GOOD news for retailers and restaurateurs: Consumers are unlikely to cut back their spending over the next six months.
However, they would be more cautious when it comes to big-ticket items such as property.
Still, the findings from the 2009 MasterCard Worldwide Survey on Consumer Purchasing Priorities and Index of Consumer Purchasing Resilience released yesterday spelt good news for retailers.
Dining and entertainment, shopping and travel emerged as themost resilient purchases during the downturn.
Over four in 10 Singaporeans said they intend to continue patronising dining and entertainment joints.
Dr Yuwa Hendrick-Wong, MasterCard Worldwide's economic adviser, said: 'Eating out is very much a part of social life. People see a meal as a small-ticket expenditure. It's different from buying a car.'
He added: 'Consumers are looking for value, so retailers have to be creative in delivering value-for-money (deals).'
One retailer that did so is Starbucks, which came up with a new breakfast menu and a promotion allowing customers to save about 15 per cent on their beverages.
Mr Jeff Miller, managing director of Starbucks Coffee Singapore, said both initiatives have been successful, especially at the outlets in Plaza Singapura, Liat Towers and Raffles City.
The MasterCard list showed that property purchases ranked low, with less than one in 10 respondents saying they would buy a house.
The Urban Redevelopment Authority's latest flash estimates, released yesterday, showed that prices of private residences dropped almost 6 per cent last quarter, compared to the first quarter this year.
