Moneris Solutions

Moneris Solutions

July 14, 2011 12:24 ET

Canadian Consumer Spending Sprung Forward in the Second Quarter

The Moneris Spending Report Showed an Overall Increase of 3.80 Per Cent in Dollars Spent

TORONTO, ONTARIO--(Marketwire - July 14, 2011) - Moneris Solutions (Moneris), Canada's largest credit and debit card processor, announced today that the Canadian retail economy saw a positive increase across the country in consumer spending, compared to the same period last year and surpassing the first quarter of 2011. The Moneris Spending Report showed an overall increase of 3.80 per cent.

Spending accelerated as summer approached, with the largest growth of 5.06 per cent seen in June followed by 4.38 per cent in May and 2.42 percent in April. Consistent with the spending trend seen in the last three quarters, fast food saw the greatest increase of 11.25 per cent in dollars spent. Apparel was the runner-up category, with men's and women's clothing, and sports apparel realizing 11.10 per cent and 6.33 per cent increase, respectively. Across all categories, the average purchase amount for both credit and debit card remained constant compared to the previous quarter at $115.67 and $48.00, respectively.

Regionally, this is the first quarter where all provinces saw positive growth since the third quarter of 2010. Saskatchewan was the leading province with an increase of 6.66 per cent in dollars spent, followed by Quebec with a growth of 5.84 per cent and Ontario at 3.46 per cent. The smallest growth was seen in British Columbia, which still showed a respectable growth of 1.75 per cent compared to the same period in 2010.

The second quarter also saw several special events and holidays that resulted in a major boost to consumer spending. Mother's Day and Father's Day weekend each saw Canadians opening their wallets to celebrate, resulting in 8.11 per cent and 1.75 per cent growth in dollars spent compared to the previous weekend. During Mother's Day weekend, florists saw an incredible growth of 297.43 per cent. Furthermore, in Toronto the inaugural Ultimate Fighting Champion event and Luminato resulted in week-over-week spending increase of 19.24 per cent and 6.86 per cent in restaurants, respectively. In Montreal, the Grand Prix drove the growth in the hospitality industry, resulting in 25.54 per cent and 117.42 per cent increase in restaurants and drinking places, respectively.

"The first two quarters have shown positive growth for the Canadian economy," said Jim Baumgartner, President and CEO, Moneris Solutions. "With the continuous growth from the beginning of the year to date, we anticipate the momentum will continue into the second half of 2011."

About The Moneris Spending Report

The Moneris Spending Report provides a snapshot of consumer spending activity in Canada by analyzing credit and debit card transaction data. As the market leader with the largest merchant base, Moneris presents detailed analysis and insight on a quarterly basis. The percentages cited are derived from actual sales volumes – the dollar values of credit and debit card transactions being processed by merchants.

About Moneris Solutions

As one of North America's largest providers of payment processing solutions, Moneris offers credit, debit, wireless and online payment services for merchants in virtually every industry segment and processes more than three billion transactions annually. Through its Ernex division, Moneris offers electronic loyalty and stored-value gift card programs. With more than 350,000 merchant locations, Moneris provides the hardware, software and systems needed to improve business efficiency and manage payments. For more information please visit www.moneris.com.

Contact Information