Rapid Urbanisation

The global rise of cities has been unprecedented. In 1800, 2% of the world’s population lived in cities. Now it’s 50%. Every week, some 1.5 million people join the urban population, through a combination of migration and childbirth.

Inevitably, this rapid expansion is putting cities’ infrastructure, environment and social fabric under pressure. Over the next decade, New York, Beijing, Shanghai and London alone will need US$8 trillion in infrastructure investments. The numbers living in urban slums have risen by a third since 1990. Cities occupy 0.5% of the world’s surface, but consume 75% of its resources.

Rapid urbanisation brings major implications for businesses as they refocus their offerings, marketing and distribution towards an increasingly urban customer base with distinct needs and consumption habits. And they must be alert to new opportunities arising from lifestyles shaped by rising population density and readier access to resources.