The importance of knowing your targeted customers spending power

What is spending power? Spending power or buying power is defined by Wikipedia as the amount of goods or services that can be purchased with a unit of currency. According to Investopedia.com, buying power is important because, all else being equal, inflation decreases the amount of goods or services you’d be able to purchase.

Online sellers should set a goal to identify the spending power of their targeted shoppers and from there can design promotions that are economically and creatively appropriate for them. For instance, the online sellers can design premium offer to those customers have significant spending power compared with other customers who only can get standard promotion.

Toshl Finance, a mobile financial assistant app for iPhone, Android, Symbian, Windows 7 platform-based mobile devices recently has published a statistic analysis showing how Toshl users around the world whip their finances into shape via infographic. The data for the analysis was collected from active users of Toshl Finance on an anonymous basis.

The infographic by Toshl shows average monthly income per person for iPhone user is the highest compared with other platform users and iPhone uses also found spend the most among the active Toshl users. Online sellers especially those have own mobile shopping app should utilize the information from the infographic to understand the spending power of mobile shoppers. The details of analysis done by Toshl is as follow:

by Alice Lee