Travel Reference
In-Depth Information
DMOs, is contrary to those in the fashion, toys, food and entertainment
industries. For many industries, operators make it their business to under-
stand the buying behaviour of young consumers and how to reach them
and sell to them (Brooks, 2008; Mayo & Nairn, 2009). Marketers working
in consumer-based industries, perhaps with the exception of many DMOs,
have long understood the buying power of this age group. They know that
young people are clever at getting what they want. They can identify how
this age group behave in order to influence their parents' buying patterns.
Children of all ages are known to drop hints, hassle, coerce, manipulate and
even use guilt until they convince adults, in particular parents, grandparents
and other family members, to give them what they are after (Schor, 2005;
Thornton
et al
., 1997).
This chapter takes a primary focus on the role of young tourists as
the influencers and persuaders of their parents when families are selecting
holidays. However, before discussing this, it is important also to reflect on
the buying power of young consumers - either through their own purchas-
ing power or their ability to influence adults to spend.
The Future Laboratory, an international trend forecaster, dedicated
issue 14 of its
Viewpoint
magazine (2004) solely to the buying power of
young people whom it describes as 'sunshine teens', a term that reflects the
brightness this group can bring to retail business. The Future Laboratory
revealed that in the USA alone 'teens (only) spend $160 billion annually
and influence $800 billion of adult spending'. Schor defines this purchasing
power as 'kid-fluence', explaining the 'more children shop, the more voice
they have in parental purchases' (Schor, 2005: 23). Schor (2005) details how
industry analysts in the USA had 'calculated that by 2004, total advertis-
ing and marketing expenditures directed at children [in the USA] reached
$15 billion, a stunning rise from the mere $100 million in television advertis-
ing spent in 1983' (Schor, 2005: 21). Advertisers would not be spending on
media advertising if they were not achieving the financial returns.
Schor stated that this advertising exposure to 'children aged four to
twelve directly influenced $330 billion of adult purchasing in 2004 [in the
USA] and “evoked” another $340 billion' (Schor, 2005: 23). In the UK, the
spending power of children aged up to 19 years at around the same time
period (2005) may appear more modest, approximately £12 billion; however,
this 'spend' was 'from their own pocket money or part-time jobs' (Mayo &
Nairn, 2009: 5) and not their buying through pester power or influence.
While the financial results focus on differing age groups, all in all they
highlight a formidable purchasing power and it is only increasing (Beder,
1998). Schor (2005) claims that children's buying power was growing at
20% per year in the USA, and there is evidence to suggest this is not country
specific or culture specific, with similar patterns in the UK, mainland Europe,
India and Asia (Lindstrom, 2004). It is no surprise that young consumers are
described as 'sunshine'.
