1. THE UK CONSUMER MARKET OVERVIEW

2. WHAT IS “BRITAIN”?  Not one “nation” but several  20% under age 15  15% between 15 and 24  Several social classes: A,B,C1, etc.  Social class C1/C2 contains more than 50% of the population

3. INCOME AND WEALTH  Poor post-war economic performance followed by a long period of continuous economic growth  Affluence in general but many pockets of extreme deprivation  Low unemployment in general but with pockets of high unemployment

4. MARKET SIZE AND STRUCTURE  The market is large and expanding  Ethnic diversity - much immigration in recent years  Around 25 million households (25% one person, 33% two people)  Seven major urban conurbations  Rise of the service sector

5. MARKET FEATURES  Social class is a very important determinant of consumer behaviour. Class in Britain is a CULTURAL phenomenon  Many ethnic segments, each requiring separate analysis  The consumer spend: housing and food 12% each; clothing and footwear 6%; leisure 4%; travel 3%, tobacco 2.5%

6. ADVERTISING  The UK is the EU’s 3 rd most advertising orientated country.  Voluntary regulation through the ASA  Adspend: TV 35%; newspapers 30%; magazines 25%; outdoor 6%; radio 3%  Biggest advertisers: food; retailers; financial services; motor vehicles