Times are tough. In 1960, the average age of a first-time house buyer was 23. Today, it’s 30, reports the Independent – clearly, young people have considerably less spending power these days. Indeed, our inter-generational wealth gap is so great that think tank the Resolution Foundation proposes tax reforms to create a ‘citizen’s inheritance’ – £10,000, payable on everyone’s 25th birthday – to help redress the balance.
Amid this hand-wringing, it’s easy to overlook a crucial point – today’s young people may have less money, but this won’t always be the case. And if those born in the late Eighties are getting on the property ladder, they already need to be taken seriously.
Last month, I spoke to Philippe Chainieux about the importance of the Saint Plein customer – a generation that grew up with the internet, eco-guilt, and more labels than any other demographic in history.
“Saint Plein are not the core target group for furniture, but they will be in the next five years,” he said.
“Just look at how much the fashion industry has changed since 2013, thanks to e-commerce – the landscape is unrecognizable.”
In some corners of the industry, the shift has already happened. A survey carried out by the National Bed Federation reveals that 51% of mattresses are now purchased online, compared to 47% in-store. Despite Cambridge Analytica’s antics, trust in the internet has never been higher.
Granted, these developments aren’t entirely representative – not everyone under 38 is after designer chic or a bed in a box (and I should know, I’m a Saint Plein myself – just!). But there’s clearly some disconnect between the industry’s preferred methods of selling and this new audience’s preferred methods of buying.
If Saint Plein spend is coming of age, how can you better understand your now and future customer? It is said that the younger generations value transparency, and prioritize experience over product – and if that’s the case, then the bed sector has tapped into their demands better than most. ...
To be continued...
