1994 Consumer Demographics: Wealth

In the Table of Mean and Median Net Worth there is steady increase in net worth from 1962 until the 1990s. The 90s starts a trend of decreasing net worth.

In the Table of Total Net Worth Held by Position in the Wealth Distribution, the data shows that there is a inequality of wealth because there is an upward trend of the share of total wealth by the top 1% of wealth holders.

Resource: Annual Review of SociologyVol. 26: 63-81 (Volume publication date August 2000) (doi:10.1146/annurev.soc.26.1.63)

Demographics and Geographics (1994)

According to the National Association of Home Builders, the median family income in the U.S. was $39,700 and the median home price was $112,000. The housing opportunity index indicated that there were favorable opportunities in the midwest and south, while the west and northeast dominated the least affordable conditions. However, the median incomes in the west and northeast were also much higher. This means the coasts provide a higher market for luxury goods. Also, if the jobs are higher paying on the west and east coasts, then the consumers probably have needs pertaining to luxury goods and leisure.

Source: "Housing Opportunity: Where Can You Afford?" on the Academic Source Complete database

1994 End user research

Mature Market

The dominant market segment in 1994 was the 50+ age range. Not only were these the largest single group, but they also possessed half of the quantitative discresionary income. This definitely placed them as a target market for the luxury goods industries. This was because the baby boomers were reaching this older age. However because babyboomers do not necessary like to be considered old, so it doesn't follow that the products would aim toward growing old, but perhaps focusing on staying young. This might spur advancements in products that would appeal to their interests.

Source: "Mature Market" on the Academic Search Complete database

Global Teens

In 1994, a survey called "The D.M.B.& B. New World Teen Study" was conducted that showed that teens around the world showed similar consumer behavior. This study focused on attitudes, lifestyles, and trends of this market that was almost 1 billion consumers. What made these teenagers different from past generations is that they were linked together worldwide because of the new forms of media technology. This market had the common characteristics of being independent and skeptical. Not only is their thinking similar, but they are also choosing similar clothing styles.

Source: “The Media Business: Advertising;
Whether in Asia, Latin America or the United States, teen-agers in a study dress and think alike.” on the Lexis Nexis database.

Social Causes

Even though social causes supported by businesses is a big trend currently, it was also a factor in 1994. Statistics of the time showed the affect that company’s causes have consumers’ choices as follows:

Boosting a company’s image

34% agree strongly

51% agree somewhat

Switch to comparable brand if associated with a good cause

41% somewhat likely

Switch to comparable stores if associated with a good cause

25% very likely

38% somewhat likely

These statistics were common among different ages, genders, and cultures.

Source: “If you're not committed, don't bother.” on Academic Search Complete database.

Consumer Response to Media Marketing

From this article it seems that in 1994, the general consensus was that newspapers are not going to become obsolete because of the internet, but about 75% use the TV as their primary source of local news.

Source: “What consumers read in newspapers.” on Academic Search Complete database.

Environmental choices

This article is building consumer awareness of how their choices impact the environment. It mentions the fact that Americans consuming more than they need to maintain their high standard of living. However, it foreshadow the truth that lifestyles will have to become more eco-friendly in the near future.

Source: “How Green Are You?” on Academic Search Complete database.