MacroMonitor Market Trends Newsletter November 2017

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Financial-Need Opportunity Analysis

Between 2010 and 2016, MacroMonitor respondents have rated the importance of 27 financial needs and the helpfulness of products and services in meeting those needs on a four-point scale—from not at all important to extremely important. The two questions—about needs and about helpfulness—in combination allow classification of households into one of four quadrants.

Figure 1: Opportunity Analysis

Households that indicate a specific financial need is important AND that the products and services their household has for meeting that need are not useful represent the best opportunity. We've ranked the 27 financial needs—from largest to smallest—on the basis of the number of households in each opportunity quadrant.

Figure 2: Size of Financial-Opportunity Quadrants

The opportunity target for "protecting against substantial health costs" represents a 15 million–household target for health insurers. These household heads (HHHs) are more likely than all HHHs to be working (73% versus 64%), although they are no more or less likely than all HHHs to work for an employer that offers health insurance. They are more aware than other households are of the need for health-care-cost protection because they have recently had a major medical expense (12% versus 7%). They are more likely than all households to have an anticipated a medical expense (10% versus 5%) and more likely than all households to have postponed, cut back, or forgone a needed medical treatment or medication (10% versus 6%) or to have anticipated the need for treatment or medication (10% versus 6%).

The November Segment Summary profiles the two opportunity targets that have increased and decreased in size the most between 2014 and 2016: The number of households looking to save money for near-term use has increased 9%; the number of households looking to save money for long-term use has decreased 22%.

To learn more, contact us. From their CFD client-landing page, MacroMonitor subscribers may:

  • Access the November 2017 Segment Summary, Opportunity Segments: Investing for the Near Future and Saving for the Distant Future.
  • Schedule a full presentation about these households, including a customized and proprietary Q&A session. Contact us to schedule your presentation.