Consumer

WHAT'S NEXT?: Technology will become the new sales assistant, always on, always friendly, always delivering. Consumers will co-create and create products to their exact needs. Brands will have to focus on seizing mobile moments on apps that already have consumer's attention. Instantly explore below how lifestyles, buying behaviors and attitudes are changing and where you fall short in the battle to win consumers hearts and minds.

• [New] The US will remain among the fastest growing advanced economies this year, thanks to a buoyant consumer sector and the possibility that the Fed could now start to easing monetary policy.
• [New] The Global Wearable Cameras Market is expected to grow at a Compound Annual Growth Rate of 14% from 2017 to 2025.
• [New] The worldwide market for Aluminium-Scandium is expected to grow at a CAGR of roughly 7.3% over the next five years, will reach US$110 million in 2024, from US$70 million in 2019.
• [New] The mass adoption of highly autonomous vehicles in China will start around 2027 and they could account for 66 percent of the passenger-kilometres travelled in 2040, generating market revenue of $1.1 trillion from mobility services.
• The UK economy is now forecast to grow by 1.5% this year, while consumer spending is projected to rise by a modest 1.2%, although retail sales growth of 4.2% is predicted.
• Consumer interest and demand for CBD based products has been growing rapidly with the industry in the UK expected to be worth almost £1bn per annum by 2025, equivalent in size to the current entire UK herbal supplement market.
• Despite slow adoption of AR/VR technologies, the Indian market is expected to grow at a CAGR of 76% over the next five years, fuelled by demand from business and consumer sectors.
• McKinsey Center for Future Mobility expects the market for automotive software and electronics to grow by 7 percent year over year in the coming years, becoming a $470 billion industry.
• Increasing consumer spending in personal care and hygiene products such as moisturizers, sunscreen creams, etc. will boost the industry in the next 7 years.
• Gaming in particular is taking an increasing share of the consumer wallet, the French gaming software market will hit €3.5 billion in France this year, with strong growth anticipated over the next few years.
• Total video entertainment consumer spend in France is expected to exceed €7 billion ($7.8 billion) this year, making it the third-largest video entertainment market in Europe.
• Online revenue from U.S. grocery e-commerce is expected to be roughly $20 billion this year and to grow just over 18% year-over-year, meaning that in just four years (i.e. by 2023) direct-to-consumer grocery will be twice the size that it is today.
• The tit-for-tat escalation of tariffs between China and the U.S. will cost the average American consumer this year.
• Gartner has separately predicted that consumer and business spending on smart speakers will pass $3.5 billion in 2021, with 25% of digital workers using an AI assistant on a daily basis within the next two years.
• ARtillery Research is expecting the AR market in industry to reach $35.2 billion in 2021 (out of a total market of $39 billion for XR).
• Higher tariffs do not seem to have had any significant impact, but the most recently announced US tariff hikes will affect consumer goods to a greater extent, increasing the upside risk.
• Inflation (Harmonised Index of Consumer Prices) in the euro area is now forecast to average 1.3% in both 2019 and 2020, while in the EU it is forecast to average 1.5% in 2019 and 1.6% in 2020.
• Analysts expect that Taiwan's mobile payments market will continue to develop steadily in the coming years, as both consumer and merchant acceptance is rising, while the government has been supportive.
• If the Finns can be persuaded to broaden the range of goods they buy online, the growth rate of e-commerce in future years could possibly exceed the compound annual growth rate of 11 percent, currently forecasted between the years of 2017 to 2021.
• Rises in pork price will definitely weigh on the consumer price index (CPI) and subject the economy to potential inflation risk for the rest of the year.
• U.S. consumer purchases dropped 3.5% during the first half of 2019 to hit their lowest six-month total since the corresponding period in 2013: sales will fall more than 2% this year, with even fewer sales in 2020 and 2021.

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Last updated: 10 October 2019