TABLE OF CONTENTS
CHAPTER 1 EXECUTIVE SUMMARY 3
Introduction 3
The future decoded 3
Action points 5
CHAPTER 2 THE FUTURE DECODED 15
Introduction 15
Trends in Young Adults’ lives 16
Demographic changes threaten the importance of Young Adults 16
Young Adults are less independent than previous generations 16
Going Out is increasing 22
Entertaining At-home is rising slowly 22
Staying In of limited interest to Young Adults 23
Young Adults’ spending on drinks is increasing 24
Disposable incomes are rising 24
Spending on Going Out 26
Spending on Entertaining At-home 27
Spending on Staying In 28
Young Adults are in a key transitional phase 29
Exploration of categories and tastes creates opportunities 29
Socializing is the need behind most Young Adult drinking 32
Fitting in is a key need 32
Bonding with friends and acquaintances matters to Young Adults 33
Dating 35
Young Adults also want individuality 36
Generational individuality 37
Peer group individuality 38
Accentuating the positive is vital 38
The need for maturity will benefit different categories 39
Emphasizing adulthood is important to Young Adults 39
Young Adults increasingly demand the trappings of sophistication 41
Control is a vital aspect of maturity 42
Young Adults want to have fun 43
Novelty of experience is vital 43
Young Adults demand excitement 44
Young Adult women are developing their own drinking habits 46
Competing with male peers 46
The female group drinking occasion 47
Young Adult women seek glamour and sophistication 47
The changing on-trade environment 48
More variety means more varied drinking patterns 48
Chameleon bars are becoming more popular 49
Mid-week drinking is increasingly common 50
Entertaining At-home 52
Catalysts for Entertaining At-home occur more frequently 52
Meeting on-trade standards adds value to Entertaining At-home 53
Meeting new needs 53
CHAPTER 3 ACTION POINTS 55
Introduction 55
Establish strong brand identities 55
Target the need for maturity 57
Develop more mature products 57
Use positive role models to demonstrate maturity 58
Aid socializing - the key need of Young Adults 59
Help Young Adults bond and make friends through sharing 59
Help Young Adults feel confident 60
Offer individuality 61
Use positive differences to help consumers assert individuality 61
Help Young Adults demonstrate success through premium drinks 61
Develop a distinct positioning 63
Offer Young Adult women glamour and sophistication 63
Reflect desirable venues in marketing and advertising 64
Change drink formats to meet Young Adult women’s ideals 64
Ingredients play a key role in establishing sophistication 65
Target Entertaining At-home 66
Product development is vital to encouraging Entertaining At-home 66
Create and encourage sharing 67
Develop “party-packs” to enhance the event 67
Use advertising and marketing to support at-home consumption 67
Become a lifestyle accessory 68
Make occasions fun 69
Encourage group participation through games and events 69
Create in-bar events to enliven mid-week evenings out 70
CHAPTER 4 APPENDIX 71
Supplementary data 71
Demographics 71
Living arrangements 73
Occupation 75
Occasions 77
Spending 83
Definitions 86
Research methodology 86
References 87
News sources 87
Industry sources 87
Government sources 88
New product research 88
How to contact experts in your industry 88
LIST OF TABLES
Table 1: Number of Young Adults in Europe and the US (m) 1998-2008 16
Table 2: Percentage of Young Adults in higher education, in full-time employment and in part-time employment, 1998-2008 17
Table 3: Young Adults’ living arrangements by region, (m) 1998-2008 19
Table 4: Average age of first marriage, 1980 and 1999 20
Table 5: Young Adults’ alcoholic drinking occasions (m), 1998-2008 21
Table 6: Young Adults’ Going Out occasions per person per week, by time of week, 1998-2008 22
Table 7: Young Adults’ Entertaining At-home occasions per person per week, 1998-2008 23
Table 8: Young Adults’ Staying In occasions per person per week, 1998-2008 24
Table 9: Disposable incomes of Young Adults by occupation ( and US$), 2003-2008 25
Table 10: Young Adults’ spending on Going Out, by per person occasion, by per person annual spend and total spending, 2003-2008 26
Table 11: Young Adults’ spending on Entertaining At-home, by per person occasion, by per person annual spend and total spending, 2003-2008 27
Table 12: Young Adults’ spending on Staying In, by per person occasion, by per person annual spend and total spending, 2003-2008 28
Table 13: Number of Young Adults (m),1998-2008 71
Table 14: Number of Young Adult males (m) 1998-2008 72
Table 15: Young Adult females (m) 1998-2008 72
Table 16: Number of Young Adults living at home (m) 1998-2008 73
Table 17: Number of young Adults living in houseshares (m) 1998-2008 73
Table 18: Number of Young Adults living alone (m) 1998-2008 74
Table 19: Number of Young Adults co-habiting (m), 1998-2008 74
Table 20: Number of Young Adults in further education (m), 1998-2008 75
Table 21: Number of Young Adults in employment (m), 1998-2008 75
Table 22: Average income of all Young Adults (), 1998-2008 76
Table 23: Average income of all Young Adults (US$), 1998-2008 76
Table 24: Young Adult males’ weekend Going Out occasions, per person per week, 1998-2008 77
Table 25: Young Adult females’ weekend Going Out occasions, per person per week, 1998-2008 77
Table 26: Young Adult males’ mid-week Going Out occasions, per person per week, 1998-2008 78
Table 27: Young Adult females’ mid-week Going Out occasions, per person per week, 1998-2008 78
Table 28: Young Adult males’ Entertaining At-home occasions, per person per year, 1998-2008 79
Table 29: Young Adult females’ Entertaining At-home occasions, per person per year, 1998-2008 79
Table 30: Young Adult males’ Staying In occasions, per person per year, 1998-2008 80
Table 31: Young Adult females’ Staying In occasions, per person per year, 1998-2008 80
Table 32: Students’ Going Out occasions, per person per week, 1998-2008 81
Table 33: Employed Young Adults’ Going Out occasions, per person per week, 1998-2008 81
Table 34: Young Adults living at-home Going Out occasions, 1998-2008 82
Table 35: Young Adults’ spending on Going Out (m & US$m), 2003-2008 83
Table 36: Young Adults’ spending on Entertaining At-home (m & US$m), 2003-2008 83
Table 37: Young Adults’ spending on Staying In (m & US$m), 2003-2008 84
Table 38: Share of Young Adults Going Out spending by category, 2003 84
Table 39: Share of Young Adults off-trade spending by category, 2003 85
Table 40: Definitions of terms used in the report 86
LIST OF FIGURES
Figure 1: An overview of the three consumer adoption groups 31
Figure 2: Blue Nun’s “Slinky” wine based RTD 40
Figure 3: Brand building for Young Adults - the Coors Twins 56
Figure 4: Premiumizing beer - Kronenbourg Premier Cru 62
Figure 5: Targeting sophistication - Drambuie’s Sylk Cream 65
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