Got a tricky question? Receive an answer from students like you! Try us!

Consumer Frugality - Essay Example

Only on StudentShare
Author : tyrese68


This essay casts light upon the notion of consumer frugality. As it is mentioned in the text, Frugality refers to the lifestyle of a consumer that is characterized by the ability to restrain from acquiring and using goods and services for the sake of achieving long-term goals. …

Extract of sample
Consumer Frugality

According to a survey study conducted by Booz & Company on 2,000 consumers in the U.S., there is an emergence of frugal consumers. This is mainly because of the recent recession that has shaped their consumption behavior. It is expected that such consumption behavior will persist in the future even as there are reports that the U.S. is recovering from the recession (Zavestoski, 2002). Therefore, marketers have identified a market segment consisting of frugal consumers and are making efforts to attract such customers.
The frugal consumer has unique characteristics including a strong consciousness on a value which determines the level of trade -off in price and convenience. Research studies on consumption patterns among U.S. consumers indicate that almost 67 percent of customers are purchasing low priced products in order to reduce spending while improving on saving (Craig-Lees & Hill, 2002). This is evident from the decrease in the Per capita consumption expenditure across almost all demographic groups. Additionally, customers have maintained a weak sentiment which has influenced their low expenditure on consumption. The target market segment of frugal consumers can be described using a number of demographic factors that define their unique features. The demographic factors include household income and age.
First, the target market segment consisting of frugal consumers is made up of middle-income households. They have an annual income between $20,000 and $50,000 and are very mindful when it comes to spending their income. ...
Download paper

Related Essays

The effect of price elasticity in the decision of consumers in Saudi Arabia to acquire Toyota SUVs
The paper tells that price elasticity is an important element when introducing products in a competitive market. As quoted from the book Principles of Economics by Alfred Marshall, “the elasticity (or receptiveness) of demand in a market is significant according as the amount demanded increases much or little for a given fall in price, and diminishes much or little for a given rise in price". Parkin, Powell, and Matthews noted that the following affect the elasticity of price for a certain commodity: availability of substitute goods; percentage of income; necessity; duration; brand loyalty;…
27 pages (6777 words)
The Importance of Logo for any Organisation
Logo Of Fila 11 …
12 pages (3012 words)
"Marketing Myopia" and article critiques
Levitt spoke of the ‘Error of Analysis’ whereby, the company defines its scope inaccurately and is unable to grow because it has restricted itself. Companies tend to stop growing, not because of fall in demand or increased competition, but because they were mismanaged and failed to realize their own potential and the opportunities that would have come with it had they managed themselves properly and expanded their horizons, instead of having a very myopic view about their business. He gives the example of the railway, which has steadily declined over the years as other vehicles become…
4 pages (1004 words)
Integrated Marketing Communications
Integrated Marketing Communications …
3 pages (753 words)
It is the plan that defines how, when and where from the information is to be collected and how it should be analyzed. Research design is different from the concept of Research data collection (, n.d.). Research Design mainly discusses which sources have been used in conducting the study. Various Research designs are- 1. Historical Research Design - It uses primary and secondary sources. Lots of qualitative data sources are required in this case. 2. Case and Field Research Design – It is useful when limited information is available for a study. Observation is a great tool for such…
12 pages (3012 words)
Criticise my "friends" business idea....its not really a topic, there is no topic as such
For instance, the case study illustrates that there are only thousands of people worldwide that have sought these biohacking magnetic implants. Thus, there is an indication that it could be problematic to gain considerable demand. This is not advantageous for the marketing entity in the provided case study. It might be more advantageous for the friend in the case study to, first, consider a more mass market strategy in order to gain the attention of consumers that would appreciate these magnetic implants. The provided case study is limiting the marketer to a niche market which could also limit…
8 pages (2008 words)
Marketing in success of any business
As the world gradual growth to become a global marketplace, every business owner find themselves trapped in the sticky web of the market competition and getting out of it becomes a nightmare. However, any entrepreneur can play his or her cards well and emerge victoriously in this market issue by making use of the Holly Scriptures which will provide a guideline of marketing in a divine way. For centuries that have passed, the Christian bible has remained relevant in its teaching it is believed that whoever is guided by it is doing the right. Hence, the Bible has become applicable even in…
5 pages (1255 words)