GGI Preliminary Market Research
Industry size and growth
The house ware industry is noted as the most flexible in the entire economy. This industry has been faced by severe crisis in the recent past due to reluctance of the consumers to spend in household items. The stay-home approach that has been quiet phenomenal in the industry is gradually regenerating such that more people are willing to experiment on new appliances as a way of making their lives easier and better. Consequently, change in lifestyles as a result of advanced use of new technology increases the urge to purchase more efficient house ware (Marketwire, 2010).This approach where by everyone wants to fit in the various social classes has predicted tremendous growth in the house ware industry due to increased purchases as well as ever changing consumer tastes. However, the house ware industry has always been doing well and it is quite industrious as each household has to use most of the appliances stocked in the various shops belonging to GGI and other companies.
This is attributed to the fact that most of the wares are convenient for most operations around the house rather than them being privileges (Marketwire, 2010).The industry is predicted to grow at a faster rate especially with the introduction of a generation which is more inclined to offer gifts to each other. Consequently, the emergence of interior design as a vital component of most homes in the recent past unlike long ago has significantly contributed to growth of the industry. Similarly, house ware has often included only the main house apparatus but with introduction of gifts as part of the products in GGI the overall growth will be boosted (Marketwire, 2010).However, optimal growth will only be achieved after incorporation of proper marketing strategies which involve a variety of advertising mechanisms so that all participants of the house ware industry may be adequately informed at all times (Marketwire, 2010).
Consumer buying trends for House ware
As a need for versatile and more convenient house hold goods which are more functional as well as efficient in executing quite a variety of operations. Consequently, the urge to look out for smart house wares which are also unique and sold at reasonable prices has contributed to a form of specialization in consumer sales. Such specialization has catered for an increased preference for designs which are sleek and clean lined especially when it comes to multicultural cuisines and home entertainment (Goliath business news, 2008).Consumers are willing to spend cool sums of money in appliances which will make their homes more comfortable. Bearing in mind that after a hard day at work the only resort where one retires to is home and therefore all the best touches which are not only convenient but also relaxing are added to increase the comfort (Goliath business news, 2008).
Over the years, consumers have being showing an inclination towards making their purchases from stores or companies which provide quiet a variety of house wares such that they do not have to move to different sites to make their purchases. Such an option causes the consumers to prefer making their purchase in specific stores which offer the services which they are interested in (Goliath business news, 2008).The decision by GGI to include house wares in their line of sales in addition to gifts and home décor may prove to be a step in the right direction as its customers will be able to make their household sales in a single store. This idea makes it more convenient as well as cheaper for the customers and in the process they may be tempted to make more purchases (Goliath business news, 2008).
Target audience demographic details and statistics
Although online sales cannot be categorized geographically, most of the consumers who frequent GGI are those who live in the surrounding areas such that each store only serves the closest members within its vicinity. However, the percentage of first time customers is usually larger for non-residents of that area such that they may have heard about GGI through media advertisements as well as online advertisements U.S. Commercial Service (2009).Women make up larger percentage of the overall customer population especially in purchasing of gifts and home decor appliances. Men who frequent the stores are usually those who are involved in interior decoration. These are professionals who make purchases in their line of work but rarely for themselves. The age group that is more popular with purchase of house wares is the recently married of those who have just completed college and are striving to start their own lives. This group is characterized by a flexible lifestyle which is constantly growing and changing. The constant interactions with peers who have already set up their homes contributes to the dynamic lifestyle hence these age group is more likely to make more purchases that any other U.S. Commercial Service (2009).Similarly, most of the interior designers are young people who have developed quite a substantial interest in the field.
References
Goliath Business News (2008), what’s cooking with house wares? Retrieved on June 3, 2010 from: goliath.ecnext.com/…/what-s-cooking-with-house wares
Marketwire (2010), trends and strategies in the house wares industry. Retrieved on June 3, 2010 from: www.marketwire.com/…/trends-strategies-in-the-house-wares- industry-
U.S. Commercial Service (2009), International Home and House wares Show in Chicago. Retrieved on June 3, 2010 from: www.buyusa.gov/netherlands/en/homehousewares_2008.html.
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