Report: Consumer Confidence in Technology, Economy Improve in October Nov 2, 2011

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Consumer confidence in technology reached its highest level of the year in October, according to the Consumer Electronics Association (CEA), which reported that confidence in the overall economy also improved.

The Index of Consumer Technology Expectations (ICTE) rose nearly eight points to 89.6, the highest level since December 2010. The ICTE measures consumer expectations for technology spending and is up more than 10 points from this time last year.

“Increases in consumer sentiment around technology are expressly higher, not just on a sequential basis, but also on a year-over-year basis, a good sign headed into the important fourth quarter and holiday selling season,” said Shawn DuBravac, CEA’s chief economist and director of research. “Electronics will play a key role in the holiday shopping season as consumers look for innovative gadgets to give as gifts.”

Overall consumer sentiment increased for the first time since April. The Index of Consumer Expectations (ICE) increased nearly three points in October. The ICE measures consumer expectations about the broader economy. It remains more than seven points lower than this time in 2010.

“Consumer sentiment toward the economy is improving after months of continuous declines,” said DuBravac. “Consumers are beginning to show a willingness to spend this holiday but will be looking for bargains.”

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