Final presentation - Assessing Market Potential Of Consumers Between 50 to 60 years
0 likes317 views
The report examines the market potential of Indian consumers aged 50 to 60, focusing on health, wellness, and tourism sectors. It identifies demographic and psychographic profiles of the target group, along with their spending habits, exercise routines, and holiday preferences, suggesting ways to effectively market products and services to this segment. Key findings highlight a strong awareness of health and exercise, but also reveal gaps in engagement and potential advertising strategies to appeal to this demographic.
Final presentation - Assessing Market Potential Of Consumers Between 50 to 60 years
- 1. SUMMER PROJECT REPORT By – V. Gopalakrishnan (PGDMB11/20) ASSESSING MARKET POTENTIAL OF CONSUMERS BETWEEN 50 TO 60 YEARS (WITH SPECIFICS TO HEALTH, WELLNESS & TOURISM SECTORS)
- 2. Introduction: • India - younger nation by the hour ; over 75% of the Indian population below 35 years • Highlighted by estimates stating the average age of the Indian Consumer in 2020 will be 29 years. • In this scenario a marketeer is more focused on targeting the Indian youth • Research Project to study market potential of consumers between 50 to 60 years (hereon referred “Target Group”) who have their own set of needs • Also aims to analyze if there are any need gaps faced & identifying means/methods to target this segment.
- 3. Research Objective: The research aims to • find the important factors that the Target Group consider in their buying decisions • assess what the basic needs & wants of the TG are - analyze the existing need gap faced by them • analyze the existing need gap faced by this Target Group, if any • suggest ways to build and strengthen the brand of JWT clients
- 4. Research Objective (contd.): The research aims to : • propose strategic action plans to target this consumer segment & thereby generate revenue • identify effective advertising channels/mediums to communicate to the Target Group This study would basically contain the following two details: 1. Demographic profile of the Target Group 2. Psychographic profile of the Target Group
- 5. Methodology: Study involved a segmentation research methodology which encompasses the following: • Determining the basis of segment class Target Group belong to • Establishing the market potential and responsiveness of the Target Group • Selecting potential markets (in this case Health,Welness & Tourism Sectors) • Creating lifestyle profiles of the Target Group
- 6. Methodology (contd.): The research methodology encompassed Primary Data Analysis: • Questionnaire: Both, online and hardcopy of the questionnaire was distributed among the samples of the Target Group. • Depth Interviews: Conducting structured & in-depth interviews with the Target Group Secondary Data Analysis (limited use): • General business sources & Government business sources – Brent Green Associations Research – Do We Know Enough to Market to the Older Consumer? The Case of Marketing Correctness” - by Suresh Paul Antony, P.C. Purwar
- 7. Sample Definition: The Target Group is defined as below : • Men and women between the 50 - 60 years age range • Consumers in the city of Chennai • Settled in life, having a good amount of savings (no quantitative basis - rather an assumption was made based on brief interaction with respondents) • A mix of retired individuals & those nearing the age of retirement
- 8. Actual Population: • Estimates for population of Chennai according to Govt. of TamilNadu Census 2001 Data TOTAL POPULATION IN 2001 325008 INCREASE IN 2011 AT 7.% 22750.56 TOTAL POPULATION IN 2011 (predicted) 347759
- 9. Sample Size: • Approx. 50 individuals among the 50 - 60 year age group across Chennai were targeted. • The sample size had respondents with a mean age of 54 years and a median age of 55 years. • The final sample population had 44 respondents. • Among this there were 31 males and 13 were females.
- 11. Whom they stay with: • The respondents interviewed were – predominantly staying with their family and kids (64% of the sample) – and the rest with only their spouse (30% of sample)
- 12. Level Of Education: • Major portion of the respondents are graduates mainly headed by Arts Graduates - around 23% of the population. • Followed by Science Graduates who constitute 21% of the population. • Closely followed by the Post Graduate population which constitutes 16% of the total. • The population in professional services and those who had graduated in commerce follow next with 9% each.
- 13. Level Of Education: • This Target Group has lesser number of doctorates and engineers who tally to a small 5%
- 14. Occupation / Profession: • we find a significant 25 % of people are employed with private concerns and multi-national companies. • This shows the reason for high income levels of this age group. • The next profession which most in this age group fall into is Public Sector Units having a major 18% of the total population. • This is closely followed by those offering Professional Services (13%)
- 15. Occupation / Profession: • And those having their / engaged-in their Own Business constitute 11% of the population sampled.
