Consumer Behaviour for Vacation, Cosmetic and Pre-cooked Foods Industry

This study aims to understand the consumer behaviour for vacation industry in Australia and New Zealand, cosmetic and pre-cooked foods industry. It establishes a discussion for reasons, which the different people based on their demographic orientation have for different industries.

Running head: CONSUMER BEHAVIOUR
Consumer Behaviour
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1CONSUMER BEHAVIOUR
Executive summary
The main purpose of this study is to understand the consumer behaviour for vacation industry in
Australia and New Zealand, cosmetic and pre-cooked foods industry. It shows the thought
process of different demographic factors for the chosen industries. It establishes a discussion for
reasons, which the different people based on their demographic orientation have for different
industries.

2CONSUMER BEHAVIOUR
Table of Contents
Introduction......................................................................................................................................3
Part A...............................................................................................................................................3
Understanding the demography...................................................................................................3
Usage of various products by the various demographic groups..................................................4
Part B...............................................................................................................................................7
Impact of demographic trends on the chosen industries..............................................................7
Conclusion.......................................................................................................................................8
Bibliography....................................................................................................................................9

3CONSUMER BEHAVIOUR
Introduction
Customers’ profiles and likings can be expected to have a notable impact on several
industries such as vacation, cosmetics and pre-cooked food. Competitiveness of industries will
depend a lot on their abilities to match up with diverse choices for products and services. Some
of the potential demographic trends are aging population, population growth of multi-
generational families and increased life expectancy (Foxall 2015). The study aims at discussing
the impact of a number of demographic trends in chosen industries.
Part A
Understanding the demography
Consumer behavior
According to Motivation-Need Theory, marketers aim to create an artificial urgency to
buy products (Cantallops and Salvi 2014). In the context of the travel industry, marketers use a
variety of motivating factors like presenting the location as the highly adventurous place to visit.
Similarly, cosmetic industry uses a different motivating factor like a particular cosmetic is good
to keep skin look healthier. Ready-to-eat foods industry uses the terms like fresh, healthier and
tasty.
Longer lifespan of senior citizen
The average life expectancy is not the same everywhere in the world. Australia is one of
the rarest countries to have a high lifespan of senior citizens. A high-life span can be a prospect
considering the aging population as a serious threat. However, this is also dependent on their role
and contribution for a wide number of industries (Haight, Quan-Haase and Corbett 2014).

4CONSUMER BEHAVIOUR
Baby boomers approaching close to retirement but with money to spend
Baby boomers who have money to spend can be a prospect to the innumerous industries
provided that such industries have enough reasons to create the attraction. Innovation will hold
the key to fulfilling the diverse choices for products and services (Ameer et al. 2017).
Generation Y with a growing family household and a huge mortgage
They are probably the toughest of demographics in regards to selling products and
services to them. Generation Y with a growing family household and also with a huge mortgage
can still be the opportunity for a few industries like cosmetics. These people once they establish
a skincare routine, they remain mostly constant with it (Solomon et al. 2017).
Smaller family unit and “Single Adult” households
The consumption pattern for both smaller family unit and ‘Single Adult’ will be different.
The impact of ‘single adult households’ will be more on pre-cooked foods, leisure time, cosmetic
etc. Smaller family units will have their high impacts on leisure, pre-cooked foods and others
(Zeugner-Roth, Žabkar and Diamantopoulos 2015).
Usage of various products by the various demographic groups
Vacation in Australia and New Zealand
The vacation industry is expected to witness a growth due to an increased travelling of
female business travelers and travelers those aged over 65. Senior citizens with longer lifespan
are also expected to boost the holiday travelling. These people are mostly the solo travelers and
like to spend such moments in ways that younger do. ‘Generation Y’ are the one group that
travel destinations have failed to attract. It is due to their family household size and a huge

