ARCTIC DIMENSION Design Lifestyle Crosssector Business Opportunities

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ARCTIC DIMENSION Design LifestyleCross-sect
or Business Opportunities

• Business Opportunities Quick Check UK

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UNITED KINGDOM (UK)

• Consists of England Scotland Wales
• Northern Ireland
• Capital London
• Population 60 million
• Government constitutional
• monarchy
• Legal system common law

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Population
Age structure 14 years 17.7 (male 5,490,592 /
female 5,229,691) 15-64 years 66.5 (male
20,329,272 / female 19,855,862) 65 years and
over 15.8 (male 4,063,357 / female 5,472,683)

• Population 60 million

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Households

• 24.4 million households in UK in 2002
• - 30 (6.5 million) one-person households
• - more and more people are living alone
• average household income in UK 29,374

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GDP
Growth

• Per capita
• 29,600
• (2004 est.)

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Major cities most populated areas

• London, West Midlands, Manchester,
• West Yorkshire, Tyneside
• Higher income concentrated around London and near
  by areas in South West where 10 of households
  have income over 100,000
• Lowest income in UK in Middlesbrough, Leicester,
  Glasgow, Liverpool

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GVA per head of population
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Characteristics of people with high and low
social capital
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Marital status
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Educational level
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Educational level - Occupation

• Managers and Senior Officials 14.7
• Professional Occupations 11.1
• Associate Professionals and Technical 13.8
• Administrative and secretarial 13.3
• Skilled trade Occupants 11.8
• Sales and customer service 7.7
• Others 12.6

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Everyday lifestyle

• Married couples, and cohabiting couples WITHOUT
  children have the most buying power in UK
• Wealthy people work longer hours, over 49 hrs/pw
  (16 of population), 41 of population works
  between 38-48 hrs/pw
• Wealthy people live in converted flats (not in
  purpose build housing)
• Women are more likely than men to work part time,
  particularly if they have dependent children.
  Nearly 40 per cent of women with dependent
  children work part time compared with 23 per cent
  of those without.
• Both men and women working full time spent just
  over six and a half hours a day with their
  children at the weekend. Women spent around two
  hours on housework while with their children,
  compared with 1 hour and 20 minutes spent by men.
  In contrast, men spent around 1 hour and 20
  minutes watching TV in the company of their
  children, compared with around 50 minutes by
  women.

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Everyday lifestyle Living Housing
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Everyday lifestyle

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Everyday lifestyle Leisure Hobbies Fitness
Time spent on selected free time activities of
full-time workers (2000/01)
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Everyday lifestyle Leisure Hobbies Fitness

• Walking/hiking swimming were the two sporting
  activities with the highest participation rates
  in 2000/01
• The most popular holiday destinations in 2001
  continued to be Spain and France
• Middle age couples tend to do more cultural
  activities in UK, domestic travelling, fairs,
  exhibitions

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Everyday lifestyle - Work
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Overview of UK retailing market

• UKs top service industry employing just over 3
  million people (1/10 of the UK workforce)
• 250 billion in sales in 2003 (third of total
  consumer spending)
• Total number of outlets in 2002 was 310,991
  (317,812 five years earlier) the number has been
  falling and shop numbers are lower relative to
  population than in the immediate EU neighbours
  (France had 5.4 outlets per 1000 population,
  Germany 5.7, and Spain 15.0 but the UK 4.5 in
  1999)
• A large proportion of UK retail trade (45) is
  conducted in non-specialised stores (that is
  superstores, department stores, variety stores
  etc), and in this category the top five companies
  accounted for over 50 of turnover
• A particular characteristic of UK retailing is
  the significance of variety stores. Almost 20
  of non-food retail trade is carried out in these
  stores.

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Overview of UK retailing market continues

• Some of the UKs world-class companies have seen
  considerable success in overseas markets
• The retail sector is a major user of new business
  to business, and business to consumer
  technologies and a pioneer of e-commerce
• According to several sources (UK National
  Statistics, CBI) the UK retail sales are slowing
  down, although in certain sectors there is
  restrained growth. Despite occasional peaks (May
  2005 sales highest since November 2004), the
  annual growth in sales volumes is the lowest in
  six years, adding to fears of a consumer
  slowdown. The highest growth has been seen in the
  clothing market and in food sales.

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Characteristics of the UK retail market

• UK retail market is characterized by
  consolidation of big players. Retail chains are
  increasing their power and many of them are
  expanding their supply to new areas. Life-style
  concepts are mainly seen in department stores (as
  shop in shop) and in small single shops. However,
  traditional chains have also started to create
  new kind of life-style departments together with
  new partners (e.g.MFI/Conran).
• Marks Spencer opened a new life-style concept
  shop outside London for some time ago with their
  own brands.

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Retailing market
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Trends

• British media is paying very much attention to
  development of homes and investments in estates
  and holiday homes abroad. There are daily
  programs around that theme. DIY is popular.
• Retail business reacts swiftly to these trends by
  offering complete solutions for home owners to
  decorate their houses and gardens.
• Cooking, healthy food and beautiful environments
  theme has become increasingly popular in the UK.
  Number of celebrity chefs, for example Jamie
  Oliver in cooperation with Sainsbury chain is one
  of the leading characters

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• There are many retail shops creating life-style
  concepts around gardening and country life in the
  UK.
• All in all concepts around outdoor-living are
  increasing rapidly and retail chains are actively
  seeking for new integrated products that could be
  sold for individuals interested in different
  life-styles or hobbies.
• Healthcare and wellbeing are areas, where new
  concepts are booming such as bathroom concepts
  and wellbeing centers with additional wellbeing
  products and textiles.

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• Organic food and healthy living is one of the
  quickest increasing trend in the UK. Fresh food
  and handmade image important
• People are willing to pay higher prices for food
  and care products which they consider more
  healthy for themselves (MS Food only stores)
• Environmental issues are not yet too important
  for British consumers, people are not yet ready
  to spend extra money for environmental friendly
  products
• More money spend on technology and home
  entertainment (i.e. ipods, home theatre, personal
  gadgets)

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• Label consciousness and money spend on designer
  goods and clothing (discount designer shops
  popular)
• Conscious decision to belong to a group that
  describes the lifestyle (country, chav/football,
  bling, posh) (pink/white/blue collar). The same
  applies to home decoration, choice of car etc
• Location of home important as it is reflecting
  social status

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• TV is very influential and brainwashing the
  nation
• - reality tvs Big Brother, Im a celeb, get me
  out of here, wife swap
• - programs on personal makeovers (whole
  lifestyle including bodyappearance and house),
  dietinghealthy living
• - design and property programs
• - money matters personal debt problem
• Magazine industry booming, several specialist
  magazines on lifestyle biking, fashion, food,
  health, property, decorating. Mens own lifestyle
  magazine range growing Q, FMH, Mens Health,
  specialist interest groups i.e. fishing, motors,
  building

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Trade shows in UK

• Housewares 2006   NEC Birmingham 3 - 6 September
  2006
• Spring Fair Birmingham 2006   NEC Birmingham 5 -
  9 February 2006
• Autumn Fair Birmingham   NEC Birmingham 3 - 6
  September 2006
• Design Interiors 2006   NEC Birmingham 22 - 25
  January 2006
• Country Homes Gardens Show   Sandown Exhibition
  Cent. Esher 18 - 19 February 2006
• VITALITY 2006 - Healthy Living Show   Olympia,
  London 30 March 2006 - 2 April 2006
• BBC Good Homes Live It!   NEC Birmingham 18 - 21
  May 2006
• Lot of more sports and specialist shows Link for
  more http//www.exhibitions.co.uk