Contents overview customer personas pioneers pragmatists skeptics. At the global level, the 95 per cent prediction interval indicates a total population that is as many as 8. The ethical consumer markets report has been acting as an important barometer of uk spending since 1999. When we finish this lecture you should chapter five. Global consumer markets service spending data, trends. I cant find a thorough assessment of consumer and demographic trends across countries. Demographic dimensions of final consumer markets global consumer markets. Users who downloaded this paper also downloaded these. Impact of demographic factors on consumer behaviour a.
Consumer expenditure gauges the level of demand for goods and services in a country making it a key indicator of size and the potential of a country market. Demographics are clearly tied to subculture and segmentation. Strategies for todays trade globalist czinkota et al. Market segmentation introduction to business bc open textbooks. Demographic focus changing global consumers 2 todays consumers are different than yesterdays. Market segmentation and its impact on customer satisfaction with especial reference to commercial bank of ceylon plc puwanenthiren premkanth abstract in this competitive commercial world, an organization has to satisfy the needs and wants of the customers, and has to attract new customers, and hence. In dividing or segmenting markets, researchers typically look for common characteristics such as shared needs. Use our country reports to compare consumer trends and economic factors tied to income distribution and consumer spending. Each consumer report offers the primary research and indepth data found in our market data reports alongside expert insights, trend analysis and market forecasting. See how you can leverage market segmentation by learning.
Customer logins obtain the data you need to make the most informed decisions by accessing our extensive portfolio of information, analytics, and expertise. The word demographic is derived from demography, meaning the study of population. Chapter 5 demographic dimensions of global consumer markets free download as powerpoint presentation. How will changing demographics impact global markets. Global population projections do not differ much until after 2030 because of the current age structure and population size. Young populations can experience a demographic dividend stemming from an influx of new workers into the workforce, while aging populations may be a demographic timebomb that threatens a countrys economic growth and the sustainability of social programs. Chapter 5 demographic dimensions of global consumer markets. We track sales data across a wide range of consumer sectors. Demographic segmentation uses categories such as age, education, gender, income, and household size to differentiate among markets.
Here, however, we shift our focus from analyzing specific subcultures to trying to understand the implications for an entire population of its makeup. The market is driven by the growing demand for hemp oil and fibers in the automotive, construction, food and beverage, personal care, and textile industries. Fertility, mortality, and immigration i fertility the size of the global population is most affected by fertility rates in countries with moderate to high population growth. Using population data to enhance your business strategy.
Post demographic consumerism time to throw out the traditional and tired demographic models of consumer behavior. Africas consumer market potential brookings institution. Characteristics of consumer markets based on demographics include differences in gender, age, ethnic background, income, occupation, education, household. In other words, markets with higher urbanisation rates usually offer better fmcg prospects. The impact of population aging on financial markets. Consider, for example, the nine nations of north americagarreau, 1982, latitudes and attitudes. Consumer spending market opportunities relocation and outsourcing urban renaissance and decline pecialisation. In 2020, this market is expected to reach a size of. Minority communities often identify with one another on the basis of a boundary that distinguishes them from the majority of the population or other minorities, for example common ancestry or. The remainder of my talk will discuss some of the ways these changing demographics could influence the u.
Demographic dimensions have received broader acceptance and lend themselves easily to quantification and easy consumer classification. In fact, people launch products keeping the market. Instead, learn about consumers and their interests. How will the evolution of the global economy influence. While demographic variables have long had a prominent role in international segmentation, a consumer oriented strategy that is carefully coordinated with target customer attitudes and values has a. First, the essential features of emerging marketssupported both by popular perception and by dataare their high degree of volatility and their transitional character, with transitions occurring in economic, political, social and demographic dimensions. When reflecting on the nature of markets, consumer behaviour and. Chapter 5 demographic dimensions of global consumer markets results of 2nd sd. Age, income, gender, ethnic background and family life cycle are all important factors of demographic segmentation. This demographic market analysis can assist with two main objectives. These geographic characteristics are often based on market size, region, population density and even climate, according to the article market segmentation at. Chapter 5 demographic dimensions of global consumer markets 01022008.
