Sep. 28, 2022
Canadians Prioritize Intentional Spending
Canadians are feeling financially squeezed, with 86 per cent saying their money isn't going as far today as it used to, says data from Interac. With inflation and rising interest rates adding to the pressures on households, two-thirds of Canadians are practicing 'intentional spending,' the action of making purposeful purchasing decisions that live up to their financial goals and personal values. With the majority of Canadians carefully planning their purchases, over half (55 per cent) say they are less likely to spend on impulse now than they were before the pandemic. Sixty-three per cent of Canadians are spending more on essentials than they were even three months ago and more than half (54 per cent) say inflation is making it more difficult to afford the things they need. However, the pandemic had a profound impact on the spending habits of many Canadians, as nearly half (47 per cent) say they now look for deals and sales when shopping. Spending at discount retailers is rising, with Interac debit volumes at discount stores increasing by seven per cent in the summer of 2022 over the summer of 2021, while spending at premium stores retracted by 1.5 per cent over the same time.