More businesses catering to the high purchasing power of singles

According to reports from Thailand’s Office of the National Economic and Social Development Council (NESDC) and Euromonitor, in 2023, there were about 400 million single-person households worldwide, with this number expected to increase at an average rate of 3.3% per year. 

In Thailand in 2022, there were more than 7 million single-person households, accounting for 26% of all households in the country, representing an increase of more than 10% since 2012.

Thailand is considered one of the top 10 countries in the Asia-Pacific region with the highest household consumption expenditures for single-person households. These expenditures, covering goods and services, average around 1.4 trillion baht per year.

Additionally, a survey conducted by LWS Wisdom and Solutions Co Ltd, a research and development company in real estate, in May 2023 among 729 residents of condominium projects in the Bangkok Metropolitan Region found that 45% of them were living alone, an increase of 10% from 2020. More than 75% of these individuals were single, up by about 5% from 2020, with a monthly income ranging from 20,000 to 40,000 baht.

Praphansak Rakchaiwan, managing director of LWS, said that because of the increasing trend of single-person households in Thailand and the survey results from LWS, five service businesses are predicted to be of interest and have increasing demand among single individuals. This presents an opportunity to develop and create businesses in these sectors to meet market needs.

1. Residential rental business

The residential rental business is one of the promising sectors. According to LWS’s survey on living behaviour in residential condominiums, more than 30% of single renters are willing to pay a rental fee ranging from 6,000 to 10,000 baht per month. 

The current high prices of housing, exceeding purchasing power, along with the increasing number of young singles and freelancers and willingness to relocate closer to their workplaces, lead to a preference for renting over buying property. 

The development of real estate, particularly rental-ready condominiums, needs to focus on security, comfort, comprehensive facilities available 24/7, and additional services accessible through applications.

2. Pet-friendly condominiums

According to a 2023 survey by LWS on interest in purchasing pet-friendly condos, three out of four potential buyers prioritise projects that allow pets. This preference is driven by the desire to avoid future housing issues should they decide to keep pets. 

This trend aligns with research by Mahidol University (CMMU) and The 1 Insight, which indicates that more than 65% of Thais consider their pets as children or family members, known as "pet parents", while 33% keep pets for companionship, and 2% for therapeutic purposes. The trend of keeping pets in residential areas continues to grow.

To meet this demand, the development of pet-friendly condominium projects must include the following services:

Pet sitting and walking services

Cleaning services for pet-friendly units

Design and installation of pet-specific amenities in units

Pet food and supply stores

Pet spa services, including bathing and grooming

3. Restaurants for solo dining

After the Covid-19 situation began to ease, a noticeable change was the increase in restaurants designed for solo dining. 
Examples include restaurants that have adapted their format to be suitable for solo diners by placing teddy bears as companions, ramen shops that simulate exam booths for solo eating, or barbecue restaurants that have reduced table sizes to accommodate single diners. 

Surveys have shown that more than 50% of people living alone enjoy engaging in outdoor activities, whether dining out or participating in other activities by themselves. This trend indicates that the solo-dining restaurant business can expected to continue growing.

4. Solo travel

Currently, the trend of solo travel has significantly increased worldwide. According to a market research survey by the German firm Statista, in 2023, 60% of travellers planned to embark on a solo trip within the next 12 months, particularly among singles who enjoy travelling alone. 

These solo travellers take an average of more than five trips per year and are quick to make spending decisions, even outside of promotional periods. Additionally, many applications that support solo travel are now widely available.

5. Rent-a-friend services

Nowadays, the business of renting friends has become highly popular among younger people, both online and onsite, especially in China and Japan. 

According to reports from Nikkei Asia and Krungsri Guru, this industry generates income by renting out one's time to meet customer needs. 

Statistics collected by business owners show that the majority of clients using these services are women (70%), who rent friends for advice or simply to have someone listen to them. The remaining 30% rent friends for help with tasks, companionship for outings, meals, hospital visits, or elderly care. 

Similarly, in Thailand, there are services catering to the elderly, such as Joyride's "Rent-a-Child/Grandchild" service, which provides care and transportation. 

For those seeking services that suit a single lifestyle, adapting these foreign models could be beneficial.