Mineral
Water Can Be A Luxury!!!
Necessities are defined as something you are required to have in order to live. More detailed as something compulsory and obligatory for a person to possess. However, luxuries are desirable but also inessential products that are consumed. Human are capable to survive without the consumption of luxuries. However, people tend to buy luxuries for various reasons, such as for upgrading their social class.
Water is one of the
nature’s best and most important gifts to mankind. It is essential for humans in order to live, survival depends on drinking water. On the other hand, water is completely needed
for our body to function properly,
such as for regulation of blood. It is necessary for a person to consume water as it is
beneficial for their health. Hence,
water becomes a main component in determining the quality of
people’s life. Today, people are concerned about the
quality of water they drink.
Although water
has become a necessity in
human’s life, but it may also become
a luxury. Bling H2O is the most
expensive and exclusive mineral water brand in the world. According to the
survey, it is consumed about 200 billion bottles of mineral water in the world
and creating a business of $60 billion. The product is strategically positioned
to target the expanding super-luxury consumer market.
Differences
Necessities tend
to have a more inelastic demand. However, luxury has an elastic demand. This is because
necessity is truly needed for a person’s survival. However, luxuries are just
fancy items bought by people who are interested to upgrade their social class.
Luxuries are inessential but necessities are essential. For example, if a
person were to walk 3 kilometers without any drink of water, if he were to
choose either to buy normal mineral water or Bling H20, it is more
understandable if he were to buy the normal mineral water. This is because;
water is water, no matter what the price is.
In
this post, I have mentioned about how necessities and luxuries stand for and
the effects in our life. Although mineral water is essential and necessary to
people, but the Bling H2O definitely stand as a luxury. This is because people
will always find it difficult to decide decisions on whether to purchase a
product in a higher price. People WILL absolutely buy mineral water, no doubt
about it. However, to purchase the same water in a higher price is just
unnecessary and a waste of money. Therefore, making Bling H2O an elastic
demanded product. However, normal mineral water is necessary. Hence, it is
inelastic demanded.
For further information
and details about Bling H2O, please access into the link which is provided
below:
Bling H2O Page
Bling H2O Page
Written by
Lee Iak Yeng 0314903
It was an awesome comparison between necessity and luxury! I’m so surprise that water as the essential requirement in our daily life can also be a luxury. Seems Bling H2O is luxury that positioned to target the expanding super-luxury consumer market. What is the effect if this product is introduced to Australia?
ReplyDeleteThank you so much for reading and commenting our blog Cheryl Chai.
DeleteIn my opinion, if Bling H20 was to be introduced to Australia, this product would target the expanding super – luxury consumer market. This market is comprised of prosperous consumers that generally purchase exclusive branded products, to improve or maintain their social status. The inclined demographic would consist of employed male/female consumers ranging between the ages of 30 – 35 years old. Target consumers would have a satisfactory education level and would earn a high disposable income of $50, 000 and over. Family size would be between 1-2 children. Occupation would be marketers or managers in major companies and has a University graduate from UWS, Masters in Business and Commerce. Geographically, the consumers who would have the purchase power for this product would live in major cities in Australia such as Sydney, Melbourne and Brisbane, as these areas are dominated with social venues. Furthermore, these areas can be additionally segmented into suburbs where there with high-profile and social standing consumers. Specifically to New South Wales for example, lucrative areas would be Mosman, Woollahra, Kuringai and North Sydney. On a psychographic level, Bling H20 will be purchased by the consumer that seeks to improve their social status, even though overall these peoples status are already high. Consumers may purchase this product to dictate their personality.
Hope this helps.
The information was useful for me!!!!
ReplyDeleteThank you, glad it was.
Delete