Demography refers to study for about the different aspects of the population. Markets can be divided into demographic factors like age, gender, education etc. The various demographic factors are :
Demographic Segmentation
- Age
The primary method of analyzing markets by age is to divide the total population into age groups and analyze the wants and needs of each group.
- Gender
Marketers devote much attention to male and female differences in Today, marketers segment female groups into college girls, working women, housewives. etc. Again, male groups can be further classified.
- Income
Buying patterns depends on the income of the consumers. No two individuals or families spend money in exactly the same way. If a researcher knows a person’s income, he can predict with some accuracy wants and needs of that person and how those wants are likely to be satisfied.
- Education
The market can be segmented on the basis of education matriculation or less. undergraduates, graduates, post-graduation, etc. Most studies show that the highly educated people spend more than the poorly educated in respect of housing, clothing, recreation, etc.
- Family Size
The consumption patterns of certain products definitely vary with the number of people in the household. Manufacturers of certain products such as ice-cream market family packs.
- Family Life Cycle
The market can be segmented as bachelors, newly married with grown-up children, older married couples, etc. For selling tours and vacations. Life Insurance policies etc., this segmentation is of use.
- Race and Religion
Consumption patterns of certain products differ on the basis of religion and race, such as alcohol and meat products.
