"The Future of Urbanization: Identifying and understanding the future urban landscape", is an extensive and detail-orientated report decoding the — future of cities across the globe. The brief focuses on the opportunities and challenges arising as a result of the rapid urbanization currently occurring. Through the use of city economic, demographic and income data, consumer surveys and analysis the report provides clear and actionable insight into the future of urban markets.
Cities will increasingly become engines of growth as urbanization continues at a fast rate; the proportion of the global population living in urban areas will reach 60% by 2025. However, as the urban population rises some cities will experience population declines; surprisingly some rapidly shrinking cities are capitals and other large cities of major economic importance within their home countries.
Urbanization also goes beyond population growth; productivity tends to go up in urban areas that attract more qualified workers consequently pushing up wages and prices. Rising income levels fuel the demand for consumer goods and financial services products.
Cities have disproportionately large ecological footprints, urban dwellers typically consume more than their rural counterparts and while this provides opportunities for businesses it also places pressure on the world’s natural resources. Sustainability and efficiency of cities in the future will become a key focus, and the use of smart technologies is allowing local governmental bodies to achieve this.
The world’s most populous cities will change by 2025 and the three most populous cities will have different needs, but various segments of opportunities. Many of the world’s largest cities will be located in the developing world; foreign brands must understand the cultural context to successfully target the new urban consumers.
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- Urbanization will continue at a rapid rate in the future, over 500 million more people are projected to live in the key 2,000+ cities in 2025 than in 2005. This creates huge urban growth; the 500 cities experiencing the largest absolute rise in GDP will contribute 76% of total global GDP growth between 2015 and 2025.
- Aging populations are an increasingly common issue, the population growth in the 65+ age group will outpace the growth of the under 15 age cohort across all regions covered by GlobalData Cities. Additionally, almost 57% of the population growth in the 65+ age category will take place in Asia-Pacific.
- Rapid urbanization creates a new consumer base and opportunities are numerous and varied among the growing number of cities. For example, while consumers in developed regions are becoming increasingly aware of environmental challenges related to over-consumption, new consumers in emerging regions will drive FMCG uptake.
Reasons to buy
- Urbanization is a fast occurring trend; notably the developing world is becoming ever more urbanized.
- Understanding the opportunities in these large, complex and discrete markets will provide huge growth opportunities.
- This report gives in-depth analysis regarding the current and future trends influencing urban areas across the globe, and the opportunities within them across the major consumer-facing sectors.
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