- 16. Household Income : • This Target Group comprises those who have achieved the status of the “Achievers” and are the top of the income pyramid. • The household income levels of this Target Group lie between 4 to 8 lakh which is constituted by 45.45% of the population. • Followed by 2 to 4 lakhs which is made up of 27% of the population. • This shows us that people in this Target Group are well off in terms of money flow and income
- 17. Household Income : • Hence the Target Group can be classified as being under the SEC A & SEC B socio-economic classifications.
- 18. Household Expenditure: • The house hold expenditure posts an interesting picture • Around 43% of the population spending 20000rs and above in a month. • Clearly shows Target Group believes in savings but at the same time is not frugal in spending for essential commodities & durables. • Approx. 30% of the target group spends anywhere between 15000 to 20000 a month on household expenses • Followed by 22% of them who spend between 10000 to 15000.
- 20. Household Income vis-a-vis Expenditure 30.0 66.2 34.9 27.8 27.4 0.0 10.0 20.0 30.0 40.0 50.0 60.0 70.0 Income Spent on Expenditure (%age) Income Spent on Expenditure (%age)
- 21. Daily & Weekend Routine: • Mostly their routine is characterized by – an exercise routine, mostly being a walk – followed by reading newspaper – and then going to office. • The Target Group makes sure they spend time with the family which is shown by the below graph – 25% of the sample never miss spending time home with their family • This Target Group is highly concerned about their health as is seen by their importance to exercise routine – 43% of sample population wouldn’t miss exercise anyday
- 22. Daily & Weekend Routine: • This exercise routine is predominantly walking/jogging followed by yoga/meditation. • Very few percent of the TG hit the gym or do heavy workouts. • Also the Target Group is religious and make it a point to offer prayers at home or at religious places – 45% of population Weekend Routine – • The TG prefers to relax and unwind over the weekends after a hard week at work. • They prefer to take rest, spending time with family & by watching movies and TV shows.
- 23. Daily & Weekend Routine: • Some also go for nature walks at nearby parks and beaches. • Weekend is hence a personal time that they get to refresh themselves for the week ahead.
- 24. Mode Of Transport: • The mode of transportation used predominantly by this segment is Cars with almost 43% of the population using it to commute. • This is followed by 28% of TG using bikes/scooters for commutation. • Public Transport is the next bigger option that is used by the TG for their transportation – around 14% of them prefer using public transport. • Auto rickshaws and Cycles are used by around 12% of the population constituting the lowest in terms of usage for commutation.
- 26. Hobbies & Interest: • The main hobby of this target group is going for walks either at their nearby park /beach or around their place of stay. – Almost 55% of the population had walking as their hobby. • Following walking as the favorite past time we have Reading as a second favorite among the Target Group. • 36% had said that they like to read books newspapers and periodicals and this was their second most favorite interest. • 25% of the population are more concerned about their health and pursue yoga/meditation as their hobby. • Other hobbies including solving sudoku,watching sports and a little bit of cricket/shuttle.
- 27. Views On Exercise : • Almost unanimously the TG agrees that exercise is needed in their daily life. • 62% of the population feels it is a necessary and essential activity to be followed regularly. • 32% take a neutral stand emphasizing that a healthy & balanced diet is more important but doesn’t neglect the need of exercising. • A meager 7% feel that exercise is optional. • Walking is the exercise that done by almost 88% of the Target Group – The routine is for half an hour daily or a total of 3 hours in a week.
- 28. Views On Exercise & Exercise Routine: • This is followed by general exercises such as stretching and limbering which constitute 13.5% of the population. • The other favourite exercise is Yoga which is done by almost 7% of the population. • Another 7% of the population use a tread mill /exer-cycle to exercise.
