Customer Targeting, Geodemographics And Lifestyle Approaches

this paper we will adopt the narrow definition of geodemographics as relating to the types of systems which provide area typologies. We will follow Beaumont's lead in characterising the broader field of interest as 'Market Analysis' (Beaumont, 1989). The point to be made next is that if we accept these definitions, then in Britain there has historically been very little distinction between the two areas. Geodemographics and market analysis are virtually synonymous. However, this has been true to a rather lesser extent in North America, and perhaps even less so in Europe where geodemographic systems have hardly been seen (but see also Section 2 below). Furthermore, and more importantly, there are good reasons to suppose that this will not continue to be the case in the indefinite future. In this chapter we will look particularly at the ways in which market analysis is beginning to benefit from the adoption of a spectrum of approaches which go beyond traditional geodemographics. The main focus will be on the use of 'Lifestyle' data originating from consumer surveys as an alternative to government census data, although there will also be some discussion of the use of mathematical modelling in market analysis. The remainder of the chapter is structured into three sections. Section 2 will consider the geodemographic systems in more detail. In Section 3, the concept of Lifestyle data will be introduced and we will discuss the ways in which the data may be used in market analysis. In Section 4 an assessment of the two different approaches - Lifestyles versus geodemographics - will be offered, together with views on future developments within the market analysis 'industry' 2. GEODEMOGRAPHIC