Acoording to a study by McKinsey & Company, UAE residents are saving more than they are spending in comparison to last year. The study surveyed more than 1,000 consumers and found out that 42 per cent of consumers are actually cutting down on their spending habits while another 48 percent are delaying their purchases to find better bargains.
The study also revealed that consumers are looking for different ways to save money, where 53 per cent of those surveyed are looking for different sales and promotions while 48 per cent are paying a close attention to the price label than last year.
To cut down the expenses, 41 percent wait for products to go on sale and 39 per cent of consumers are now using more coupons and discount vouchers. The study also revealed that 48 per cent of shoppers look around to find the best possible deals to save money. Also, 31 per cent consumers admitted that they prefer to buy in bulk to save money.
People are also saving money on eating out as now they prefer to cook at home. Three out of 10 are now avoiding weekend brunches and lunches and are eating at home. As per the report, the number is higher than last year's trend on eating out.
The new study findings state that even if the household income goes up, residents only intend to spend 29 per cent or less of the increase. The focus of the increase now is on saving, which is 40 percent of the earnings, and 31 per cent of extra income is on paying off debts.