Swiss consumer spending in May 2024 dropped 0.3% compared to last year, showing a slight improvement from April’s sharper decline.

Consumers in Switzerland once again spent less money in May than in the same month last year. However, the decline has become slightly smaller.

Adjusted for calendar effects, Swiss consumer spending in May 2024 was still 0.3% lower than in May 2023. The significant slowdown in April (-1.1%) therefore did not continue, Postfinance announced when publishing its consumption indicator on Friday. In March and February, the year-on-year rates of change were still positive.

Although all sub-indicators showed slight signs of recovery in May, consumer momentum remained subdued and could not provide any new impetus for the weakening Swiss economy.

Significant increase in travel spending

According to the sub-indicators, consumer spending on everyday goods rose slightly compared to April and returned to the average level of the last 12 months. The increase was observed both in purchases in department stores and in spending on pets.

Spending in the beauty and wellness sector has also increased again recently, but remains within the usual range. The Swiss population also spent slightly more on leisure activities in May than in the previous month. Visits to Swiss restaurants were particularly popular, while there was a certain saturation in the area of computers and electronics.

Meanwhile, consumer spending in the travel sector rose most significantly. Both hotels and international restaurants have seen noticeably higher spending than in the year to date, according to the report.

Every month, Postfinance anonymously evaluates the payment transactions of its 2.5 million customers. The consumption indicator calculated from this shows consumer spending adjusted for sales day and public holiday effects in a year-on-year comparison or on a seasonally adjusted basis compared with the previous month for the sub-indicators “Everyday life & household”, “Beauty & wellness”, “Fun and leisure” and “Travel”.

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