DEMOGRAPHIC CHARACTERISTICS

Demographic characteristics: Market size and Population Growth & Distribution 

Basically you can say that the more people live in a market, the greater its potential. Of course, there are other important factors such as growth rate, income and distribution patterns. If you have a wealthy country for example, the population growth rate tends to be lower than in developing countries. Im marketing terms it means, that developing countries may show an increased demand because of the formation of new households. But: these households might not have a high income, so these factors compensate each other more or less. In addition to the aforementioned, the population distribution - density, age, household size and education - need to be take in consideration. If people in a society are not well educated, how are they going to understand the advertising messages or the use of a complex product? And if you don't know how many people live in the average household of your market, how will you decide what package size is right? Then, we all know that western societies experience what we call the demographic change - grandparents need to charge their offspring with producing grandchildren again! ASAP! But what we don't know yet is, how it will change the consumption habits ...