Youth Spending Pattern
In this time, youth has become more confident, independent and willing to be as powerful and capable for achieving just anything at all. In the foreign countries it has been a norm now that the youth aged 18 onwards are independent and on their own to earn, spend and live. In the Changanacherry, where the society lives in the collectivism system of living i. e. kids (youth) are living with their parents unlike the foreign living system, which is individualistic; the youth is on their own.
Now, the pattern of living has changed than before and that change has brought vitality in the youth to earn and spend on themselves rather than asking money from their parents of their bike, makeup, dresses, games, eating/hanging out, studies etc. It’s a job of a marketer to continuously tap the changing trends of the micro and macro environment to target their brands on the right time, price and place. Youth has always been a major part of the population and is always an attraction for marketers to tap the population in proper segmentation and target market.
It is fruitful to investigate the spending pattern and their behaviour of spending their out of their income budget will help understand youth’s need recognition and choices towards a certain product/service. There is clutter of brands and has become even more difficult to sustain the recall ability in the mind of consumers and keep them focused as youth is quite unpredictable and has a spontaneous behaviour. Literature Review
There has been various studies and research analysis on the consumption level of consumers and understanding the characteristics of the consumers to produce and target the brands right. This research has gone into great detail to answer one sample of population i. e. the Youth, which is essential for the manufacturing companies and the marketing people to handle their product, planning and its strategies accordingly. The precise spending pattern of the youth of Kottayam has changed than before and this has been assessed and analysed.
We have taken all the possible characteristics of the youth, which influences their spending pattern. Demographic changes happen frequently and according to such changes, the composition of the specific product/service has to be tailored accordingly to effect the product/service price, placement and production assessments. Population has been increasing in certain age-groups, which is also a point for the marketers to work on with their marketing tools and strategies. The Baby Boom has been an important era for the marketers and has taught them a lot about the youth market.
In short, it gave the manufacturers new way to envisage product development for the new identified markets. Different households have different way of living and similarly different spending patterns. In the western culture, the young individual are more independent at the age of 18 and start their earning and living separate than their parents home and this is known as the transitional nature of the young individual (Jones & Martin, 1997). Other research studies have indicated the age and compulsive buying are strongly related to each other in respect to the younger consumers.
It is also seen that when there is impulse and compulsive buying situation then the younger consumers are the answer (Subhani, Hasan, Osman & Nayaz, 2011). With the passage of time, the percentage of younger consumers has increased in compulsive buying and overall buying behavior (O’ Guinn & Faber, 1989). This certain behavior is due to their impulsive tendency towards unrestrained ability towards the advertising and marketing activities they are surrounded by. They have not much of self-control on their actions.
One can see less compulsive buying/spending pattern in the collectivist cultures than individualist cultures (Kacen & Lee, 2002). The amount that is the budget of the young individual was ascertained by segregating the variables, which are basically the factors on which the young individual is spending his/her money. The most significant factors out of the lot were income, satisfaction, friends’ information, advertisements information, entertainment and age of respondents (Subhani, Hasan & Osman, 2011).