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Consumer Demographics

MARKET SEGMENTATION

…. process of dividing the market into distinct


subsets of consumers with common needs or
characteristics and selecting one or more
segments with a distinct marketing mix.
MARKET TARGETING

Evaluating and selecting the market segments


to enter on the basis of their comparative
attractiveness in terms of size, growth, profitability,
low risk etc.
Why Segment the market ?

 Facilitates Proper choice of target market.


 Helps in developing market offers.
 Makes the marketing effort more efficient and
economic.
 Helps identify less satisfied segments.
 Benefits the customer as well.
Market Segmentation Variables for
consumer markets

Geographic

Behavioral

Psychographic

Demographic
Geographic Segmentation
Region - Pacific, Mountain, West North
Central, West South Central, East North
Central, East South Central etc.
City or - Under 4,999,5,000 – 19,999, 20,000
Metro size –49,999, 50,000 – 99,999, 100,000 –
249,999, 250,000 or over.
Area - Urban, Suburban, rural

Climate - Northern, Southern


Psychographic Segmentation

Life Style - Simple, Medium & Elegant

Personality - Gregarious, authoritarian, ambitious,


aggressive, extroversion.

Values - Strivers, Devouts., Funseekers,


Creatives.
Behavioral Segmentation
Occasions - Regular occasion, special occasion
Benefits - Quality, service, economy, speed.
User Status - Nonuser, ex-user, potential user, first-
time user, regular user.

Usage rate - Light user, medium user, heavy user.

Loyalty Status - Hard core loyals, split loyals, shifting


loyals, Switchers.

Attitude - Enthusiastic, positive, indifferent,


toward Product negative, hostile.
Demographic Segmentation
Age - Under 6, 6 -11, 12 -19 ,20 - 34, 35
-49, 50 - 64, 65+
Family Size - 1 - 2, 3 - 4, 5+
Family Life - Young, single; young married, no
Cycle children; youngest child under 6; or older,
married, with children; older married, no
children, older, single; other.
Gender - Male, Female

Income - Under Rs. 4000/-, Rs. 4000/- – 8000/-,


Rs 8000/- – 12000/-, Rs. 12000/- –
16000/-, Rs.16,000/- – 20000/-,
Rs. 20000/- and above p.m.
Occupation - Professional and technical; managers,
officials, and proprietors; clerical, sales;
craftspeople; forepersons; operatives;
farmers; retired; students; homemakers;
unemployed.
Education - Grade School or less; some high school,
high school graduate; some college; college
graduate.
Religion - Hindu, Muslim, Catholic, Protestant,
Jewish, other.
Race - White, Black, Asian, African
Nationality - North American, South American,
British, French, German, Italian, Japanese.
Social Class - Lower, lowers, upper lowers, working
class, middle class, upper middles, lower
uppers, upper uppers.
Assignment
Find three print advertisements that you believe are
targeted at a particular demographic segment .How
effective do you think each ad is in terms of achieving its
objective.

Which demographic variables are most closely


associated with ownership of the following? What would
explain this association?
- personal computer
- holiday package

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