Thursday 18 August 2011

Psychographic Segmentation

Psychographics is the science of using psychology and demographics to better understand consumers.

In psychographic segmentation, buyers are divided into different groups on the basis of lifestyle or personality or values. One of the most popular commercially available classification systems is SRI Consulting Business Intelligence's VALS framework.

The major tendencies of the four groups with high resources are:

(i) Innovator - Successful, sophisticated, active, "take-charge" people with high self esteem. Purchases often reflect cultivated tastes for relatively upscale, niche-oriented products and services.

(ii) Thinker - Mature, satisfied, and reflective people who are motivated by ideals and who value order, knowledge, and responsibility. They seek durability, functionality, and value in products.

(iii) Achiever - Successful, goal-oriented people who focus on career and family. They favour premium products that demonstrate success to their peers.

(iv) Experiencer - Young, enthusiastic, impulsive people who seek variety and excitement. They spend a comparatively high proportion of income on fashion, entertainment, and socialising.

The major tendencies of the four groups with lower resources are:
(i) Believers - Conservative, conventional, and traditional people with concrete beliefs. They prefer familiar, U.S. products and are loyal to established brands.

(ii) Strivers - Trendy and fun-loving people who are resource constrained. They favour stylish products that emulate the purchases of those with greater material wealth.

(iii) Makers - Practical, down-to-earth, self-sufficient people who like to work with their hands. They seek U.S.-made products with a practical or functional purpose.

(iv) Survivors - Elderly, passive people who are concerned about change. They are loyal to their favourite brands.

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