Market segmentation is the process of dividing a target market into smaller, more defined categories. Demographic segmentation sorts a market by demographic elements such as age, education, income, family size, race, gender, occupation, nationality, and more. Below is a list of the largest consumer markets of the world, according to data from the world bank. There are 4 types of market segmentation which are most commonly used. Even if fertility rates everywhere were to fall immediately to replacement level about 2. This segmentation consists of dividing customers by how much of the product is used or consumed. This statistic illustrates the size of the global directto consumer dtc genetic testing market from 2014 to 2022, in million u. Chapter 05 demographic dimensions of global consumer markets answer key true false questions 1. Uk ethical consumer markets report ethical consumer. Using different types of market segmentation allows you to target customers based on unique characteristics, create more effective marketing campaigns, and find opportunities in your market.
At the global level, fertility rates have been falling since the last decades of the 20th century as a result of the largely voluntary choices of. Millennials defined here as consumers aged 2534 years represent a sizeable demographic, ranging from 11% the population in ageing japan, to 18% in more youthful markets, such as vietnam and south africa, to 31% in extreme cases such as the uae, where there is a large group of workforce age expats present. Several issues are useful in the structure of a population. With the customer population and preferences becoming more wider, and the competitive options becoming more available, market segmentation has become critical in any business or marketing plan. Pdf identity, demographics, and consumer behaviors. We are also delighted to include insights from tsinghua university, as well as leading global chinese companies and. Fast moving consumer goods fmcg also known as consumer packaged goods are products that can be bought at a low cost. Countries in the world by population 2020 this list includes both countries and dependent territories. Census bureau consumers naics and sic codes businesses. This is the consequence of three major mutually interacting factors. Future trends and market opportunities summary executive. The last type of segmentation is called usage rate. Industrial hemp market size, share industry report, 2020. The park is going to use an age range of 260 years of age so they can include.
Development in an era of demographic change world bank. Choose from 500 different sets of dimensions of marketing strategy flashcards on quizlet. Population density fmcg retailers need a stable flow of consumers purchasing their products on a daily basis, so they have to operate in a local market with a large enough size. The five basic forms of consumer market segmentation are demographic, geographic, psychographic, benefit, and volume. As such, marketers must be aware of, and plan for the fact that as time goes on, spending on services will grow at the expense of spending on goods. Tourism market and demographic changes researchgate.
This table may be more easily updated if the rankorder column 1,2,3 is removed and a row number column is added instead. Governments, corporations and nongovernment organizations use demographics to learn more about. A radical demographic shift is transforming the nature of consumer markets. Monitoring demographic trends is a vital part of business strategy for any consumer goods or services company as changes in population size will impact the consumer market potential. Demographic segmentation is market segmentation based on various demographic factors, like age, gender, social class, etc. Consumer behaviour jane priest is a teaching fellow at edinburgh business school and teaches parts of the oncampus marketing course, as well as the consumer behaviour elective by distance learning. Difference between business markets and consumer markets. The prescription glassesspectacle category occupies a major revenue share in the eyewear market and this trend is likely to continue during 20152020. However, the online store would be the fastest growing segment, registering a cagr of 14. Demographics and their implications for the economy and policy. The global industrial hemp market size was estimated at usd 4. Chapter 5 demographic dimensions of global consumer. An atlas of american tastes, trends, politics and passionsweiss, 1994 and mastering global markets. Market segmentation in the discipline of marketing is the recognition of the need to be both efficient and effective with limited resources.
The report is trusted and used by businesses, academics and the uk government. How to explain consumer markets with examples bizfluent. The ubiquity and collective familiarity with these global megabrands, when combined with the global reach of consumer information, has also created if not a shared consciousness then certainly a new level of post demographic shared experience for consumers, from 16 to 60 and from boston to beijing. Marketers for industrial goods, like those for consumer products, can segment markets according to the individuals involved in a purchase in terms of buyerseller similarity, buyer motivation. Learn vocabulary, terms, and more with flashcards, games, and other study tools. Demographics can be segmented into several markets to help.
