Since July 2016 the leisure sector has faced a series of turbulent events. Most notably, leisure businesses are beginning to deal with the consequences of the EU referendum vote - many of which are not yet clear. Despite the uncertainty surrounding the vote, our latest survey results show that spending in the UK leisure sector in Q3 has remained strong, and has increased or remained the same in most categories.
Key findings from the Q3 2016 survey results are outlined below.
Q3 2016 update
- During the three months to September, leisure consumers reported spending more or the same in every leisure category compared to the previous quarter
- Consumers reported the biggest rise in spending on eating out. More people reported increased spending in this category over the last three months, with the measure rising by three percentage points from Q2, and six percentage points since Q1
- More people also reported spending increased amounts on culture and entertainment. This measure increased by two percentage points, since the second quarter of 2016
- Betting and gaming, drinking in pubs and bars, and spending in coffee shops have all seen increases of one percentage point in the last quarter
- Consumer confidence rose by three percentage points to a five-year high in Q3
- The gap between leisure and retail spending is narrowing as consumers continue to prioritise spending on experiences, such as holidays and days out, rather than goods and services
- Going to the gym and culture and entertainment are the only leisure categories that will likely see an uplift in spending in the fourth quarter
- Consumers reported that they are likely to reduce spending on eating out in the next three months.
The Passion for Leisure report launched in July 2016 and shares findings from Q1 2016 on the state of the leisure sector. An overview of the report and its key findings are outlined below.
Report overview
Consumer behaviour is changing as the growth of the collaborative economy and a rise in spending in the leisure sector is seeing consumers shift away from spending money on owning goods and services, to becoming more comfortable paying for access to goods, services and experiences.
Consumers increasingly want to enrich their lives with experiences and make their spare time more enjoyable by seeking services that bring convenience and enjoyment.
Simultaneously the broader macroeconomic drivers have helped consumers to have more disposable income, which they are increasingly choosing to spend on leisure activities.
The report discusses the rise of the leisure consumer and provides a Deloitte view on the significance of the UK Leisure Consumer to the economy. Using proprietary consumer research it provides a picture of current consumer expenditure on leisure and an outlook on how that is likely to develop.
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