a strong know how to identify the best
  deals and the best approaches to get more for
  less
• This year again consumers will make their
  shopping at the last minute and many dont yet
  know where. Retailers immediate challenge is to
  capture this capricious but significant market.

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Contents

• Objectives
• Methodology
• Key messages summary
• Consumer confidence
• Christmas spending intentions
• Christmas consumer behavior

10

• Consumers attitude during Christmas results from
  a combination of long term trends and of more
  tactical or immediate considerations
• Our past surveys have always highlighted that the
  economical and political background are
  noticeable drivers to the consumers spending
  attitudes during Christmas
• Not only long time trends have an impact but also
  short terms issues and unexpected events can
  drive last minutes attitudes radical changes and
  modify dramatically customers intentions
• Therefore retailers who make a lot of their
  business during the Christmas period can be
  impacted by unforeseeable and very diverse
  situations like unfavorable weather conditions,
  the avian flue which could modify the mix of
  food Christmas spending, the petrol recent rise
  which may weight significantly on consumer buying
  power perception or terrorist attack
• Riots which have recently taken place in the
  suburbs of many cities in France and which could
  spread throughout other European countries may be
  a very negative driver if not brought under
  control very rapidly

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• During Christmas season

12

• Structural indicators evidence heterogeneous
  situations in the European countries in such way
  that EU countries dont follow the same
  economical and political pace
• We have evaluated 5 main drivers of consumer
  confidence linked to the shopping attitudes
  during Christmas period
• The consumers perception of the economical
  background
• The confidence in the political environment
• The rejected European constitution climate impact
• The consumers job security perception
• The current household revenues and short term
  perspectives

13
What do you think of the current state
What do you think of the current state
of the economy?
of the economy?
80
75
66
66
70
60
9
12
60
49
50
19
45
44
42
40
34
30
20
60
9
10
0
the economy is in growth
the economy is stable
the economy is in recession
Dont know
Ir
UK
NL
It
Sp
Be
G
Fr
P
EUR

• In average a small majority of Europeans believes
  that the economy is in recession but this hide
  very diverse situations when more detailed
  analysis are made country by country
• The worst perspectives about the economy comes
  from Portugal where 2/3 of the population
  believes that the economy is in recession
• Germany, France and Belgium are also pessimistic
  with more than 60 having a negative perspective
• Reversely more than 86 of the Irish are very
  optimistic about the economy
• A small majority of the other European countries
  believe that the economy is at worst stable if
  not growing. The UK is part of this group, but
  interestingly, at the difference of the rest of
  Europe, a twice higher of British respondents
  claimed they were puzzled and did not how to
  respond. This illustrate the recent slow down of
  the economy in the UK which may have an impact on
  this year Christmas spending
• Consumers have been disappointed that their
  optimism for 2005 has not been confirmed by facts
  and therefore are now pessimistic about 2006
  economic outlook

14
The rejection of the European constitution will...
What is the economic impact of the
constitution's rejection?

• The constitution fiasco and the political
  climate This year a clear majority of Europeans
  (67 ) expressed their concerns about the
  stability of the political environment and the
  recent failure of the European constitution has
  certainly fueled this perception. But again we
  see contrasted perspectives by country.
• Irish believe that their political environment is
  very stable and the British are somewhat positive
  as well
• In Portugal, the lack of satisfaction is at a
  pick (86) as well as Germany (81 ) following
  the elections disaster. But the political
  appreciation shows signs of destabilization in
  Netherlands, France and Belgium with more than 66
  negative responses
• More than 58 of the respondents in the Southern
  countries (Spain, Portugal, Italy) believe that
  the missed constitution will have a negative
  impact on the economy
• Reversely, and may be surprisingly, a majority of
  British and Irish believe than the rejection of
  the constitution will have no impact or even a
  positive impact on the economy for 33 of the
  British!

15
Reason for spending less lack of confidence
regarding how the economy is managed by our
government

• The way the economy is managed by their
  government is one of the drivers to secure
  consumers in their spending. This criterium is
  ranked high between the different reasons for
  spending (coming just after cost of living rise
  and household income increase). On this topic
  again, the Irish, the European privileged
  consumers, are also by far the most confident on
  the way their government manage the economy,
  followed by the British. Reversely, the German
  are the least confident.

