Single spending

In conjunction with International Women’s Day on March 8, Sunday Star zooms in on Malaysian single women as a rising consumer group in the country for retailers, tourism industry players and other businesses.

THE world joined hands in celebrating the achievements of the fairer sex on International Women’s Day on March 8.

And as women in Malaysia continue to grow from strength to strength, those who are single are emerging as a force to be reckoned with, as their numbers have risen over the past decade.

The increase in this demographic means that they are a growing consumer group and are starting to attract the attention of businesses.

Single women have been described as an important niche consumer segment.

For starters, the Malaysia Retail Chain Association (MRCA) says its member companies – over 350 and counting – are keen to tap into this market.

In fact, not paying attention to this demographic will be a lost opportunity for retailers, the association says through a spokesperson.

“Those who understand this are poised to win in the market and build a large and loyal consumer base,” says the MRCA when contacted.

“As women become more financially and economically independent and powerful, their purchasing power increases too. This is especially so for working, urban single women who already form a significant consumer group because they ‘buy for themselves’.”

Noting that single women are an important market for online shopping as well, the MRCA finds that such women generally tend to spend money on automobiles, apartments, technology, and financial services. They are also willing to splurge on personal care items, clothes, jewellery, accessories, fitness, beauty, wellness products, and eating out.

The association says Malaysian women today have changed compared with over a decade ago.

While many women generally aspire to be married and look forward to motherhood, they also want more than that.

“Today’s women want to be ‘real women’, with interests that include as well as extend beyond their roles as caretakers, providers and nurturers,” the MRCA says.

Sunday Star had previously highlighted that the number of single women is rising in the country – over three million and counting, with more households being led by these women (“All the single ladies”, Feb 5, Nation; available online at tinyurl.com/star-single).

Based on data from the Department of Statistics Malaysia, 13.6% of women aged 25 and above in Malaysia were unmarried in 2010 – a jump from 10.4% in 2000.

The proportion of single women aged 35 to 39 within the country’s population also rose from 7.8% in 2000 to 10.8% in 2010.

As for their contribution to the economy, one indicator is the total income tax paid by these women, with the sum amounting to RM3.461bil in the 2013 to 2015 assessment years.

This constitutes 5.3% of the total RM65.5bil income tax paid in those three years of assessment, according to data from the Inland Revenue Board.

Describing single ladies as active, forward-looking, and with high purchasing power, the MRCA says these women also generally tend to be highly educated and mainly fully employed.

“To reach this demographic, retailers not only need to communicate that their goods and services are practical and convenient, they also have to make consumers feel confident and in charge,” it says.

The approach used to appeal to female consumers must also be different from traditional, cookie-cutter methods, the MRCA notes.

“The answer does not lie in the age old gender stereotypes of adding empty features such as making products in feminine colours to appeal to women.

“Retailers who will benefit from increased women’s empowerment will be those who conduct in-depth research, listen to needs, and recognise their increased potential,” it says.

Such need for gender inclusive strategies in business is critical because women make the majority of purchasing decisions for their families, explains MRCA deputy president Valerie Choo.

“Not only are women exerting a bigger influence on buying decisions, they are also contributing to economic prosperity and becoming a fast growing consumer market.

“More focus should be placed on engaging women to tap this enormous potential, and simply because it makes good business sense,” she says.

Choo says strategies could include involving more women suppliers and women in procurement, and emphasising designing products and services that appeal to women.

“Businesses that ignore this connection between who they sell to and who they source from are unlikely to comprehensively anticipate or meet the needs of this market and are therefore not as profitable as they can be,” she adds.

While tourism industry players have not specially designed travel packages for single women, this is a group that is slowly getting their attention.

Malaysian Association of Tour and Travel Agents president Datuk Hamzah Rahmat says the increase in the number of single women is something that they are looking forward to catering to.

“Solo women travellers are increasing and women today are generally very independent and adventurous,” he says.

He adds that such a group would typically go on holidays that enable them to shop, explore cities and offer an exciting experience. But they also tend to go to destinations that they feel are “safe”, such as Hong Kong and Bangkok, for example.

