Factors that affect Consumer Spending Habits

Demography refers to the thorough study of the population to establish various unique aspects as per the researcher’s interest. The knowledge of the population composition is very important in the field of marketing. This is because the consumers’ needs vary in urgency and intensity hence the producer should have the target consumers in mind during production (Kessler and O’Connor 2017 p.42). The population aspects that are very significant in relation to the consumers’ purchasing behavior are: age, sex race, culture, income, education, occupation, the family size, geographical location etc.

This refers to the determinable change in the characteristics of the population over a given period of time. These changes result to the change in consumer spending habits across the entire population which has an impact in the business enterprise The nature and quantity of consumer demand change with time hence a good market research should be done for flexibility in current business practices such as adjustment in quantity produced over a given period of time , change in marketing segments and change in marketing mix strategies in order to achieve an equilibrium in the demand and supply of goods in the market.

Bardoel and Haar (2018 p.386) state that the major demographic trends that have an impact on vacation in Australia and New Zealand are:

Due to the fight against discrimination of individuals on the basis of race by human rights organizations, various categories of people irrespective of their nationality are now visiting Australia and New Zealand for holiday vacations due to many attraction sites and comfortable environment that is cool. As a result, the tourism sector in both countries is thriving at a high good rate.

Due to an increased desire for further education by people in various countries, Australia and New Zealand are now attracting many people who share their experience with others who then plan for vacations in those countries hence earning the countries foreign exchange and further more after vacation, people might even think of changing the citizenship due to the available opportunities exploited during the period of study and vacation.

During vacations in those countries, individuals who have higher in come spend more and vice versa hence the marketing strategy by the organizations should establish between the citizens and non-citizens, who are consuming more during vacations so as determine the potential market and ensure sufficient goods and services are available in the market.

Impact of Demographics on Tourism Industry in Australia and New Zealand

This has a negative impact on vacation because single men and women do not go for vacations often as compared to married couples hence Australia and New Zealand will have few individuals consuming their services.

Vigolo ( 2017pp. 3-23)  states that  the baby boomers feel that they have achieved almost everything they desired in life hence having adventure is there option because money is not 3usually a problem for them since they usually have more than enough to spend. Australia and New Zealand tourism industry enjoy the benefits due to an increased number of baby boomers (born between 1946-1964) who purpose to enjoy their sweat.

This generation usually view vacations as a waste of money and rather prefer to save and cater for various family needs hence the vacation industry does not benefit from them   

Nowadays aging women and use cosmetics to appear younger. Some of them dye their hair black to avoid the white hair. This enhances the focus of the production firms on such people. They use various perfumes to maintain a smooth skin.

Barbulova, Colucci  and Apone (2015 pp.82-92)  state that in the past, it was perceived that cosmetics were only meant for the women but nowadays even men use them hence the businesses should consider cosmetics for men and women in order to satisfy the needs for both genders.

The business enterprise must produce cosmetics with various prices so as to suit the purchasing ability of all the individuals within the society by varying the prices for various cosmetics.

Some of the educated individuals have a negative attitude towards cosmetics. They claim that it is not healthy for the skin and one can do without.

They perceive pre-cooked food as dangerous to the body due to large amount of calories in it and prefer one to cook his own food hence this affects the sales for such industries. They believe that ready prepared food is the best than the preserved for later consumption through warming due to loss some important nutrients due to dormancy of enzymes.

Most of them prefer pre-cooked food and they have refrigerators where they store quantitative amount and consume less since most of them remain as old couples because most of their children are usually married.

These families prefer pre-cooked food since they can afford to buy and conserve for future consumption.

They prefer eating at the restaurants than cooking for themselves hence they less demand the pre-cooked food.

Major Demographic Trends for Vacation in Australia and New Zealand

Various cultures have various beliefs regarding various aspects and businesses should offer products in the market segment when the cultural aspect the community has been considered (Yuan et al., 2014. pp.521-529).

Some cultures allow use of cosmetics while others appreciate natural beauty hence the cosmetic industry might not be appreciated by everyone hence limited market

Some individual (Ramli 2015 pp.113-122).

During vacations, Australia and New Zealand receive visitors from various countries with new cultures which might be adopted in these two countries since some cultures such as dressing code might be nice to adopt hence the fashion and design industry will have a role to play (Burivalova et al., 2017 pp.423-431).

Individuals have various perceptions of pre-cooked food hence the consumption rate is affected. Hence limited market (Moreira et al., 2015 pp.29-36).  

An individual can move an environment where everything for consumption is in the fridge to an environment where there is no fridge hence such a person store food hence limited purchase (Zárate et al.2016).

 Fillis, Lehman and Miles (2017 pp.85-96) state that individuals experience change in the social environment during vacations. They exploit new products and the curiosity enables them to purchase them hence businesses in the two countries get a new market for its products.

Events in life enhance the use of cosmetics. During weddings, cosmetic industry benefit more than any other moments since the social environmental setting demands a superb appearance

References

Barbulova, A., Colucci, G. and Apone, F., 2015. New trends in cosmetics: By-products of plant origin and their potential use as cosmetic active ingredients. Cosmetics, 2(2), pp.82-92

Bardoel, E.A. and Haar, J., 2018. 21 A Review of Work–Family Research in Australia and New Zealand. The Cambridge Handbook of the Global Work–Family Interface, p.386.

Burivalova, Z., Lee, T.M., Hua, F., Lee, J.S., Prawiradilaga, D.M. and Wilcove, D.S., 2017. Understanding consumer preferences and demography in order to reduce the domestic trade in wild-caught birds. Biological Conservation, 209, pp.423-431.

Fillis, I., Lehman, K. and Miles, M.P., 2017. The museum of old and new art: Leveraging entrepreneurial marketing to create a unique arts and vacation venture. Journal of Vacation Marketing, 23(1), pp.85-96.

Kessler, M.D. and O’Connor, T.D., 2017. Accurate and equitable medical genomic analysis requires an understanding of demography and its influence on sample size and ratio. Genome biology, 18(1), p.42.

Moreira, S.A., Duarte, R.V., Fernandes, P.A., Alves, S.P., Bessa, R.J., Delgadillo, I. and Saraiva, J.A., 2015. Hyperbaric storage preservation at room temperature using an industrial-scale equipment: Case of two commercial ready-to-eat pre-cooked foods. Innovative Food Science & Emerging Technologies, 32, pp.29-36.

Ramli, N.S., 2015. Immigrant entrepreneurs on the world’s successful global brands in the cosmetic industry. Procedia-Social and Behavioral Sciences, 195, pp.113-122.

Vigolo, V., 2017. Population Aging: Challenges and Opportunities for the Tourism Industry. In Older Tourist Behavior and Marketing Tools (pp. 3-23). Springer, Cham.

Yuan, N., Sun, Y., Comes, H.P., Fu, C.X. and Qiu, Y.X., 2014. Understanding population structure and historical demography in a conservation context: population genetics of the endangered Kirengeshoma palmata (Hydrangeaceae). American journal of botany, 101(3), pp.521-529.

Zárate, L., Garnica, A.M., Prieto, L., Poveda, J.C. and Cerón, M., 2016. Adsorption isotherms of flours from pre-cooked clones of Criolla potato (Solanum tuberosum Group Phureja) South American tuber. International Food Research Journal, 23(6).