Indian Urbanites 2010

‘Demographic’ & ‘Psychographic’ profiling of urban Indian consumers by SEC segmentation

Highlights!

• The study ‘reclassifies’ the SEC of a family based on a more contemporary and

‘dynamic’ parameter of ‘highest education’ and ‘highest occupation’ level

amongst all members in the household (as the family consumption gets

driven by ‘all members’ living in the household and not just by the ‘chief wage

earner’ of the house)

• Profiles the reclassified 5 urban SECs comprehensively in their ‘demographic’,

‘psychographic’ and ‘consumption lifestyle’ characteristics, including

ownerships of key household and financial assets

• Size estimates and findings are based on one of the largest single surveys in

the country (covering over 37,000 urban families living in 101 cities of all

population strata spread across all regions and states, using ‘2-stage random

sampling’ methodology)

The Socio-Economic Classification Grid

Conventional SEC Parameters

Reclassified SEC Parameters

Study Overview

Most recent and representative survey-based estimates of

the ‘reclassified’ socio-economic classification (SEC) of

urban Indians

Estimate based on a very large land survey of over 259,000 individuals spread across all the

mainland states and union territories of the country. Survey conducted in Apr–May 2010 among

37,000 households in 101 cities and 20,000 households in 1,000+ villages – a total of over 57,000

households

Most comprehensive profiling of urban Indian households –

in their demographics, psychographics and consumption

lifestyles

A deeper profiling of how urban Indian households belonging to various SEC groups are distinct from

each other, including details about their location, economic status, household and financial assets

ownerships, monthly and annual household expenditure on main spend heads, holiday and

entertainment preferences, media usage and household consumption and brand preferences

Study Methodology

A large-scale land survey was conducted to estimate and profile Indian families and

their consumption lifestyle. The survey covered ‘towns’ and ‘villages’ of all

population strata in all the mainland states and union territories in India (covering

all the key, and 69 of the total 77 regions in India as classified by NSSO)

Though the selection of towns and villages was ‘purposive’, the sampling within the

towns was done on ‘2-stage random’ basis (firstly a random selection of polling booths, and

then a random selection of households from the electoral list within each of these randomly selected polling

booths); within villages sampling was done on ‘systematic random’ basis (selection of

every nth house in the village)

To make the survey findings representative of the entire urban Indian

population (and not just of the surveyed households and individuals) appropriate

state-wise, urban district class and SEC combination level household ‘representation

weights’, as derived from the authentic ