Date Posted: 11/8/2012 6:43:02 AM
Posted By: sashoo Membership Level: Silver Total Points: 382
Changes in household structure and behavior that have marketing implications are the rise in one-person households, households with no children and the growth in dual-income families.More people in the UK are living alone by choice, through divorce or bereavement. This suggests a key market segment who demands products that meet their particular needs, such as one-bedroom houses or apartments, and single-portion foods. A greater proportion of partners have no children and a lower proportion have dependent children. This may reflect a desire to maintain high standards of living for longer. The implication is an increase in the attractiveness of markets where couples are likely to spend their disposable income, such as restaurant meals, luxury holidays and designer clothing.Households are also changing behavior regarding employment. In many European countries there has been a growth in dual-earner families. In the UK, for example, over half of couples with dependent children are double-income families. The rise of two-income households means that this market segment has high disposable income, leading to reduced price sensitivity and the capacity to buy luxury furniture and clothing products (e.g. upmarket furniture and clothing) and expensive services (e.g. foreign holidays, restaurant meals). Also, the combination of high income and busy lives has seen a boom in connoisseur convenience foods. Marks & Spencer, in particular, has catered for this market very successfully. Demand for home-care facilities has also risen.
Next: Signs that may indicate you are an entrepreneurPrevious: Measures in solving environmental challenges
Get premium membership