5CONSUMER BEHAVIOUR
mortgage. A smaller family unit is expected to potentially drive the vacation industry in
Australia and New Zealand. This is because they want to spend some time out of their busy
schedules. Travelling for the family unit is a resource to make fun, refresh their mood and enjoy
some moment together. A person living in a status of ‘single adult’ household can travel for
business, education etc. They are also the potential travelers (Tarrant et al. 2014).
Products and services (Gillovic and McIntosh 2015)
 Accommodation services for female business travelers
 Accommodation facilities and entertaining rides for people with a higher lifespan
 Accommodations, rides and visiting popular places for baby boomers
 Consumption pattern for Generation Y with a large family household and huge mortgage
will be more or less similar to baby boomers
Pre-cooked food
Pre-cooked or prepared foods can be said to have a diverse market base. Those who live
alone or in a family or in a household pattern, they all have different reasons to get attracted
towards it. However, the consumption pattern for all these groups can be a bit different. A family
unit may be looking to it on an occasional basis whereas a single adult household can largely rely
on such foodstuffs. Such a tendency of single living person can be due to their busy work
schedules. Baby boomers are not the regular customers for ready-to-eat foods irrespective of
their household, income and mortgage status. Seniors with longer lifespan have high concerns
for their health. They mostly consume the healthy foods. On the other hand, prepared foods may
or may not be healthier as such foods are prepared to focus a lot on innovative recipes than using
nutritional elements (Evans and Redmond 2016).

6CONSUMER BEHAVIOUR
Products
It can be of the variety of kinds depending on the local culture. Some of these foods are Arepas
in Colombia, Bunny chow in South Africa, sandwiches & burgers in Australia (Tamilarasu and
Kumar 2015).
Cosmetic
Demographic factors do also impact the cosmetic industry. This is an industry where a
change in trends happens to be at faster rate. However, once customers are convinced with their
choice of product, they become a constant user. Different people have a distinguished set of
reasons for using the cosmetic products. Baby boomers who can afford to spend on cosmetic
products use it to keep them look younger for a larger span of time. On the other hand, an adult
can use it for several other reasons like to make their face look brighter or protecting it from the
cold and the sunlight. In spite of serving all such needs, it continuously faces challenges in the
form of increasingly growing competition and the changing consumer behaviour (Rekha and
Gokila 2015).
Products and services
Some of the products and services are as listed below: (Musa 2014)
 Skincare creams
 Facial masks to make the skin look brighter
 Personal care creams
 Natural skin care
 Electrotherapy
 Female cosmetic coalitions

7CONSUMER BEHAVIOUR
 Body art
 Baking
 Permanent makeup
Part B
Impact of demographic trends on the chosen industries
Apart from the demographic groups as discussed above, ‘Millennials' are one of the most
important consumer generations.
In the context of the travel industry, they are the potential groups. They do not have just
one reason to travel but a lot. Some of them love doing adventurous things or going for an
adventurous ride. To such people, travelling to Australia in particular to Tasmania can be an
unforgettable experience. They can enjoy doing camping, trekking and a lot more (Vila, Darcy
and González 2015). A huge number of Millennials are availing and intend to avail higher
studies in abroad locations such as the United Kingdom, the United States of America, Australia,
New Zealand, Canada and others. The number of foreign students in these locations is growing
significantly. The trend is influencing these countries to spend more on improving the
infrastructure to increase their attraction capacity. Millennials are working in different countries
to avail better career opportunities. Those who are financially stable are not limiting themselves
to their local countries but are moving to different foreign locations (Skinner, Sarpong and White
2018).
The cosmetic industry is also at benefits from this group of customers. They use
cosmetics for various purposes like to protect their skin from sunlight and cold, to look brighter
and fairer and for keeping the skins healthier. However, they get easily shuffled between

8CONSUMER BEHAVIOUR
different brands in search of getting better products. It means innovative products will keep on
attracting these customers (Nash and Gell 2018).
Pre-cooked foods are hugely popular among Millennials. They love to have it when they
are in college and university, at the workplace and at any kind of social gathering. Actually, they
are turning away from being just the occasional consumers to regular. They become a constant
user once they are satisfied with the product (Linnhoff et al. 2017). However, innovation will be
a key factor here again to attract such customers.
Conclusion
In summary, this can be said that demographic factors have a significant impact on
consumers' decision-making for travel destinations, cosmetic products and pre-cooked foods.
However, the consumption pattern is indeed variably different for different industries. Vacation
in Australia and New Zealand have opportunities in the form of Millennials, Baby Boomers with
spending capacity, female business travelers and single living person. Cosmetics has
opportunities from Millennials, Baby Boomers both nearing their retirement and longer lifespan,
small family unit and others. Ready-to-eat foods are sellable between Millennials, ‘single adult
household’, and baby boomers nearing to retirement.

9CONSUMER BEHAVIOUR
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10CONSUMER BEHAVIOUR
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