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Percentage of the people who believe that their
financial situation will either stay the same or
improve
Percentage of the people who are optimistic about
their job's security

• Employment and household revenue perspectives
  these 2 criteria have an extremely strong and
  direct impact on the consumers Christmas spending
  and it is crucial to analyze them very carefully
• The European average demonstrate a somewhat
  positive vision since 58 of the respondents
  believe that their financial household position
  will stay the same or improve in 2006. In the
  same token, have of the respondents believe that
  their job is secure
• Again, the reality of the situation in Europe is
  diverse. Irish and Spanish are optimistic about
  the probable improvement of their household
  revenues (76 and 71 respectively) but
  consumers are the most pessimistic in France,
  Netherlands and Germany where they believe that
  the bottom has not yet been touched.
• Employment is perceived to be less secure in
  Portugal, Italy, Germany and surprisingly in the
  UK. This confirms the uncertainties concerning
  the British economy combined with a very elastic
  and liberal job market

17

• Overall a contrasted and centrifugal Europe
• We can hardly identify Europe has one
  homogeneous region through consumers responses
  diversity in each countries
• In addition lack of European governmental
  consistent directions makes each country to take
  decisions in a centrifugal way and apply its own
  politics
• Although fragmented in his governance, Europe is
  suffering from many issues which require
  collective responses like the Asian flu, the
  suburban riots spreading or the measure to save
  energy to face the petrol crisis to name a few
• In addition inside each countries, responses may
  be also diverse according to the different age
  generation and also between those who have and
  those who have not
• With such background a contrasted Christmas is to
  be expected in Europe, which requires very
  careful analysis at country and local level
• Single currency doesnt drive one eurozone
  homogenous economy

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Contents

• Objectives
• Methodology
• Key messages summary
• Consumer confidence
• Christmas spending intentions
• Christmas consumer behavior

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Which of the folowing festive days do you
celebrate this year?

• Most Belgians (95 ) will celebrate this year
  Christmas just more than half (51 ) will
  celebrate Sinterklaas
• 45 will celebrate Christmas only
• 1 will celebrate Sinterklaas only
• 50 will celebrate both the Festivities

20
Expected spending on presents

• European Christmas gifts spending intentions are
  very slightly bellow last year (-3 ) but
  situations are contrasted
• Strong increase expected in Ireland ( 8) and
  Spain ( 6 )
• Noticeable spent intentions reductions in Germany
  (-9 ), Portugal (-6 ), Italy (-6 ) and
  Netherlands (-5 )
• Relative stability in the UK (1 ), Belgium (-1
  ) and France (-3 )
• Considering the overall economic and political
  background, this perspective tells us that
  consumers, despite very difficult times, are
  closely attached to the importance of Christmas

21
Primary reason behind spending more
Primary reasons to spend more Belgium
there are more interesting and innovative
we now have children to
27
28
celebrate Christmas with
presents
our household income has
21
25
household income has increased
increased compared to last year
we now have children to celebrate
there are more interesting and
18
23
innovative presents to chose
Christmas with
our household income will
13
12
the economic situation is better this year
increase in the next year
the economic situation is better
7
6
our household income will increase in 2006
this year than at the same
my job feels more secure than
7
my job feels more secure than last year
5
last year
the general economic predictions
6
2
the general economic predictions are good
are good
0
5
10
15
20
25
30
0
5
10
15
20
25
30

• Innovation a strong driver to generate demand
• Respondents require more innovating products as
  the number one reason to spend more during
  Christmas. This wish, helping them to find new
  ideas to make presents, is particularly required
  by the Spanish and the French and least by the
  Dutch and the Irish
• We anticipate that the diversity of innovating
  products having been brought into the market this
  year, will generate more demand during Christmas.
  This is particularly true for Kid presents

22
Why will you spend less?
Primary reasons of spending less Belgium
increase in overall cost of living
65
household income has not increased sufficiently
this year
43
increase in overall cost of living
74
rise in the price of petrol
37
47
rise in the price of petrol
household income has not increased this year
household income is not expected to increase in
the near future
38
30
lack of confidence in economy
30
saving money for other things (house move,
holidays, insurance)
27
saving money for other things
27
lack of confidence how the economy is managed
government
26
have lost job or are afraid of losing job
24
have lost job or are afraid of losing job
19
household income is not expected to increase
18
Other
11
12
Other
lost money on stocks and shares
lost money on stocks and shares
4
2
0
10
20
30
40
50
60
70
0
10
20
30
40
50
60
70