Aside from tourism, the beauty and wellness industry has also realised the huge potential in reaching out to single women, as it has noted the increase in this consumer group.

With the company’s primary clientele being women, Clara International Beauty Group marketing director Jason Woo says he has witnessed the rapid expansion of the single women consumer base in the industry. This growth has happened in the last few years as more women today are choosing to stay single and for longer periods, he notes.

“We have definitely reached out to this lucrative demographic group with promotions and privileges aimed at single women who have more spending power because they generally have no dependants.

“Our founder, Prof Datin Dr Clara Chee, often says that the beauty industry will grow at exponential rates in the coming years due to the birth of this booming cohort of single women who are willing to spend a lot of money on maintaining their beauty,” he says.

According to wellness company The Beacon Laureate, women’s spending power is higher than men’s as the fairer sex tends to invest more time and effort on themselves in terms of grooming, fashion, and pampering routines.

“With more money, more prospects and a new sense of freedom to do what women want, single women – young and old – are a more lucrative market than single men.

“They are also more likely to get friends involved such as by having a girls’ night out, dining and shopping, which could lead to them spreading the word about your business,” the company says.

Single women can also revamp their lifestyle according to their own preferences, it adds.

When it comes to make-up, though, the growth in customers covers all women – regardless of whether they are single or married.

Cosmetics retailing group Sasa Cosmetics says there is a rise in the importance of beauty and grooming among all women today, who generally make the effort to maintain and improve their appearance.

Here’s what some have to say about the rise of single ladies:

‘It is worrying. Many educated single women are not interested in getting married early anymore. Gender equality here is getting better. However, our society focuses a lot on marriage, especially among traditional Malay families. They see marriage and having more kids as a form of success.’ – Mohd Mokhtar Marzuki, 35, business executive

‘As a single mother, it’s not easy. I don’t mind finding a soulmate, but I wouldn’t choose to remarry anymore. Every woman needs a shoulder to cry on at times, but most women would rather cry with people they can trust than to open their hearts to be hurt.’ – Cindy Tham, 41, public relations consultant

‘There is a shift of priorities among Malaysian women. Rather than focusing on getting married first, they would prefer to focus on achieving financial and career stability.’ – Belle Yeoh, 24, accountant

‘The increase in single women shows how empowered women have become. Most single women I know choose to be so. Single women are still subject to negative perception from some, more so than single men. However, they contribute greatly to our economy. There’s even a whole commercial ecosystem built around them called “chic-onomy”.’ – Heikal Rosnan, 31,
corporate strategy executive

‘Our society is just as judgmental towards single men as they are with single women. Unfortunately, people generally tend to gossip more about the women, by speculating why they
are single. It is unfair and people should just stop this.’ – T. Shan, 28, lawyer

‘Welfare policies should apply to all single people, regardless of gender. The increase in single women means they no longer feel that marriage is necessary. Many men also seem to
be seeking foreign wives like from Vietnam.’ – Topher Toh, 31, merchandising executive

‘Women are very independent and competitive nowadays. Some can be too choosy as they become more capable. They would rather be single than be with a man who is financially and intellectually incompatible. Nothing wrong being single than to be with someone who isn’t compatible.’ – Lim Kwong Siong, 34, Internet broadband agent

‘I have many single friends who are pressured to settle down. Some are told that they will end up dying alone and nobody will be able to manage the burial. If it is their choice to remain single, I would support them. Everyone is entitled to their own choices.’ – Yana, 33, housewife and mother of two

‘Single women are not forgotten, but we are rather independent. Because we are single, we know there is no one else we can rely on, but ourselves. A man doesn’t complete you. You complete yourself.’ – S. Nandhini, 34, English teacher

‘The increase in single women is healthy and moving away from conservative Asian traditions. But Asian women tend to feel less secure when they become older and not necessarily marry the person they want, but marry because they have to and this has led to many divorces.’ – Dr Myelone Tharmaseelan, 27, medical doctor