13-11-2012, 10:54 AM
Socio Economic Classifications
Socio Economic.pptx (Size: 756.96 KB / Downloads: 36)
The First Attempt
Trial and Error method
Alternatives to using income
Household expenses
Occupation
Education
Ownership
Education and occupation of chief wage owner
The Urban SEC Grid, uses Education levels and Occupational criteria of the Chief Wage Earner (CWE) of a household as measures to determine socio-economic classification, and segments urban India into 7 groups (A1 to E2) and
The Rural SEC Grid, which uses Education and Type of House (pucca, semi-pucca, and katcha) as measures of socio-economic class, and segments rural India into 4 groups (R1,R2,R3,R4)
Trial By Fire
The Market Research Users Council (MRUC) and Market Research Society of India (MRSI)
Replace occupation with ownership of, or access to, a set of 11 different items - ranging from electricity connection to air conditioner, from cell phones to washing machines - as an indicator of purchasing power
Sharper identification of the uppermost segment
A common classification for urban and rural India
Less subjectivity due to removal of occupation
Issues
Cyclical parameters
SEC system is meant to be a surrogate for income and income is meant to be a surrogate for purchasing power.
The very things you want to predict the purchase of are the very things you are using for classifying the system
Consumers tend to change their durable ownership patterns every three or four years
Long-term historical comparisons are ruled out