• Consumers have less to spend and need to optimize
  
• Everywhere in Europe, consumers are telling us
  that the main reason to spend less is their
  perception of the overall cost of living
  increase. This stress again the importance of
  retailers which position themselves in the
  discount business
• In addition household income has not increased
  sufficiently to offset the cost of living nor the
  perspective to benefit of increased household
  revenues in the short term. This negative
  situation is specially pervasive in Germany and
  Portugal
• The petrol rise aggravate the cost of living
  increase overall perception. French respondents
  are the most sensitive to petrol rise closely
  followed by Belgian and German. To be noted
  Irish and British are moderately sensitive to the
  petrol rise at the difference of the rest

23
If you intend to spend less, in which areas do
you thinkyou will reduce your spending?
If you intend to spend less. In which areas do
you think you will reduce your spending?
66
presents for adult family members
86
spending on christmas decorations
59
spending on food
85
presents for friends
43
spending on travel
83
presents for adult family
23
spending presents for friends
80
spending on travel
19
presents for children under 12
64
spending buying non branded products
18
spending on christmas decorations
62
spending on food
4
buying non branded products
41
presents for children under 12
0
10
20
30
40
50
60
70
80
90
0
10
20
30
40
50
60

• In addition, when consumers need to spend less
  and save money, a large majority of Europeans
  will not hesitate to switch from branded products
  to non branded
• The Portuguese and the Dutch are the most open
  minded to non branded products
• Reversely and not surprisingly, the wealthy Irish
  consumer is the most attached to branded products
  
• Ireland remains the European exception only 9
  of the Irish having plans to spend less than last
  year, explain that the main reasons to do so at
  Christmas is to save money for other things like
  buying a new house or taking additional holidays.
  We see a similar pattern with Spain
• When consumers have to reduce their Christmas
  spending, because of tighter available income,
  there are 2 areas where they will nevertheless
  try to reduce the least presents for their kids
  and spending on food but again the attitudes on
  this matter vary significantly in Europe
• French people are the most protective of the
  tradition of providing gift to their kids,
  followed by the German, the Irish and the
  Portuguese. This is different from the Dutch and
  the British who are more ready to sacrifice
  their kids Christmas gifts to save money
• Portuguese and Belgian consumers are less ready
  to reduce spending on food to save money. Not
  surprisingly the British are ready to save on
  food spending, but unexpectedly the Italian and
  the French as well

24

• Will the recent riots have a significant impact
  on consumers spending attitudes?
• Our survey questionnaire has been circulated just
  before the emergence of this demonstration
• We understand that current suburban riots issues
  in France may possibly spread in other European
  countries
• Due to the concentration of Christmas spending at
  the last minute and during a reduced period of
  time, we anticipate only marginal effect on this
  year consumption provided that appropriate
  measures are taken immediately to stop them

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Contents

• Objectives
• Methodology
• Key messages summary
• Consumer confidence
• Christmas spending intentions
• Christmas consumer behavior

26
Wishes
Gifts
Top
Europe
Top
Europe
Belgium
Belgium
1
1
CD, cassettes, DVD or videos
42
CD, cassettes, DVD or videos
42
2
2
books
37
books
37
3
3
gift vouchers
37
gift vouchers
37
4
4
clothes
36
clothes
36
5
5
travel
36
travel
36
6
6
cosmetics or perfumes
30
cosmetics or perfumes
30
7
7
electronics materials
26
electronics materials
26
8
8
computer - hardware
24
computer - hardware
24
9
9
jewellery
24
jewellery
24
10
10
computer - software
18
computer - software
18

