Results from the recently concluded Consumer Confidence Index survey conducted jointly by Bayt.com, the Middle East’s number one job site, and research and consulting organisation YouGov, shows that residents in the Kingdom of Saudi Arabia (KSA) hold an optimistic view of their personal financial future, as well as of the country’s economy. However, a majority of surveyed employees feel that the current remuneration is not in line with the cost of living, with only17% believing that now is a good time to buy consumer durables.
According to the quarterly Bayt.com MENA Consumer Confidence Index survey, expectations for the future are primarily positive amongst respondents from KSA, with55% believing that their financial position will improve in a year’s time, which is a reflection of sentiment from across the Middle East region, and53% of respondents believe that KSA’s economy will take a turn for the better within the same period. This, according to38%, will lead to there being more jobs available.
There is a neutral sentiment expressed by the majority of the respondents (36%) towards the likelihood of increase in their organisation’s employee-count for the coming quarter;29% share a positive outlook on the same, with only20% believing that there will be negative growth. The percentages are similarly weighted in terms of their company meeting staffing requirements in the coming three months – the majority are neutral (a trend that is echoed across the region), with19% optimistic and27% pessimistic.
“The overall feeling is that while the coming year will be favourable for business and corporations, this may not necessarily reflect on employees’ benefits,” explained Amer Zureikat, VP Sales at Bayt.com. “At Bayt.com, we work towards creating a solid platform of statistics and a valuable insight to share with employees and employers alike. As the number one job site in the Middle East, we provide timely, reliable date from a significant cross-section of the region’s population.”
With regards to the respondents’ present situation, the general feeling across the region as per the Bayt.com survey is that the financial situation for them and their family is no different than it was within the previous year. KSA follows this trend with36% claiming their situation is the same; however33% say that things are better, where as with23% claiming that their financial situation is now worse. The overwhelming majority state that in comparison to last year, their salary has not kept pace with the cost of living in KSA.
This reflects on the current attitude towards the purchasing of consumer durable goods, with only17% of KSA’s respondents feeling that this is a positive time to buy. A combined73% indicated their responses between ‘neutral (37%) time’ to ‘bad (36%) time’ when asked to rate if the current time is right form purchasing consumer goods, with most opting to shy away from investments in property and purchase of new cars during the next12 months. Among the35% who are looking to purchase vehicles,54% say they will invest in a new car, while41% will choose a used car. As far is property is concerned,65% of would-be investors will look to invest in new properties.
In terms of employment, as per the bayt.com survey, only17% of respondents appear to be satisfied with their current job and career prospects. Neutral sentiments towards their current employment situation are felt by42%, and34% indicated low satisfaction. With reference to the possibility for career growth in their current organization, an equally split70% indicated neutral (35%) or low (35%) satisfaction.
Statistics show that feelings towards the level of job security in KSA are relatively balanced; most respondents (36%) have a neutral opinion of their job security,27% are highly satisfied and30% are unsatisfied.
“Our survey demonstrates that the majority of employees in KSA are indifferent or less to their current career status, which shows that there is certainly room for improvement. The general sentiment is that an increase in salary could be due, in correlation with the perceived increase in costs of living,” concluded Zureikat.
Data for the quarterly Bayt.com Consumer Confidence Index survey was collected online from June1 – July17,2011, with7,245 respondents aged over18 years, covering GCC Arab, North African, Levant, Western Expatriate and Asian nationalities. Countries who participated are UAE, Saudi Arabia, Kuwait, Oman, Qatar, Bahrain, Lebanon, Syria, Jordan, Egypt, Morocco, Algeria, Tunisia and Pakistan.