- 29. • Only 66% of the population follows a strict exercise routine daily. • 32% of the population does not exercise daily and it’s an intermittent routine that they follow. • This shows population is of the view that they need to exercise daily and that its needed but aren’t able to find the time to do it on a routine basis. Exercise Routine:
- 30. • Almost 93% of the populations agree that holidays are needed. – 50% feel it is essential irrespective of age and gender and – 43% feel it is needed but optional and can be taken if one needs a change/break from routine • 7% feel that holidays are not needed. Holidaying View & What They Look For:
- 31. • The pattern of holidaying is shown in the below pie chart. • This Target Group has 34% people going on holidays once a year. • 32% of people feel that their holidays are unplanned and taken ad- hoc. • Upto 13.5% of the population take a minimum of two holidays / year. Holidaying Pattern:
- 32. • The favorite holiday destination among the respondents are hill stations namely Ooty,Kodaikanal,Munnar,Shimla and Darjeeling. • Almost 30% of the respondents have named a hill station of their choice as their favorite holiday location. • 7% named their native place as their favorite holiday destination & another 7% named pilgrim spots and spiritual places as their favorite holiday destination. • Approximate average spends on holidaying in a year was above 25000 INR showing the high spend on holidays among the TG • This Group and the potential with respect to holidays and holidaying. Favorite Holiday Destination & Spend:
- 33. • 52% of the respondents felt that health care is essential irrespective of age/gender. • 27% of the respondents felt that Health care is important in their lives but is taken care by a nutritious & balanced diet that they have. • A meager 4% felt that health care is not necessary and that they don’t give as much importance to health care as required. • This shows the fact that, among the 50 to 60 year age group, health care & exercise take precedence. • At least their views are aligned towards a overall positive outlook. Health-Care / Wellness:
- 34. • 52% felt that they were getting the required amount of energy needed by them from the food they consume. • 27% felt that they were getting needed energy only to a certain extent from the food they consumed. • This highlights the fact that there are people among the TG who feel they need some extra energy to feel better. Getting the needed Energy ?
- 35. • 64% of the respondents were aware of the existence of dietary supplements - 18% of the respondents were unaware of their existence. • But then, only 20% of the respondents use them or had used dietary supplements. Dietary Supplement Awareness:
- 36. • 55% of the respondents bought their provisions and other daily needs at a super store which was close to their place of stay. • 25% of the population bought their provisions at nearby local kirana stores and provisional stores. – 10% purchased from bigger stores such as Big Bazaar. • TG looks out for variety in their shopping location with almost 39 % of the population vouching for it. • 25 % of the population wanted a good shopping experience spacious shopping zone & friendly customer service. • 20% of the TG were interested in the proximity of the shopping destination for their purchase of provisions and other daily needs Buyer Behavior:
- 37. Buyer Behavior:
- 38. • The T.G is predominantly influenced by Friends and Family members shown by a major 55%. • 32% of the population feels that they are not influenced by ads and that they trust their own previous buying experience. The influence of Ads is a mere 9% and the rest being influenced by hearsay. Who Influence Purchase Decision?
- 39. • The most consumed form of media among this Target Group is TV, followed by Newspapers and other form of media. • This is indicated clearly in the following chart. • Surprisingly approx. 9% of the population consumes Internet as a form of media to update themselves about the current affairs. Media Consumption:
- 40. • This Target Group between 50 – 60 years living in a metropolitan city like Chennai are at top of the Socio Economic Classification (SEC’s) either belonging to SEC A or SEC B. • This is characterized due to the amount of money they earn through the years and their nature to save for future • This segment have a good flow of money either in the form of a salary or pension but are not in a desire to spend them as much. • This is partly due to a predominant conservative nature of an South Indian but is mainly because of a sacrificing intent among the T.G. • Another main reason can be due to the marketers/advertisers concern and concentrated effort to target the “Youth” population. Conclusion:
- 41. • Consumer awareness of dietary / health supplements is widely prevalent but only on the surface. • The consumers need to be told about the health benefits and how they can “Be Healthy & Feel Young” when they use the supplements. • Major find is that consumers of this TG connect to ads which tickle the child in them • Hence marketers and advertisers should try to strike a chord that pulls them to use products and unleash their hidden youthfulness. • At the same time highlighting the health benefits they get from the supplements. Suggestions (Specific to Health,Wellness & Tourism):
- 42. • Many of these consumers are aware that Exercise is much needed activity but are not taking steps forward. • Hence highlighting the “Ease of use” of exercise equipment and how it saves time - since they don’t have to venture outside their homes to be fit - can help in pushing sales. • This TG looks out for a spiritual setting along with oneness with nature in their holiday location. – 39% of sample said they look out for sightseeing options in their holiday – 27% felt that they need to have an oneness with nature – 20.5% felt that they needed a spiritual place/setting • Hence a tailor made Holiday package which promises both a scenic location and a spiritual escapade may go well with this target group. For Ex: A trip to the Himalayas may be more sought after since it combines pilgrimage with pleasure. Suggestions (Specific to Health,Wellness & Tourism):
- 43. THANK YOU !