DUBLIN--(BUSINESS WIRE)--Research and Markets (http://www.researchandmarkets.com/research/c9pt95/baby_products) has announced the addition of the "Baby Products Market Assessment 2012" report to their offering.
Although the number of children aged 0 to 2 years old has increased since 2000, the number of births has slowed in recent years and is likely to continue to so in the future. Currently, the completed family size in the UK is at 2.01, below the recommended European level of 2.1, while the total fertility rate stood at 1.99 in 2011.
Nevertheless, the increasing tendency for women to go back to work much faster following maternity leave, as well as the higher instances of families with two working parents, has driven sales of baby products in recent years. Women are also more likely to have children at an older age nowadays compared to the past, with the average age of a woman having her first born child at around 29.6 years old, which compares to 27.6 years in 1991. This means that often, women are waiting until they are more financially secure to have children, thus providing a boost to the baby products market.
As a result, interest in premium and luxury baby products has increased, with retailers, such as Mamas & Papas continuing to perform well, following rising demand for stylish and trendy nursery furniture and other baby equipment. Consequently, Key Note estimates that sales of baby products increased by 8.6% between 2007 and 2011.
It should be noted, however, that growth slowed somewhat in 2010 and 2011 following the ongoing economic turbulence, which has continued to affect household spending since the recession of 2008/2009. Furthermore, continued concerns regarding the Eurozone debt crisis, along with the announcement that the UK had re-entered recession in Q1 2012, are likely to result in household budgets being tightened even more.
On top of this, changes to the benefits system in the UK is likely to begin to have an impact on family spending from 2013 onwards, with families that include one parent earning over £60,000 seeing their benefit cut completely, while those in which one parent earns over £50,000 will see it reduced at a gradual rate. Other factors, such as a slowdown in the population of children aged 0 to 2 years old, is also likely to have a direct impact on sales of baby products in the coming years.
As a result, Key Note predicts that the market will become more polarised in the future. With tightened household budgets likely to drive innovation in value products, while growing demand for stylish and trendy baby products will continue to drive sales at the premium end of the market. Therefore, although market growth is expected to slow during the forecast period between 2012 and 2016, sales are still forecast to increase, rising by an esimated 7.2% over the 5-year period.
Companies Mentioned:
- Britax Childcare Holdings Ltd
- Graco Childrens Products Inc
- Jackel International Ltd (Mayborn Group)
- Kiddicare
- Kimberly-Clark Ltd
- Maclaren Europe Ltd
- Mamas And Papas Ltd
- Mothercare Plc
- Philips Avent
- Procter And Gamble
- Tomy UK Ltd
- Toys 'R' Us
For more information visit http://www.researchandmarkets.com/research/c9pt95/baby_products