• The top overall wish list in Europe didnt make
  any big changes over the last years
• CDs and DVDs are leading in most countries
• in some it is still the book
• and in Portugal and Spain clothing is the number
  one as it was in the past in France
• Gaps between wish list and gifts narrowing
• As in previous years, there will be a gap between
  the wishes and the gifts. Although it seems that
  the gap will become in some product categories
  smaller this year
• The biggest gap as in previous studies will be in
  the cosmetics area. Consumers will buy more
  cosmetics and fragrances than are on the wish
  lists
• Regarding toys we see this gap every year as
  well, but this is explained by the sample, since
  kids are not included in the sample. Jewellery
  and gift vouchers are more asked for than finally
  delivered by Santa
• Gift vouchers are a position down on the wish
  list but they are a position up in the gift list
• In Ireland and the UK most gift voucher will be
  bought, in both countries the electronic versions
  of the vouchers are well implemented and probably
  the reason for the success

27
If you are buying presents for kids, do you know
their most wanted presents?
Type of present expecting to buy for a child
80
100
75
74
90
70
63
61
80
59
60
56
55
70
51
48
50
43
60
40
50
30
40
30
20
20
10
10
0
0
P
G
NL
Sp
Ir
It
UK
Fr
Be
EUR
UK
Be
Fr
G
It
Ir
NL
P
Sp
EUR
yes
fun presents
educational presents

• Adults dont know enough what Kids want as
  presents
• In most countries a majority of adults believe
  they know what their kids would like to receive
  as presents but this is not the case in Belgium
  and France
• A significant portion of the adult population (41
  ) claim they dont know what the kids may need
  as gift
• This suggest that manufacturers should target
  also the adults in their communication and that
  retailers have a stronger role to play in the
  selling process of this seasonal gift period.
  Just putting product on the shelves is no more
  sufficient to sale a large variety of products
  newly introduced into the market
• This is particularly crucial due to the high path
  of innovation and new products introduction
• Adults are puzzled about the educational or fun
  only nature of their gift for kids
• When British, Irish and Germans have a clear
  belief that kids should receive presents for the
  fun of it, Dutch and all southern countries
  adults (from Spain, Portugal, Italy) believe that
  kids presents should have an educational role.
  Belgium an French being in between
• This diversity of attitudes should drive the
  nature of the products to be sold on each market
  as well as the communication and the retailers
  selling arguments construction
• Traditional toys are the most bought presents for
  kids under 12 years old. The respective number
  two and three gifts are electronic games and books

28
If buying presents for children under 12 years,
would you look for
39.9
40
35
30
25
20
16.6
13.0
15
11.7
11.2
10
7.6
5
0.0
0
boardgames
electronicgames
traditionaltoys
books
clothes
furniture for children's bedrooms
Other

• Traditional gifts are still the number one gift
  for kids in Europe although electronic games are
  in most countries the number two
• Traditional toys are the most bought gift for
  kids this year
• Video games in Europe are the number two with an
  average of 20 . Spain and Italy have the highest
  score in the electronic games with some 24
• Books became less important gifts over the last
  years although in Portugal they are number two
  with 25 , against the Netherlands and Spain with
  8 and 9

29
Do you consider the origin of products?
70
63
59
60
54
53
48
50
45
44
38
37
40
35
30
20
10
0
NL
Be
UK
Ir
Fr
G
Sp
P
It
EUR
yes

• Half of European respondents in Europe consider
  when they buy their gift, how they have been
  sourced in relation with fair trade and child
  labour
• Italian are the most concern in Europe by this
  issue with 63 of the respondents considering
  the ethical aspects followed by the Portuguese
  (59 )
• The least concern are the Dutch, the Belgian, and
  the British where only a minority (38 ) take
  this aspect in consideration
• This is an important indication for retailers and
  manufacturers about the nature and importance of
  the ethical dimension as well as on the way this
  has to be communicated to the consumers on each
  markets

30
Will you decorate your house for Christmas this
year?
Will you be decorating your house this year?
100
8
95
95
92
90
89
89
89
88
88
85
83
82
82
80
92
75
70
Fr
Sp
G
UK
Be
P
It
NL
Ir
EUR
yes
yes
no

• An other sign about how Christmas tradition has
  solid roots is perceived through the desire of
  most of the respondents in Europe (88 ) and in
  every country to decorate their house
• Irish are on the top of the list with 95
  decorating their house and the Spaniard at the
  bottom with a solid 82
• Respondents declare that they keep a large part
  of their decorations from previous years but
  regularly improve them and incorporate new ones

