If every one of the more than 3.5 million young Romanians, aged between 15 and 25, spends at least 50 euros per month, the overall annual sum spent by these individuals would exceed 2.1bn euros, reads this week's issue of BUSINESS Magazin.
The over 2bn euro estimates make young people's spending power an attractive target for a large number of retail companies, from designer clothing and gadgets, to special banking cards and mobile telephone offers targeting this demographic.
Besides the amount of money spent by young people, ensuring consumer loyalty remains an important aim for every retail company. As well as clothing products, soft drinks and fast-food products, "there is an expanding market of products targeting young people's desire to live beyond traditional rigid norms; (such as) mobile phones, computers and mp3 players," states Andrei Balan, a junior strategic planner with Leo Burnett.
Many young people have two advantages. Firstly, they get money from their parents and, secondly, they often also earn their own incomes. Young Romanians largely depend on the financial support of their parents, although almost half (49%) already earn their own wages, reports the LeoYouth survey on consumption preferences for young people, aged between 16 and 24, conducted by Leo Burnett together with D&D Research, throughout the major Romanian cities. Seventy-one percent of respondents state they are still living on their parents' money, which helps them save for specific items that they want to own. The majority of young people stated that they knew how to plan their expenses so as to be able to buy what they need, while 36% stated that they spent their money almost immediately, without any concern for the future.
So, what do young people spend their money on? The most popular answers tend to be entertainment and going out with friends for almost half of the respondents. Next come clothing products and other investments in physical appearances, while only 18% of respondents reported spending their money on mobile phones and other gadgets.
The young generation is also the most "connected" with technological novelties, a reason why they are targeted by companies specialising in these fields. As a result, spending time on a computer (59%) or on the Internet (61%) are becoming the activities occupying the largest part of young peoples' leisure time. This demographic is therefore a prime target for IT&C companies.
While 39% of young people state that they use the computer exclusively for the Internet, more than two thirds of respondents say the computer remains essential for their activities. At a first glance it may appear the average young Internet user is someone that loves websites providing jokes, homework help or an adult content, however; "we've found out the most popular websites are in fact the ones that provide information, visited by 81% of young people," concludes the LeoYouth survey.
The reported statistics make it impossible for any company to ignore the buying power of young people aged between 15 and 25, as they continue to spend over 2bn euros every year.
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