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Indicus Analytics, An Economics Research Firm
                 http://indicus.net/Newsletter/Consumer_Market.aspx


  Consumer Markets
      May 2009
From around India
JP Morgan launches escrow services in India
Through this, the company will now be able to provide an
important complement to the cash management and
trade finance products already offered in this key market,
a press release
WorldSpace eyes launch of radio by mid-2010
WorldSpace, US-based satellite radio company, is
targeting middle of 2010 for launching car radio in India.
Although the company had earlier planned to roll out car
radio sets in the country by 2004, …..
Cautious and tightfisted
As the downturn tightens its grip, consumers shy away
from spending. Consumer confidence takes a beating in
India and the world over.
Samsung Launches Touchscreen Phones in India
Korean mobile phone maker Samsung has recently
introduced on the Indian market a series of new full-
screen touch phones, including the Samsung Star and
Samsung Star 3Gm, as well as the Samsung BEAT DJ…..
Mr. Paul de Voijs, Managing Director, Volvo Car India
It is clear to us at Volvo that the luxury market is going to
grow much faster as a percentage than the segments that
are on the lower end of the market. The demand for
luxury and super luxury cars are increasing continuously
and is set to double in India over the next two years

Demand curve: Indicus-Mint Series
How multiple-income family types differ across cities
Indicus Analytics, An Economics Research Firm
                 http://indicus.net/Newsletter/Consumer_Market.aspx

As India and Indian consumers change rapidly, there is
one churn that has already played out in urban India. The
joint family is dead and the extended family is dying. It is
now the era of nuclear families.
Households in India can be classified into three types:
nuclear families where one married couple lives with, in
some cases, unmarried siblings; extended families which
have more than one married couple from different
generations; and joint families where more than one
married couple of the same generation live together,
which are essentially multi-income families.
That the joint family system is out of mode in urban India
is clear from the fact that only 8% of the households
belong to this category in India’s top 112 cities. Nuclear
households dominate the urban landscape with almost
70% of households falling in this category, while extended
families take up the remaining 23%, a sizeable share. This
reflects, to some extent, the lack of housing capacity to
accommodate nuclear families, a status that upwardly
mobile urban Indians seem to aspire to. more
Indicus Analytics, An Economics Research Firm
                  http://indicus.net/Newsletter/Consumer_Market.aspx




          Know about Indicus Products here

India Beyond the Metros
Opening Address at 101 Markets

how are the next 100 markets different from the large
8-10 metros and million plus cities? The answer is, of
course, very different.
Almost all major Indian cities are close to large water
bodies and located on a trade route. Delhi, Mumbai,
Kolkata, Indore, Pune, Jodhpur, Coimbatore, Trivandrum
etc. etc. all were some type of trading centres. If we go
back in history we find that each of these cities specialized
in one of two types of economic activities in their initial
phase of growth – whether they were manufactured
items, agri commodities, or even services. They were
quite specialized at some point. But as a city grew larger
and larger, gradually more and more activities got added
to the cities’ portfolio. In other words, as a city grew
larger and larger, it became less and less specialized.
Conversely some cities grew smaller and smaller, and
they became more and more specialized.

This is of course a generalization, and there are many
idiosyncracies built-in each city. But it helps us a lot in
trying to figure how smaller cities are different.
Indicus Analytics, An Economics Research Firm
                 http://indicus.net/Newsletter/Consumer_Market.aspx


The largest Metros are the least specialized; conversely
they have the most heterogenous consumers. And so
they are by far the easiest to service because they have
enough numbers of all types of consumers. The
probability of not finding enough demand is therefore
lowest in the larger cities. And for this very reason these
cities are the first point of entry for most marketers. This
makes them highly competitive markets. In other words,
the demand is there, but so is the competition. …….. more

          Know about Indicus Products here

Insights from Indicus
Why does the regulator’s office not attract non-
bureaucrats?
How much growth to expect in the Indian Economy
Sumita Kale: Are speculators evil?
FE-INDICUS POLICY SERIES - You scratch my bank, I
scratch yours
An Insight from our new product
Who should decide the salary of CEOs?
Which is bigger - financial or real sector
The Bottom of The Indian Pyramid
Consumer Market Trends for India – Incomes and Savings
From around the world
RBC Cash Index Shows Consumer Sentiment Rallied for
3rd Straight Month
Consumer sentiment in the US continued to rebound this
month on reduced concern about current economic
conditions and diminishing fears of job loss, ...
Consumers set to resume spending?
A number of economic indicators suggest
that consumers are remaining conservative with their
spending habits and keeping credit cards tucked
Indicus Analytics, An Economics Research Firm
          http://indicus.net/Newsletter/Consumer_Market.aspx


.



