New research reveals that over 55s are the best bargain hunters for the sales season.
21 December 2012
As retailers begin to gear up for the start of the sale season, new research from Legal & General reveals that 96% of UK adults are making changes to their spending habits or are planning to be more savvy with their money to make it go further as part of their everyday living.
In previous years, Boxing Day has been identified as the biggest day for people to take to the internet in search of bargains* and the Legal & General research has identified that over half of us, (51%) wait for the sales to buy the items we need.
The research of over 2000 UK adults for Legal & General's annuity business, also revealed that the over 55s age group were the most online-savvy. Nearly three quarters, (71%) of over 55's said that they shop around online and compare prices before buying. This compares with the national average of two thirds, (66%) saying that they also do this, yet only just over half, (55%) of under 35s said that they shop around online to compare prices before buying.
Further comparisons between the generations highlight the traits of these savvy over 55 bargain hunters:
- Nearly two thirds, (66%) of over 55s said that they compared prices and special offers in various shops before making a purchase, compared with just over half, (52%) of under 35's;
- 70% of over 55s said that they only buy things that they really need and will use, compared with 55% of under 35s;
- Nearly half, (46%) of over 55s stated that they shop around for the best utilities deals, compared with just 28% of under 35s;
- Nearly two-thirds, (64%) of over 55s use and collect coupons and money off vouchers, compared with just over half, (51%) of under 35s.
Tim Gosden, Head of Annuities at Legal & General's individual annuities business said: "Our latest research would suggest that the younger generations could learn a lot about being savvy with their money from the over 55s. It is great to see that their attitude to shopping and spending means that for many of them they are able to make their money go further but unfortunately not enough over 55s are using this savvy approach to their everyday living when it comes to securing their long term future income.
Industry statistics** indicate that 66% of retirees arrange their pension income directly with the provider they saved with, without even looking around to see if there is a better deal elsewhere. The result unfortunately, is that many lose out on securing extra income, which could be as much as 40% more for the rest of their life***, by not shopping around. It would be great to see more over 55s use the same savvy shopping approach they use everyday, to ensure they do source the best deal for their pension annuities - especially when it is easier to do than switching utility supplier."
To find out more about this research, visit www.legalandgeneral.com/annuities/why-choose-us/research.
Notes to editors
The research was conducted for Legal & General by YouGov among a UK sample of 2,069 people between 23-26 November 2012. The survey was carried out online and figures have been weighted and are representative of all UK adults aged 18+. Reference to over 55s relates to those surveyed who were aged 55 to 70
Sources: * Internet Retailing, 2 Jan 2012: http://internetretailing.net/2012/01/boxing-day-was-uks-biggest-ever-online-shopping-day-analysis/
** ABI Code of Conduct on Retirement Choices research, March2012.
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