THE $1000 QUESTION - CANADIAN MILLENIALS 1

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Canadian Millennial Spending Priorities How would we spend an extra $1,000? Prepared for: Abacus Data Inc. Prepared by: Jaime Morrison March 26, 2012

2 THE $1000 QUESTION – CANADIANMILLENIALS.CA WEB BRIEF

The $1000 Question In a November 2011 survey we asked 1005 Canadian Millennials between the ages of 18 and 30 what they would do if they had an extra $1000 to spend. The open-ended question offers unique insight as to this generation’s consumer spending priorities.

Many respondents identified many things they would spend the extra money on.

Abacus Data Inc. has compiled a list of the top priorities based on the number of

mentions by respondents on the survey.

Most Millennials want to pay off their debt or start

saving for the future.

215

200

128

100

91

67

64

63

29

26

0 50 100 150 200 250

Pay off debt

Savings or Investment

Travel

Fashion and Beauty

Things for the Home

Electronics

Entertainment and Interests

Education

Vehicle Upgrades

Living Expenses

If you had an extra $1000 to spend what would you do with it? (millennials only, N= 1005)

THE $1000 QUESTION - CANADIAN MILLENIALS 3

There were some notable Millennial priorities that stood out when we asked how they would spend their extra cash. In Canada most Millennials say they would rather pay off their debt or start saving for the future than spend it on products or services.

About one fifth (215) survey respondents told us that if they had an extra $1000 to spend they would use it to pay off some of their debt (most often described as student debt). Secondly, 200 respondents said they would put the $1000 into savings for the future.

After financial obligations, travel was the most highly cited way to spend extra money. Many Millennials would put the extra cash towards a trip. While travel is a clear priority for Millennials today, fashion and beauty did not rank far behind. One in ten said they would prefer to spend their extra money on clothes or esthetics.

Another popular response was spending on things for the home. Many of the Millennials surveyed said they would buy some home furnishings, like a new couch or decorations for their space if they had an extra $1000 to spend.

Not surprisingly many would spend $1000 on new electronics, many said they wanted a new laptop computer or listed other communications technology they’d like to buy with their extra money.

While education was not highest among the Millennial spending priorities many said that they would spend or save their extra cash for additional education in the future. Similarly, many others would prefer to spend on their hobby, interests or entertainment, such as a new guitar or other musical and sports equipment.

A vacation, a laptop, a new wardrobe, a guitar, a couch; are a among the top Millennial spending priorities

4 THE $1000 QUESTION – CANADIANMILLENIALS.CA WEB BRIEF

Methodology

In November 2011, Abacus Data Inc. conducted an online survey among 2,068 randomly selected Canadian adults from an online panel of over 400,000 Canadians.

The margin of error—which measures sampling variability—is comparable to +/-3.2%, 19 times out of 20.

Results of the survey were statistically weighted by gender, age, region, language, and immigration status using census data from Statistics Canada and by past vote using Elections Canada results from the 2008 General Election. Totals may not add up to 100 due to rounding.

For more information about the poll’s methodology, visit the Abacus website at www.abacusdata.ca

The table below reports the unweighted and weighted distribution by region or province.

Region/Province Unweighted Count (All Respondents)

Weighted Count (All respondents)

Atlantic Canada 154 142

Quebec 551 481

Ontario 745 677

Prairies (MB and SK) 153 266

Alberta 208 226

BC 233 276

Total 2,045 2,068