Tag Archives: RBC Bank

Canadians are in a Gift-Giving Mood for the Season According to RBC Survey

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TORONTO, November 22, 2011— With the holiday season just 32 shopping days away, there may be a few more presents under the tree this year. According to an RBC survey, Canadian gift-givers are planning to spend an average of $640 on gifts – up from $624 last year – and on average they will be spending $100 more than last year ($612 compared to $512) on other holiday items (entertainment, decorations, travel, etc.)

If last year’s spending intentions and actual expenditures are any indication, Canadians will be experiencing yet another post-holiday headache, trying to pay off their bills in the New Year. In 2010, one-third of holiday shoppers who went over budget spent an average of $429 more than they intended – Atlantic Canadians actually overspent by $521, the highest expenditure in the country – and ended up cutting back on entertainment, day-to-day living expenses, credit card use and coffee/lunch costs to make up the difference.

“Having a budget in mind before you start checking off your holiday gift list will help ensure you’re only spending what you know you can afford. It can be easy to get carried away with the holiday spirit when you’re out shopping,” advised Maria Contreras, product manager, Savings Accounts, RBC. “The very best gift you can give to yourself and your family is a debt-free holiday season – and a financially worry-free New Year.”

Many Canadians intend to use money in hand to do their gift-buying, including cash (55 per cent) and debit cards (27 per cent) among their top three financing options for holiday purchases. Credit cards (37 per cent) round out the top three. Another sign that consumers are budget-minded: only 10 per cent said they hadn’t yet thought about how to finance their holiday spending, compared to 20 per cent in 2010.

“Enjoying the holidays doesn’t have to come with a big price tag attached,” added Contreras. “A little planning ahead can help you stay within your spending limits for the holidays, as well as all year round. Ideally, you’ll not only be covering your expenses, you’ll also be saving money for your future goals. You can also use online financial management tools such as myFinanceTracker, a great solution for setting and tracking budgets, savings goals and spending habits.”

Six Savings Tips for the Holidays and Year-Round

  1. Curb your impulses. Count to 30 before impulse buying in a store, or wait 24 hours before making an online shopping decision.
  2. Pay yourself first. Make your savings plan part of your bill paying routine, just like cable, utilities and mortgage payments.
  3. Track your expenses. Make a list of all your expenditures over three months to see where there are opportunities to turn spending into saving.
  4. Keep a separate savings account. Set up an account dedicated to savings; in this way, your savings won’t get mixed in with your day-to-day cash.
  5. Set a target date for your savings goal. Having a deadline can help you decide how much to put away and how often.
  6. Visualize your savings goal. Are you saving for a vacation? A big screen TV? Keep a photo of your dream on hand, to inspire you to continue saving.

About the RBC survey

As part of Canada’s most comprehensive consumer attitudes poll, this survey was conducted online via Ipsos Reid’s national I-Say Consumer Panel to 3,054 Canadians (453 British Columbia, 454 Alberta, 458 Saskatchewan/Manitoba, 705 Ontario, 516 Quebec, 467 Atlantic Canada). Weighting was then employed to balance demographics and ensure that the sample’s composition reflects that of the adult population according to Census data and to provide results intended to approximate the sample universe. Data collection was September 26 to October 03, 2011. A survey with an unweighted probability sample of this size and a 100 per cent response rate would have an estimated margin of error of ±1.65 percentage points, 19 times out of 20, of what the results would have been had the entire population of adults in Canada been polled.

For more information, contact:
Kathy Bevan, RBC Corporate Communications, 416 974-2727
Craig Christie, RBC Corporate Communications, 416 974-8820

Secrets to Small Business Success as Revealed by Entrepreneurs in RBC Poll

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TORONTO, October 13, 2011 — Canadian entrepreneurs say the most important pieces of advice that they would give to other entrepreneurs to help them grow their businesses are: 1) develop an effective business plan (44 per cent); 2) manage your time well (43 per cent); and 3) engage in networking (38 per cent), according to the 2011 RBC Small Business Survey conducted by RBC and Ipsos Reid.

“With many competing priorities, it can be challenging for any small business owner to know where to focus their attention,” said Mike Michell, national director, Small Business, RBC. “These survey results tell us loud and clear that planning, networking, and managing your time should be at the top of every entrepreneur’s agenda.”

Entrepreneurs suggest that other business owners who want to grow their businesses should also:

  • Seek help/advice (28 per cent);
  • Aggressively solicit clients/business (25 per cent);
  • Conduct market research/planning (25 per cent); and
  • Get financial advice before starting our business (23 per cent).

“This is great advice coming from small business owners considering the challenges that they expect to face over the next year,” said Michell. “The expertise of peers and professionals can help take your business to the next level.”

The study also found that the top three challenges business owners say that they will face over the next year are:

  • finding clients/developing market (60 per cent);
  • maintaining sufficient cash flow/maintaining growth (47 per cent); and
  • work life balance issues, like working long hours (35 per cent).

“Lessons can be learned from these challenges,” adds Michell. “Finding clients, as well as retaining them, is an ongoing challenge for business owners at every stage, and critical to the life and success of any business.”

RBC Business Success Tips

  • The creation of a business plan should help you identify your customers, your market, the competitive landscape, and other important aspects of your business.
  • Leverage your business plan to help identify what your true priorities are, and start each day with a plan to effectively manage your time.
  • Ask for advice from people who are already working in your line of business, as many of them are usually willing to share industry information or serve as sounding boards for your ideas.
  • Leverage technology to communicate to potential and existing clients, using websites and social media.

These are some of the findings of an RBC/Ipsos Reid survey conducted from July 29 to August 8. This online survey of 1,400 entrepreneurs, who were either self-employed or owned their own small business, was conducted via the Ipsos I-Say Online Panel, Ipsos Reid’s national online panel. The results are based on a sample where quota sampling and weighting are employed to balance demographics and ensure that the sample’s composition reflects that of the actual Canadian population according to Census data. Quota samples with weighting from the Ipsos online panel provide results that are intended to approximate a probability sample. An unweighted, probability sample of this size, with 100 per cent response rate would have an estimated margin of error of ±3 per cent, 19 times out of 20.

About RBC Small Business Banking

Small businesses in Canada want flexible banking choices, convenient payment options and simple ways to manage their cash flow. Whether they are starting a business, managing growth, or succession planning, the RBC Advice Centre can help answer their questions. Free interactive tools and calculators provide customized information covering many facets of business finance and online advice videos are updated regularly to answer questions that are top of mind with small business owners. With the guidance of RBC business advisors, small business owners have access to free, no obligation professional advice about RBC products and services. For more assistance, please visitwww.rbcadvicecentre.com.

For more information, please contact:
Margie McNeil, RBC Corporate Communications, 905 606-1425, margie.mcneil@rbc.com
Angela Gordon, RBC Corporate Communications, 905 816-5650, angela.gordon@rbc.com