A luxury car brand targets only high-income consumers rather than the entire car market. Which type of market segmentation is the brand primarily using?

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Question

A luxury car brand targets only high-income consumers rather than the entire car market. Which type of market segmentation is the brand primarily using?

Accepted Answer

Demographic segmentation — Demographic segmentation divides the market by measurable characteristics such as income, age, or gender; targeting high-income consumers is an income-based demographic segment. Geographic segmentation is based on location. Psychographic segmentation is based on lifestyle and values. Behavioural segmentation is based on purchasing behaviour such as usage rate or brand loyalty.

Answer

Demographic segmentation

Answer

Psychographic segmentation

Answer

Geographic segmentation

Answer

Behavioural segmentation

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