According to Asian Demographics managing director Dr Clint Laurent, the majority of Asian economies will grow by between three and seven percent year for the next decade.
“By 2008 Asian households will be spending an extra US$600 billion on goods and services year up from US$2390 billion to US $2980 billion,” Laurent said.
Laurent is market research analyst with more than 20 years’ experience of market research in Asia.
“Increasing education standards coupled with greater urbanisation, more women entering the workplace and an ageing population with increased spending power and leisure, were all trends which create new market opportunities.
“The type and scale of opportunities, however, differed between economies depending on their stage of development and the effect of the above trends.”
While Japan’s economic growth was slower than the other Asian econ-omies its already wealthy population meant it still had the greatest spend-ing power. In the other more affluent economies the growth area is with middle aged consumers who are better off, well educated and have significant discretionary income.
There were also growing number of ?empty nester’ households where children had left or were leaving home. Their parents were at the high point of their earning capacity, with fewer financial commitments, and consequently had greater spending power.
“In the less developed economies the growth area is young adults who are better educated than their parents and have more money to spend.
“These people are generally aged between 25 and 39 and are forming new households. They want good quality products but are also receptive to anything new,” Laurent said.
Laurent warns, however, that the average household income in the developing economies was still relatively low and exporters may get greater return from supporting the development of new infrastructure.
“Asia’s growing urban pop-ulation – particularly in China and India – is expected to increase by 50 percent over the next 20 years. This is equal to 25 million additional urban dwellers each year and will lead to increasing demands for more infrastructure”.
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