Socio-Economic Classification

SEC Classification 

The SEC Classification is the classification or grouping of Indian consumers on the basis of certain specifications.

 Traditionally the two parameters or specifications used to classify or group consumers were: Education and income of an individual

The Urban SEC grid:

The SEC functions according to its Grid. In the urban grid, there are 8 classified educations and occupations, that are:

In the above table, it’s classified into three classes that are upper, middle, and lower classes.

 The upper class is from A1 to B1
 The middle class is from B2 and C
and the lower class is from D to E2.

The Rural SEC Grid:

However, in the rural SEC Grid, the population is categorized in sections like R1, R2, R3, and R4 based on the education of an individual.

New Consumer Classification System (NCCS)

However, Market Research Users Council, India (MRUC) has presented a new classification known as New Consumer Classification System (NCCS) which calculates Household Preimmunises Index (HPI). It considers parameters like ownership and consumption of media services and products with other demographics. 

NCCS - The New SEC system classifies households using two variables:

1) Education of Chief Wage Earner.
2)The number of Consumer Durables owned by a family. The list consists of eleven commodities.



Conclusion 

NCCS - The new SEC system is much improved than both urban and rural systems.


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