For query or placing orders on
Indicus Products
please contact

Indicus Analytics Pvt. Ltd.
2nd Floor, Nehru House,
4 Bahadur Shah Zafar Marg
New Delhi- 110002.
Phone: 91-11-42512400/01
E-mail: products@indicus.net
www.indicus.net

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Consumer Markets May 2009

  • 1. Indicus Analytics, An Economics Research Firm http://indicus.net/Newsletter/Consumer_Market.aspx Consumer Markets May 2009 From around India JP Morgan launches escrow services in India Through this, the company will now be able to provide an important complement to the cash management and trade finance products already offered in this key market, a press release WorldSpace eyes launch of radio by mid-2010 WorldSpace, US-based satellite radio company, is targeting middle of 2010 for launching car radio in India. Although the company had earlier planned to roll out car radio sets in the country by 2004, ….. Cautious and tightfisted As the downturn tightens its grip, consumers shy away from spending. Consumer confidence takes a beating in India and the world over. Samsung Launches Touchscreen Phones in India Korean mobile phone maker Samsung has recently introduced on the Indian market a series of new full- screen touch phones, including the Samsung Star and Samsung Star 3Gm, as well as the Samsung BEAT DJ….. Mr. Paul de Voijs, Managing Director, Volvo Car India It is clear to us at Volvo that the luxury market is going to grow much faster as a percentage than the segments that are on the lower end of the market. The demand for luxury and super luxury cars are increasing continuously and is set to double in India over the next two years Demand curve: Indicus-Mint Series How multiple-income family types differ across cities
  • 2. Indicus Analytics, An Economics Research Firm http://indicus.net/Newsletter/Consumer_Market.aspx As India and Indian consumers change rapidly, there is one churn that has already played out in urban India. The joint family is dead and the extended family is dying. It is now the era of nuclear families. Households in India can be classified into three types: nuclear families where one married couple lives with, in some cases, unmarried siblings; extended families which have more than one married couple from different generations; and joint families where more than one married couple of the same generation live together, which are essentially multi-income families. That the joint family system is out of mode in urban India is clear from the fact that only 8% of the households belong to this category in India’s top 112 cities. Nuclear households dominate the urban landscape with almost 70% of households falling in this category, while extended families take up the remaining 23%, a sizeable share. This reflects, to some extent, the lack of housing capacity to accommodate nuclear families, a status that upwardly mobile urban Indians seem to aspire to. more
  • 3. Indicus Analytics, An Economics Research Firm http://indicus.net/Newsletter/Consumer_Market.aspx Know about Indicus Products here India Beyond the Metros Opening Address at 101 Markets how are the next 100 markets different from the large 8-10 metros and million plus cities? The answer is, of course, very different. Almost all major Indian cities are close to large water bodies and located on a trade route. Delhi, Mumbai, Kolkata, Indore, Pune, Jodhpur, Coimbatore, Trivandrum etc. etc. all were some type of trading centres. If we go back in history we find that each of these cities specialized in one of two types of economic activities in their initial phase of growth – whether they were manufactured items, agri commodities, or even services. They were quite specialized at some point. But as a city grew larger and larger, gradually more and more activities got added to the cities’ portfolio. In other words, as a city grew larger and larger, it became less and less specialized. Conversely some cities grew smaller and smaller, and they became more and more specialized. This is of course a generalization, and there are many idiosyncracies built-in each city. But it helps us a lot in trying to figure how smaller cities are different.
  • 4. Indicus Analytics, An Economics Research Firm http://indicus.net/Newsletter/Consumer_Market.aspx The largest Metros are the least specialized; conversely they have the most heterogenous consumers. And so they are by far the easiest to service because they have enough numbers of all types of consumers. The probability of not finding enough demand is therefore lowest in the larger cities. And for this very reason these cities are the first point of entry for most marketers. This makes them highly competitive markets. In other words, the demand is there, but so is the competition. …….. more Know about Indicus Products here Insights from Indicus Why does the regulator’s office not attract non- bureaucrats? How much growth to expect in the Indian Economy Sumita Kale: Are speculators evil? FE-INDICUS POLICY SERIES - You scratch my bank, I scratch yours An Insight from our new product Who should decide the salary of CEOs? Which is bigger - financial or real sector The Bottom of The Indian Pyramid Consumer Market Trends for India – Incomes and Savings From around the world RBC Cash Index Shows Consumer Sentiment Rallied for 3rd Straight Month Consumer sentiment in the US continued to rebound this month on reduced concern about current economic conditions and diminishing fears of job loss, ... Consumers set to resume spending? A number of economic indicators suggest that consumers are remaining conservative with their spending habits and keeping credit cards tucked
  • 5. Indicus Analytics, An Economics Research Firm http://indicus.net/Newsletter/Consumer_Market.aspx . For query or placing orders on Indicus Products please contact Indicus Analytics Pvt. Ltd. 2nd Floor, Nehru House, 4 Bahadur Shah Zafar Marg New Delhi- 110002. Phone: 91-11-42512400/01 E-mail: products@indicus.net www.indicus.net