If you are looking to invest in a new company or start one yourself, you’ll want to consider some of the startup industries where consumers are spending money.
Intuit recently released its Consumer Spending Index, which measures spending habits from January 2009 to April 2013 and shows consumer spending is up nine percent from four years ago, and significantly so in certain sectors, reports Inc.
Among the hot sectors prime for a startup are:
Gourmet Food and Restaurants
The report found that grocery spending is up by 17 percent, partly because of the cost of premium groceries. Spending at “general grocers” is down by three percent. Breaking it down further, there are certain regions where a food industry startup might work best. Californians prefer to buy food at more expensive grocers, such as Whole Foods Market, for instance. And more people are eating out. According to the Index, restaurant spending is up 11 percent. But consider this before going into the restaurant business–eating out is the first thing people eliminate when they want to save money.
According to Inc., spending on healthcare has skyrocketed by an average of more than 30 percent. The Intuit report found that people between 41 and 55 years old spend more than $300 a month on healthcare, but younger people are actually the ones with the biggest increase in health-related costs. In fact, people between the ages of 26 and 31 now pay an average of $252 a month on healthcare, an increase of more than 40 percent since 2009.
There are all kinds of healthcare startup possibilities, such as New York-based Audicus, an online seller of affordable hearing aids that range from $299 to $699. Normally, hearing aids can run into the thousands. The company launched 10 months ago and claims it has saved customers more than $1.5 million and grown to a run rate of more than $1 million a year.
Business for Men V. Women
As we recently reported, men are bigger consumers than women. Men spend on things like alcohol, entertainment, eating out, and gas. But women outspend men by 21 percent when it comes to spending on clothes and apparel. So if you are going for a gender-specific startup consider these numbers. “If you want access to the dollars females are spending, video is a great medium in which to invest. Compared to men, U.S. women watch more video and spend more time online, representing the majority of visitors to career, shopping, and social media sites,” explains Inc.