On October 28, the Greater Phoenix Chamber hosted the Economic Development Insider Series. The event featured OH Predictive, a key partner in launching the Arizona Business Index (ABI), a barometer of the health of the Arizona economy from the perspective of the Arizona consumer.
Todd Sanders, President and CEO of the Chamber and Jennifer Mellor, Chief Innovation Officer, were joined by Mike Noble, Chief of Research & Managing Partner of OH Predictive Insights and Paul Bachman, Senior Strategic Planning Analyst & Corporate Economist for Salt River Project.
Noble started by sharing an overview of the methodology behind the ABI.
“The survey is conducted through a monthly online opt-in panel that runs throughout the year,” said Nobel. “The questions look at the individual’s current situation and future expectations for things such as personal finances, business conditions, and buying confidence of major household items.”
The Index provides robust data breaking down over 2,000 demographic combinations, ranging from suburban moms and millennials in the workforce, to homeowners and renters.
The Index is modeled after the renowned University of Michigan Consumer Sentiment Index (MCSI), using the same questions and formula. It provides insight into current public opinion regarding housing and automobile sales, the job market, the economy, and the personal credit card debt of Arizonans.
Mellor provided a high-level look at the information provided as part of the Index, sharing briefly about the key takeaways seen in the Q3 report.
“In Q3, consumer sentiment remained the same compared to Q2,” said Mellor. “There was a sharp increase in housing confidence, and we had a pleasant surprise of an increase in job satisfaction from Q2 to Q3.”
Bachman provided insight into how economists can use the Index, why Arizona needs a local consumer sentiment index, and how we can use the details taken from the ABI to support business.
“We are fortunate here in Arizona to have world-class research institutes and organizations that produce the highest quality of economic data, forecasts, and analyses on things such as GDP, unemployment, retail sales, and so forth,” said Bachman. “But what the Arizona Business Index lets us do, is peer into the mindset of the Arizona consumer. We can see when there is a change in consumer sentiment and, in return, expect a change in economic activity.”
The ABI will continue to be updated and tailored to the individual businesses that invest.
For continued access to the ABI, companies have the opportunity to make an investment, giving them exclusive access to the information gathered and personalized opportunities to have the information presented to their companies on an individual basis.
Companies interested in investing in the Arizona Business Index can contact Janelle Tassart at email@example.com to select an investment level that will provide your business with the insights you need.
-Written by Annelise Patterson, Marketing and Communications Coordinator