indian consumers

CLASSIFICATION OF INDIAN

CONSUMERS

Based On Economic StatusWEALTHY CLASS

MIDDLE CLASS

LOWER MIDDLE CLASS

BELOW POVERTY LINE(BPL)

Wealthy Class:

Rich people

Senior business executives

High level professionals

Senior successful top executives

Salary=Rs.1 lakh or more per month

“Live life king style”

Buy high priced goods

High level professionals

Career oriented

Active in social and community activities

Believe in high living standards

Prefer good lifestyle

Marketing significance-

Useful segment for luxury products and super premium brands

20% of Indian population belong to upper middle class

Middle Class: Mean income=Rs.10000

to Rs.20000 per month

Junior executives , white collar jobs, traders etc.

“ Cream Of The Society ”

Try to spend more than their capacity

Consumption Scenario

•Indian middle class(25-40years)-largest group which consumes products

•Emerging as “consumption community”

•Highly spend thrift

•Usage of latest and costly products

Growth of urbanization

Increase in nuclear family system

Increase in number of working woman

More than one earning member in the family

Time saving and instant goods are sold• “save time” ,”make your job easy”

Purchase of goods on installments

Customers borrow loans

Increased credit facility ,increased customer buying

“Pledging future income for current consumption”

Consumer credit facility

Important segments

Middle class

Male

Female

Teenager

Maleo More material comfort

o Older generation:”spend for others, not for yourself”

o New generation:”personal desires”

• 25% increase in male ready-made market

• Menswear brand active nowReady-made

preferred

• Exploring new placesHoliday• Conscious about his status in

society• Uses standardized products

Prestige conscious

• Cares about family• Spends money for family well-beingFamily ties• Not sole decision maker in family

purchase• Consults other family members

before buying goods for family

Decision-making

Female Increase in number of

working woman , increased demand for products like cosmetics, instant food etc.

Sole decision maker

“Gate-keeper”

Takes family decision

Quality and cost conscious

Cautious buyer

•Consults and inquires before purchase•Bargains, compares and contrasts the prices , brands etc.•Gathers information from various sources•Buys product when fully satisfied

Time saving products

•Prefers products like grinders, vegetable choppers etc.•Good awareness of market and trend

Sense of beauty

•Fashion-oriented•Influenced by global markets•Strongly influenced by products that focus on grooming her beauty

Teenager Modern and adventurous Assorted lifestyle Easily targeted and

attracted Wants are similar tothat of high class people

Lower Middle Class: Less spend thrift when

compared to former

Buys latest goods that are inexpensive

Able to manage their living

Not spend more than what they have

Below poverty line(BPL): Buys unbranded products

Fulfill their needs with meager amount of money

Lowest income group

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