The spending habits of Australians have been put under the microscope in a new survey by Dodo. The study revealed Aussies continue to spend on frivolous items such as bottled water, takeaway meals and daily coffees even though they know they are a waste of money.
The Dodo Save it for Spending Survey revealed one in five Aussies (22 per cent) consider takeaway coffees an ‘essential waste of money’, followed by bottled water for 14 per cent and dinners out for 13 per cent of respondents.
Yet 70 per cent of those surveyed said they were prepared to tighten their belts in order to save money. Most commonly, Aussies were prepared to forgo meals out and look for saving whilst grocery shopping. Leftover cash and savings were most often used to boost savings, pay bills or go towards a holiday.
Andrew Wynne, Dodo’s General Manager of Sales and Marketing, said the Dodo Save it for Spending Survey uncovered that while Australians were increasingly frugal, they also can’t forgo some of life’s little luxuries.
“The survey’s uncovered that, for the most part, Aussies are sensible with their money and are making savings where they can, particularly on essential everyday items such as the grocery shop,” Wynne said.
Wynne said the survey also revealed differences in the spending and saving habits across generations and sexes.
Wynne confirmed 61 per cent of men admitted to spending on items they think are a waste of money compared with 56 per cent of women. While 76 per cent of Millennials admitted to spending on something they acknowledged as a waste of money compared to 48 per cent of Baby Boomers.
More than one in two women who admit to unnecessary spending (52 per cent) think they ‘just can’t go without’ fashion and beauty products/services. While If they could create more savings, women (64 per cent) would be more likely than men (56 per cent) to splurge on holidays.
More than two in five Millennials who admit to unnecessary spending (42 per cent) see outings as an essential waste of money that they just can’t go without, and are more likely than their older counterparts to think so (37 per cent for Gen X and 26 per cent for Baby Boomers).
Nonetheless Wynne suggested the survey found that Aussies spend savings practically.
“Half report that longer-term savings and paying off necessities take precedence over splurging on material goods or holidays,” he said.