conomy appears to be a long-term phenomenon,” Damien Yeo, consumer and retail analyst at BMI told Inside Retail. The fast growth of the singles economy  Yeo cited various factors driving the singles economy’s growth. First, a rising number of people are opting to marry later in life or not at all, resulting in more single-person homes. Second, urbanisation and the quest of job prospects frequently lead to individuals preferring employment over starting a family. Furthermore, cultural changes towards independence and personal happiness have pushed people to embrace single living. Finally, advances in technology and the availability of services customised to single people make it easier and more comfortable for them to live independently. “Demographic changes, such as ageing populations and declining birth rates in many developed countries suggest a sustained shift towards single-person households,” he said. “Additionally, cultural and societal attitudes towards marriage and individualism in developing countries also continue to evolve, supporting the permanence of this trend. Economic factors, like the need for mobility and flexibility in careers, further reinforce the longevity of the singles economy.” As Yeo touched on, the rise in the number of single people and those living alone has resulted in a variety of services for one person. In response, a number of economic scenarios, such as ‘single hot pot’ and ‘single flat’ have been launched. In recent years, commercial intellectual property based on singles has been widespread, including in food, catering, pets and travel.  Impact of singles economy on retail The singles economy is retail’s most significant market force. Data analytics firm Euromonitor International stated that, in 2023, single-person families accounted for one-fifth of all households worldwide. Between 2023 and 2040, Euromonitor predicted, these households would increase by 48 percent, in absolute terms, exceeding all other household types. This move is more than just a trend, it indicates a fundamental market transformation. Single customers will continue to shape new shopping priorities through their individual lifestyle choices. Catherine Bautista, managing partner of Flying Fish Lab, a Singapore-based company that supports brand and business growth, said: “The opportunity spans all sectors and across levels of value. The opportunity is in being in tune with how people will live – they do and will live differently, so we should plan for the reality that singles will buy differently.” Retail is one of the markets most affected by the solo economy. The sector’s brands and companies are beginning to develop strategies and initiatives tailored to the one-person economy. This is especially evident in the food and beverage industry. Single-serving and ready-to-eat meal options have become increasingly popular, catering to people who do not cook regularly. Next, to accommodate various preferences, there is likely to be a shift towards individualised eating experiences and menu customisations. As single customers prioritise convenience, delivery services and meal kits will rise in popularity. “Additionally, there may be an increased focus on health and wellness products, as singles often prioritise personal health,” Yeo added. “Moreover, dining establishments might adapt by creating more inviting spaces for solo diners.” Bautista said that, for consumer goods, there is a clear emphasis on solo-friendly packaging design, premium single-serve offerings, and smart portion control. Aside from that, pleasure and personal development are two of the most significant considerations. “Many singles have time and money to indulge in fashion, designer toys, gaming, dining, entertainment. Products and services positioned for their enjoyment and broadening their horizons – even if they are priced on the high end – will be attractive to them,” Bautista added. However, businesses confront challenges in the singles economy. They may struggle to adjust to the demand for smaller, more personalised items, which could have an impact on economies of scale. Furthermore, given that the majority of infrastructure expenditures have been made to accommodate families, it may be difficult to envision a quick and cost-effective way to expand or adapt. Resizing and simple repositioning will not suffice. Bautista cited the example of Singles Day to show the importance of adapting. “Digital commerce is crucial in the singles economy, with 90 per cent of Singles Day sales coming through mobile devices. Retailers have optimised for mobile shopping, implementing AI-powered personalisation, and integrating social commerce to enhance the shopping experience for single consumers,” Bautista said. While multiple-person households might spend more collectively, Yeo said singles might spend more per capita due to higher discretionary incomes and fewer total financial responsibilities. This means that businesses that can adjust to the increasing singles economy will be able to increase headcount spending at their locations. What should retailers do? The apparent solution would be to customise products and services to match the needs of individual consumers. However, single-person homes necessitate a more extensive rearrangement of consumer norms and expectations. Bautista highlighted several strategies, including reframing the household, reframing the consumer journey, catering to new convenience requirements, and reframing value perception. “Smaller consumption items tend to be limited and expensive. Brands will still need to connect authentically with these consumers, so being genuinely insightful about them will be necessary.” Marketing campaigns that demonstrate sympathy for single people are also important for companies, as they increase customer awareness. Individuals who choose to remain single will respond better to marketing campaigns that promote independence and self-care, especially for products that have traditionally relied on the family unit to express relatability with consumers, such as apartments, holidays and even restaurant visits. Furthermore, retailers might consider emphasising luxury merchandise or improved services. Bautista observed that while families focus their spending on family necessities, singles do not have to share their disposable income. They have chosen a lifestyle with more free time, a less stressful job, and a lower household wage but greater disposable cash. As a result, they might be less price sensitive and instead want businesses to give upgraded and personalised experiences. This story first appeared in the February 2025 issue of Inside Retail Asia magazine.