Question

Chico's, an upscale women's clothing store, targets professional women, ages 40 and 60 years old with an average household income of $80,000 or more. This is a form of _____________, fill in the blank, segmentation.

Answer 1

Answer:

Demographic.

Explanation:

As Chico's is an upscale women's clothing store, targets professional women, ages 40 and 60 years old with an average household income of $80,000 or more. This is a form of demographic segmentation. In demographic segmentation, we divide the heterogeneous market into homogeneous characteristics based on demographic variables such as gender, age, family size, income, occupation, religion, education, nationality and race. These variables are very easy to access and measure as well, therefore, provides a suitable base for segmenting a market. Customer's needs, usage and wants often changes with demographic factors, consequently, these factors provide very strong base for market segmentation process.