Cocooning
Strategy Briefings

Cocooning – Home as Fortress - Implications for Global Marketing Strategies

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Chapters: 6  |  Tables: 14  |  Publication date: Oct 2006
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Regional coverage

Western Europe; Eastern Europe; North America; Latin America; Asia-Pacific; Oceania; Africa and the Middle East

Table of contents

1. EXECUTIVE SUMMARY

1. KEY TRENDS AND DEVELOPMENTS

2. DEMOGRAPHICS AND LIVING PATTERNS

3. MAJOR MARKETS

4. FUTURE TRENDS

2. MARKET DRIVERS

Chart 1 Levels of Cocooning

Chart 2 The Drivers of Cocooning

1. THE PSYCHOLOGY OF COCOONING

Towards happiness

Away from fear

Beliefs about the world

Impact of fragmentation

Time pressures and priorities

Chart 3 Economically Active Population in Major Markets 2005

Cocooning as stress management

Time pressures and the desire for convenience

Chart 4 Ready Meals Spending Per Capita in Major Markets 2005

Chart 5 Foodservice Per Capita Spending in Major Markets 2005

2. SOCIAL AND ECONOMIC FACTORS

Affluence

Table 1 GDP at Purchasing Parity 2005 Actual and Forecast in Major Markets 2005-2009

Changing nature of trust

Home sweet home and home safe home

Home from home

Chart 6 Hours Worked Per Week in Non-Agricultural Jobs in Major Markets 2005

Virtual cocoons

Penetration of plastic

Chart 7 Credit Cards Per Capita Spending in Major Markets 2004

3. CULTURAL FACTORS

Individuality

Chart 8 Index of Individuality in Major Markets

Chart 9 Index of Uncertainty Avoidance in Major Markets

3. KEY TRENDS AND DEVELOPMENTS

Paradox of diversity

Zones of comfort

Online shopping

Chart 10 Online Shopping Per Capita Spending in Major Markets 2005-2007

Home as “showroom for brand me”

New dwellings

Table 2 Growth in Number of New Dwellings in Major Markets 2004-2009

Gated communities

Age, immobility and assisted living

Table 3 World: Change in Under-14s Population by Region 2005/2015

Table 4 World: Regional Change in Over-65 Population 2005/2015

Shopping and debt

Virtual worlds

Chart 11 Penetration of Video Games Consoles in Major Markets 2005

Myspace phenomenon – virtual friendships

Shared interests

On-line gaming

Second lifers

Mobile cocoons

Chart 12 Passenger Cars Per ‘000 in Major Markets 2005

Wandering cocooning – blocking out the world with headphones

Resort travel

4. DEMOGRAPHICS/LIVING PATTERNS

1. HOUSEHOLD PATTERNS

The declining family

Table 5 Household Structure in Major Markets 2005

Chart 13 Single Person Households as % all Households in Major Markets 2005

Ageing populations driving single households

Table 6 Dependency Ratios Outlook in Major Markets – pensioners as proportion all population 2004/2009

Home ownership

Chart 14 Home Ownership – Owner Occupiers Per ‘000 in Major Markets 2005

Drinking at home

Chart 15 On- and Off-trade Drinking –Proportion Volume Sales in Major Markets 2005

Eating at home

Chart 16 Home Delivery/Takeaway Spending Per Capita in Major Markets 2005

Home alone

Chart 17 Pet Ownership per Household in Major Markets 2005

Cocoon care – the rise of DIY and remodelling

Chart 18 DIY Spending Per Capita in Major Markets 2005

Table 7 House Price Inflation in Major Markets 2004/2005 and 1997/2005

Chart 19 Gardening – Spending Per Capita in Major Markets 2004

Urbanisation, suburban poverty and the rise of exurbanisation

Chart 20 Forecast % Urban Dwelling Population by Region 2005/2015

The impact of technology

Chart 21 Household Penetration of PCs in Major Markets 2005

Table 8 Growth in Ownership of PCs in Major Markets 2000/2005

Chart 22 Penetration Internet Connection in Major Markets 2005

Chart 23 Penetration of Mobile Phones in Major Markets 2005

Work patterns

Home-working

Self-employment

Chart 24 Self-employed Workers in Major Markets 2005

Part-time working

Chart 25 Part-time Working Per ‘000 in Major Markets 2005

5. COCOONING IN MAJOR MARKETS

Cocooning in major markets

Chart 26 Cocooning Propensities in France

Chart 27 Cocooning Propensities in Germany

Chart 28 Cocooning Propensities in the UK

Chart 29 Cocooning Propensities in the US

Chart 30 Cocooning Propensities in Japan

Future cocooning – the BRIC nations

Chart 31 Cocooning Propensities in the BRIC Nations

Individuality and risk aversion

The money to spin the cocoon

Table 9 GDP, Fertility Rates and Household Size in Major Markets 2005

Time pressure

Table 10 Hours Worked Per Week in Major Markets 2005

Connectedness and cocooning

Table 11 Ownership of Cars, Computers and Phones in Major Markets 2005

Shopping on-line

Chart 32 On-line Spending Per Capita by Major Market and Sector 2005

6. FUTURE OUTLOOK

1. TRENDS TO WATCH

The rise of the matchmaker

Profile matching

Rise of on-line communities

Mobile neighbourhood watch

New age/old age return to basics

Rise of the storage facility

F2F and pyramid marketing

It’s a free market

Everyone is an entrepreneur

The first eBay recession?

2. IMPLICATIONS FOR GLOBAL MARKETING STRATEGIES IN THE FUTURE

Brand as hosts

The end of mass marketing?

Data protection and privacy

The risk of retreat – “long slump” or just a correction?

The cost of shopping (for retailers)

Membership malls

The high demands of peak experiences

Demands for service

3. MARKET FORECASTS

Table 12 Forecast Spending on Ready Meals, US$ Million by Major Market 2006-2010

Table 13 Forecast Spending on Off-Trade Alcoholic Drinks by Major Market 2006-2010

Table 14 Forecast Spending on Gardening US$ Million by Major Market 2005-2009

Chart 33 Growth in Internet Users by Major Market 2005/09

Chart 34 Forecast Online Spending Per Capita US$ 2005-2007

Chart 35 Forecast Growth in Users of Mobile Phones by Major Market 2004/09

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