Motor City promising market for retailers
By Janice Chamberlain -- Kids Today, 10/1/2006
Figures from New York-based Easy Demographic Software Inc. indicate the Detroit metro area is a prime target for those selling kids products.
EASI statisticians rank the Detroit-Warren-Livonia, Mich. area in the upper 10% of metros in its spending on juvenile furniture, the top 15% in its spending on infants' equipment and infant dresses and outerwear and in the top 25% for its spending on infant accessories.
Among the 934 U.S. metro markets, the greater Detroit area ranks in the upper quarter of metros for the number of children age 11 and younger in 2005.
Detroit's median household income in 2005 was $54,110, placing it in the top 5% of all metros, according to EASI, giving households the wherewithal to purchase kids' products. Detroit households with annual incomes of $75,000 or more also rank in the top 5% of metro regions.
EASI statisticians project that Detroit's median household income will rise 26% from 2005 to 2010.
The city also has the right-aged population to spend on children's products. Detroit places in the upper one-fifth of metro areas for its population ages 25 to 44 years, prime child-bearing and spending years.
Two areas of opportunity are among the black and Asian populations. In 2005, both populations ranked among the top 15% of metros, according to EASI statisticians, and both are estimated to continue to grow by 2010, up 5% and 18%, respectively.
Black households represented 20% of all Detroit households in 2005 and Asians households accounted for 2%. Those percentages are expected to increase to 21% and 3% by 2010, respectively, measured against national estimated percentages of 12% and 4%.