Section four describes the agespecific pattern of asset holdings that emerges from the 2001 survey of consumer finances and outlines the challenges. However, the usage of demographics, for instance, has been questioned and argued that demographic. These products are consumed on a small scale and are generally available in a variety of outlets including. Mintels market data reports offer a quick and indepth look at a market, providing market sizes, market shares, industry insights and 5 years forecasts. Consumer marketers use demographic variables like age, income, location and sociopsychological variables like attitudes, preferences, personality and lifestyle to segment their markets.
Sep 29, 2019 demographics is the study of a population based on factors such as age, race and sex, among others. This is perhaps the most common form of market segmentation, wherein companies segment the market by attacking a restricted geographic area. Global consumer product and service companies that start now to. The roles played by demographic and psychographic variables. Pdf this paper identifies the major demographic trends and their implications for consumer market.
Marketing strategy planning and demographic dimensions of final consumersexhibit 51 final consumers ch 5. Basic explanation of demographic segmentation with examples. Cultural diversity and its impact on global consumer markets. A consumer market makes purchases for their own individual use and is characterized by their demographic, behavioristic, psychographic and geographic aspects. Demographic segmentation is market segmentation according to age, race, religion, gender, family size, ethnicity, income, and education.
Click on the name of the country or dependency for current estimates live population clock, historical data, and. By integrating brand equity data from facebook, the report aims to assess the brand awareness of chinese companies across global markets. Global consumer pro duct and service companies that start now to assess. Demographic trends have a big impact on the global economy. Demographic segmentation is one of the simplest and most commonly used forms of segmentation because the products and services we buy, how we use those products, and how much we are. In this grim battle for snatching maximum share of market, only those producers are destined to emerge victorious who will be able to read the pulse of the buyers. Learn dimensions of marketing strategy with free interactive flashcards. Alongside historically unprecedented demographic changes, peoples behaviours have also changed. The key changes relate to demographics, the management of individual. Global consumer culture is at one and the same time, ideology and social process, as something continuously made and remade through. In 2016, global real growth in consumer expenditure stagnated at 2. She is a key member of a team exploring how technology can be. Data based on the latest united nations population division estimates. Then i will turn to considerations for monetary, fiscal, and other government policies.
Consumer behaviour edinburgh business school v contents preface xii part 1 the consumer in context module 1 people as consumers 11 1. Our focus is on consumer markets rather than business markets, but most of the following concepts also apply to b2b. Until the turn of the century, population growth powered more than half of global consumption. Market segmentation is one of the oldest marketing trick in the books. I need to assess global opportunities and risk, size and segment country markets and set sales and revenue targets. This form of market segmentation is the most common because demographic information is easy to obtain. The next three sections present new empirical evidence on the links between population aging and financial markets. Future trends and market opportunities in the worlds largest 750 cities how the global urban landscape will look in 2030. Understanding the characteristics of consumer markets.
Market segmentation is the activity of dividing a broad consumer or business market, normally consisting of existing and potential customers, into subgroups of consumers known as segments based on some type of shared characteristics. It helps the firm divide the market into several segments or groups, each having a common variable, and target each of these. The changing ethnic, cultural and religious mix within western societies is having a profound impact on consumer lifestyles, shopping behaviour and company strategies. Market segmentation and its impact on customer satisfaction. This can be achieved by understanding targeted consumer groups on both demographic and psychographic levels, which refer to the attitude, perception and belief factors related to ego and selfidentity that can influence a products purchase. Chapter 6 behavioral dimensions of the consumer market. Population trends income growth and distribution urbanization, literacy, and other demographic ageing and consumer market. Chapter 6 behavioral dimensions of the consumer market free download as powerpoint presentation. Markets are people the springer series on demographic methods and population analysis 9789400718548. Shifts within a population profile, such as diversity or ageing, will also change demand and provide new opportunities.
Two decades ago, the term global marketing did not even exist. Consumer market spending patterns ethnic dimensions. Demographic realities are substantially determined by economic and social circumstances and institutions. Global consumer culture global consumer culture is driven by the extension of businesses organized around market principles into every corner of the planet. This year marks 20 years of our reporting on the size of the uk ethical consumer market. Consumers have different likes, dislikes and needs which are affected by four main characteristics. The countries are sorted by their household final consumption expenditure hfce which. Census bureau provides a great deal of demographic data, especially about metropolitan areas.