Survey tracks consumer involvement and spending in ten key retail categories.

TORONTO - In April, Canadians opened both their arms and their wallets to help usher in the official start of spring. The latest edition of the Retail Reid Index - where a representative national sample of Canadian adults was asked at the beginning of May about their expenditures in the month of April - highlights a lift in consumer spending in comparison to March.

The results released show that the Retail Reid Index has risen to 105.4% (versus January 2009), up 1.2% over March. Spending increases in seasonal, apparel, sporting goods, and home furnishing are the key drivers of growth.

"The influence of spring is most clearly pronounced in the seasonal and outdoor category," says David Gardner, Senior Research Manager of Angus Reid Strategies' Retail and Consumer Practice. "Both involvement and spending are notably higher in the category, as many Canadians begin preparing their outdoor spaces for spring and summer."

Apparel has also benefited from a change in season, as both men and women look to update their wardrobes with new spring fashions. "Some consumers are also likely taking advantage of end of season apparel sales and winter clearance events," says Gardner.

While seasonality is helping, as are some tactical measures put forth by retailers, many consumers are still hesitant on larger purchases - spending is at its lowest levels since January in computers, home electronics, and furniture and major appliances.

Supported by the Index, the Canadian retail market has exhibited positive month-by-month performance versus January, though the market is not making an about face quite yet. "We aren't dropping like the latter half of 2008, but the market is still too fragile to say the worst is over - it's still somewhat unpredictable," says Gardner.

It's this unpredictability that poses an ongoing challenge for retailers across the board. Encouragingly, however, the Index does suggest that Canadians are consumers of habit, and seasonal changes should continue to benefit key categories even in uncertain economic climates.