The San Francisco Chronicle reports that Charles Lieberman, a former official with the Federal Reserve now with Advisors Capital Management, has a unique take on what potentially is an enormous new market for retailers and manufacturers.
According to the story, “new households are being formed at the fastest rate since 2007.” And they’ll all have to buy stuff.
Lieberman says, according to the Chronicle, that “lots of young people were forced to move in with their parents during the recession, and now they're starting to leave the nest and set up their own apartments. Between 750,000 and 1 million new households will be created this year, UBS Securities predicts, more than double the 357,000 in the year ended March 2010.”
According to the story, “new households are being formed at the fastest rate since 2007.” And they’ll all have to buy stuff.
Lieberman says, according to the Chronicle, that “lots of young people were forced to move in with their parents during the recession, and now they're starting to leave the nest and set up their own apartments. Between 750,000 and 1 million new households will be created this year, UBS Securities predicts, more than double the 357,000 in the year ended March 2010.”
- KC's View:
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Not only will these households have to buy stuff, but they may actually be looking for guidance about what to buy, about how to be intelligent consumers. This is a great opportunity for marketers to use information as a sales tool, helping people to make smart choices about how and where they spend their money.
I remain convinced that in the long run, an information-driven economy means that intelligence-driven consumers will be looking to do business with companies that respect what they know, understand what they don’t know, and are willing to help fill in the gaps.
