Pestle Analysis for Children's Market
Macro-environmental Analysis Children’s Market
APPENDICEs
Appendix 1.0
Expanded pestle analysis of children’s market
An extensive pestle analysis was conducted to highlight the reasons changes have occurred in children’s market. The key issues that affect the market were recognised through thorough research and are talked about in more details below.
Political factors
• Increased legislation on marketing to children
• Increased emphasis ethics and responsible action in marketing to children
• Increased legislations on children’s food consumption
• Raise in income tax
• Polices on the reduction of population of children (Euromonitor)
Economic factors
• Higher disposable income
• GDP rates
• Wage/price control
• Smaller families
• Increased children influence on parents spending
• Pester power of children
• Children’s expensive spending culture ( designer brands & ipads)
• Reductions in child benefits in some countries e.g. Spain and Greece ( Euromonitor)
• Recession
• Incentives for household with children e.g. Germany (Mintel)
Social factors
• Growth in children’s population
• Peer pressure
• Children growing older younger
• Change in family structures
Technological factors
• Increased use of the internet by children
• Increased use of social websites e.g. Facebook
• Use of game websites
• Increased use of mobile phones/smart phones
• Global growing rate in the use of internet
Environmental factors
• Greener world
• Ethical and social responsibilities of companies
• Recycling
Legal factors
• European union regulations on children’s marketing:
- Product placement not allowed
- Children’s program may have commercials only if program is longer than 30 minutes
• In America, NARC (2007)banned advertising food high in salt, sugar, and fat during programs
• Children’s online Privacy Protection Act in 1998 passed by congress in USA
• “One child per house” government policy
APPENDICEs
Appendix 1.0
Expanded pestle analysis of children’s market
An extensive pestle analysis was conducted to highlight the reasons changes have occurred in children’s market. The key issues that affect the market were recognised through thorough research and are talked about in more details below.
Political factors
• Increased legislation on marketing to children
• Increased emphasis ethics and responsible action in marketing to children
• Increased legislations on children’s food consumption
• Raise in income tax
• Polices on the reduction of population of children (Euromonitor)
Economic factors
• Higher disposable income
• GDP rates
• Wage/price control
• Smaller families
• Increased children influence on parents spending
• Pester power of children
• Children’s expensive spending culture ( designer brands & ipads)
• Reductions in child benefits in some countries e.g. Spain and Greece ( Euromonitor)
• Recession
• Incentives for household with children e.g. Germany (Mintel)
Social factors
• Growth in children’s population
• Peer pressure
• Children growing older younger
• Change in family structures
Technological factors
• Increased use of the internet by children
• Increased use of social websites e.g. Facebook
• Use of game websites
• Increased use of mobile phones/smart phones
• Global growing rate in the use of internet
Environmental factors
• Greener world
• Ethical and social responsibilities of companies
• Recycling
Legal factors
• European union regulations on children’s marketing:
- Product placement not allowed
- Children’s program may have commercials only if program is longer than 30 minutes
• In America, NARC (2007)banned advertising food high in salt, sugar, and fat during programs
• Children’s online Privacy Protection Act in 1998 passed by congress in USA
• “One child per house” government policy