31
Will the risk of the Asian Bird Flue epidemic
reduce yourChristmas shopping for poultry?
Will the risk of the Asian Bird Flue epidemic
reduce your Christmas shopping for poultry?
70
60
60
40
50
40
33
31
30
27
30
60
21
21
20
19
20
14
10
0
UK
NL
Fr
Ir
G
Be
Sp
P
It
EUR
yes
yes
no

• With the Asian flu threat arriving in Europe, is
  the traditional Christmas Turkey at risk?
• 20 of European respondents declare that the
  Asian bird flu will affect their poultry shopping
  during next Christmas
• The Italian are mostly concern since as many as
  60 of the respondents have declare that they
  will modify their consumption pattern
• Reversely, in the UK, where the Christmas turkey
  is the traditional meal during Christmas, only 14
  of the British declare that they will modify
  their consumption

32
On a scale of 1 to 10 with 10 being the highest
and 1 the lowest please mark these factors in
terms of their importance to you as part of a
loyalty scheme

• The most important factor for buying at a certain
  store today is the value
• Today consumers are value consumers and rate a
  good price quality level with an 8 on a 10-point
  scale
• Value is followed by large choice and lowest
  price with respective a 7 and a 6.75 on the same
  scale
• The retailing game has change so far that the
  conception of low price meaning bad quality no
  longer exist
• Aldisation of the world made consumers
  understand that low priced goods can have a good
  quality
• Retailers can still play the game on a higher
  price if the total perception on quality is
  better
• The fourth and fifth factors for store selection
  are service at point of sale and quality of after
  sales

33
Do you think that you'll spend more time making
comparisons between shops to find the best price
than you did last year?
Do you think you'll spend more time making
comparison between shops to find the best price
than in 2004?
45
39
39
40
36
11
35
32
32
32
31
30
30
26
25
25
19
20
17
15
12
12
11
10
10
9
57
9
9
10
5
5
0
Fr
It
G
NL
Be
Ir
P
UK
Sp
EUR
yes - I will spend more time making price
comparisons
spend more time making price comparisons
spend less time comparing prices
no - I will spend less time comparing prices than
last year
about the same time as last year

• 31 of European respondents tell us that they
  will increasingly compare price before buying
  Christmas presents
• French customers are the one who declare to spend
  much more time comparing
• Spanish will moderately increase time comparing
  prices
• European consumers become smart consumers. This
  means they have a more scientific approach to
  shopping

34
Have you already decided in which shops you will
do your Christmas shopping this year?
Timing in the choice of shops
59
60
50
20
43
43
42
40
40
38
40
36
36
33
42
30
20
10
38
0
NL
Fr
UK
Be
Ir
P
G
Sp
It
EUR
yes, I have already decided
Last minute
no, I will decide at the last minute
no, I don't know

• At this stage a vast majority of Consumers in
  Europe have not decided where they will make
  their Christmas shopping
• Only 20 of the European consumers have already
  decided in which shops they will make their
  Christmas presents.
• The Dutch are the most hesitant since only 10
  of them have make their choice
• Among the 80 of the European who have not yet
  made their choice, half have decided to make
  their shopping at the last minute and therefore
  take benefit of the late promotions and the other
  half dont know
• To be noted that close to 60 of the Italian
  consumers plan to make purposely their purchase
  at the last minute
• The Retailers challenge is to capture the
  important last minute Christmas shopper market
• This year again, the marketing and promotional
  initiatives that retailers will perform during
  the last weeks before Christmas will be crucial
  to drive into their store a vast majority of
  consumers having not made their shopping
  decisions at this stage

35

• Christmas, the opportunity to divert customers
  from competition
• Christmas period is key since this is when
  consumers may discover other stores than the ones
  they visit during their yearly day to day
  fulfillment
• It is therefore an opportunity for retailers to
  seduce and if successful reroute permanently
  customers to their stores
• In addition to large sales volume perspective
  during that period, it is an other reason which
  makes the Christmas period crucial for retailers
• To protect themselves of loosing customers, many
  retailers have developed loyalty programs which
  aim to prevent customer volatility

