Education affects choices in fashion, movies and TV programs. People who live in New York City don't buy the same products as someone who lives in Austin, Texas. Marketers typically combine several variables to define a demographic profile. These and other characteristics categorize us without describing our personality. We see that Van's customer demographic is … For example, Tractor Supply Company sells to farmers and has locations in the South and Midwest selling fencing, pumps, sprayers, chemicals and tractor parts, of course. Learn the value of different segments of demographic groups. James Woodruff has been a management consultant to more than 1,000 small businesses. When you know the income range of clients, you can also find data to support how those groups spend money on both the higher and lower end of the spectrum. To be successful, every business owner has to know the demographics that describe the customers and what trends or changes are happening in those specific characteristics. Demographics are a key factor in getting that edge. Demographic characteristics can refer to age, sex, place of residence, religion, educational level and marital status. When not writing, Kimberlee enjoys chasing waterfalls with her son in Hawaii. Many demographic characteristics … Smart … Even worse, their share of total national income has dropped from 62 percent in 1970 to 43 percent in 2014. The more focused your demographic is, the better you can speak to their emotions and get them to buy. For example, digital products, such as iPhones, are marketed more toward millennials than toward the elderly. Target markets share common characteristics that help shape the message for marketing communications. Elderly people are more interested in things that make their daily lives easier, such as TV remotes with large buttons, folding seats to rest when walking, clip-on book lights and large key holders to stop fumbling with keys. Their jobs give insights into the type of person they are. According to Forbes magazine, the rate of US population growth is the lowest it has been since the 1930s. … Products are made to appeal to specific genders. Income and occupation. ... interests, values, and other lifestyle factors. Not only do demographics encompass the study of human populations, they represent the impact that these populations have on the market. Find those who need what you have, and you will be more successful in selling. There … Sometimes products are targeted toward both genders, as with retired couples. Both young males and females may like the same fast foods and movies. They don't have unlimited funds, so the money for one purchase may be at the expense of not buying something else. Demographic, psychographic, and behavioral marketing all work together to set up intent — and help marketers make sense of it. Younger consumers are healthy, and will spend more on fun, fashion, entertaining and movies. Buyers with higher incomes spend more money on luxury items, vacations, jewelry and cars. How do you anticipate these characteristics changing over the next 15–20 years? These demographic characteristics are also an important part of creating a persona. Consumers' preference for certain products and brands change with age. If the husband is the decision maker and you are speaking to the wife, you have the wrong person in front of you. Demographics is the practice of identifying groups of people in a population by their characteristics. Demographic information allows you to better understand certain background characteristics of an audience, whether it’s their age, race, ethnicity, income, work situation, marital status, etc. The characteristics of the customers are defined by the demographics. One in five Americans, about 60 million people, now reside in multigenerational households. Since most downtown professionals may not be experts in GIS, you will probably want to enlist consultants, planners and/or marketing data providers to offer technical mapping assistance. Income has a significant effect on consumer behavior and product decisions. A local ethnic foods supermarket is likely to target a particular ethnic group based on cultural … Take the family to dinner at Applebee's or put some money aside for the kids' college fund? It is also important to understand and respect the different holidays and cultural traditions of specific ethnic demographics. One trend that is affecting consumer demographics is the change in population. The geographic location of the consumer makes a difference. Travel and Leisure magazine has a list of recommended vacations for retirees; they suggest trips to Ireland, Sicily, Thailand and Costa Rica. SimplyMap is an online GIS product that maps demographic and market data in the United States. Age: Demographic Target … Pretty much anything you can think of regarding buyer preferences is available data. One common characteristic of target markets is a similar demographic profile, or … The mindsets of singles versus married couples are different. As a senior management consultant and owner, he used his technical expertise to conduct an analysis of a company's operational, financial and business management issues. Knowledge Networks has previously compiled a great deal of information on the demographic characteristics of its panel members. What are the demographic characteristics of Vans' target market? Age does not just affect buying behavior, it is also an important factor affecting market segmentation and marketing strategy. What Is the Boom-Boom Effect in Marketing? On the other hand, consumers with higher incomes don't have to fret about taking the entire family out to dinner at an expensive restaurant, such as Le Bernardin in Manhattan. One of the first variable of demographic segmentation is age. Knowing whether a person is married, single or divorced, is also an important demographic to understand. Industry Analysis of Retirement Communities, Penn State University: Understanding Your Customers: How Demographics and Psychographics Can Help, Pew Research: 7 Demographic Trends Shaping the US, Forbes: 9 Demographic Trends Shaping Retail's Future, Population Reference Bureau: Eight Demographic Trends Transforming America’s Older Population, Pew Research Center: The American Middle Class Is Losing Ground, Pew Research Center: Technology Use Among Seniors, The Demographic Variables That Affect a Business, Shifting the Demand Curve Vs. Moving Along the Demand Curve. This age range spans several generations and is contingent on the common thread of having a baby. Is the company selling fertilizers to farmers, clothing to teenage girls or vacations to older retired people? As discussed during this our discussion of consumer behavior, demographics refer to statistical information about the characteristics of a population. 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