36
In which shops you will be doing most of your
food and drink shopping for Christmas?
Type of shop for food and drink purchases
100,0
90,0
13
80,0
9
70,0
60,0
49
50,0
40,0
30,0
20,0
29
10,0
0,0
UK
Be
Fr
G
It
Ir
NL
P
Sp
EUR
hypermarket sized shops
normal sized supermarkets
discount Food shops
normal sized supermarkets
specialist food shops
discount Food shops
specialist food shops
hypermarket sized shops

• Stores inter format competition everywhere in
  Europe, all having solid but les differentiated
  commercial arguments
• In the past years, each European country had one
  or two dominant store format where most people
  used to shop, but this situation has evolved and
  we see many more diverse formats competing
• Small Hard discount formats rival with
  supermarket and hypermarkets and specialty
  clothing retailers compete against renovated
  department stores which have refocus on fashion
  demonstrating that store size is not the only
  response
• Most players combine branded and non branded
  assortment coupled with price attractive
  commercial proposition
• Internet maturing has added a new actor
  everywhere in Europe
• As a result the battle for the customer wallet is
  at his pick which makes shop selection also more
  complicated for customers

37
Will you use any loyalty schemes during your
Christmas shopping?
70
60
59
57
60
50
40
40
37
34
40
30
30
22
22
20
10
0
It
NL
P
G
Sp
Be
Ir
UK
Fr
EUR
yes

• Last year findings about the usage of loyalty
  points redemption to make Christmas presents
  expanding
• 40 will redeem loyalty points this year for
  doing their Christmas shopping
• In France, The UK and Ireland this will be seen
  the most, close to 60 of the consumers in these
  countries will use their points for buying
  presents
• In all countries more points will be redeemed
  than last year, no exception to the rule
• The biggest increase in the number of points used
  will be in Ireland and Portugal

38
Do you think that you will use the internet to do
your Xmas shopping in order to
Internet used for purchasing
100
90,9
90,9
86,5
85,3
90
75,4
80
74,7
100
91,5
68,1
90
70
64,0
61,3
80
57,3
60
67,3
66,8
70
50
60
52,3
47,8
40
50
40
33,3
30
32,8
30
20
20
8,5
10
10
0
0
Sp
P
Be
It
NL
Ir
Fr
UK
G
EUR
yes
no
yes
no
yes
no
yes
no
comparing shops
buying products/services
buying safely avoiding
looking for shops/information on products
terror/violence threats
yes

• The Internet is today mature and become a triple
  play channel with ¾ having shopped on the net in
  the past twelve months
• to browse for products and stores 75 will do
  this
• among them 54 will use the internet for pure
  price comparisons
• and finally it is a store itself. More than 50
  of the consumers will buy products and services
  this Christmas season on the Internet

39
Do you think using the internet to buy present
save either time or money?
This year do you think you will spend more, less
or the same amount of money on the internet?
I save time and money using the internet
40
12
35
I save time using the internet
23
I will not use the internet this yearfor
researching or buy
18
38
I do not save time or money using the internet
15
11
I save money using the internet
7
I will spend more money
I will spend the same amount of money
0
5
10
15
20
25
30
35
40
45
I will spend less money
I will not be using the internet this year to buy
presents

• Those who buy on the Net do this because they
  think it is saving them time and money
• Saving time is a much more important reason than
  saving money
• In total 23 is searching for only time saving
  opportunities
• against 7 who go on the Internet for saving
  money only
• 62 of the consumers will spend this year the
  same amount or more on the Internet compared to
  last year
• This against 16 who will spend this year less
  on the Internet
• Less than a quarter will not use the Internet for
  Christmas shopping this year

40
Spending on Self v.s. spending on Friends
Family
Spending on Self v.s. spending on Donations
19
45
55
81
spending on self
spending on friends and family
spending on self
spending on donations

• The French and the Irish are the most generous in
  Europe during Christmas time
• They donate respectively 34 and 37 of the
  amount they are spending on themselves
• The Belgians are really on the other side of the
  equation with only 19 donating of their own
  spending
• In most countries all most ¾ of the spending is
  done on buying gifts for family and friends
• Only the Dutch and the Belgians just spent a
  little bit more than 50 for family and friends,
  they spent the other half on themselves

41
Deloitte contacts

• Koen De Staercke Tel. [phone]
• Partner Fax [phone]
• Consumer Business Industry Leader kdestaercke_at_del
  oitte.com

42
Member of Deloitte Touche Tohmatsu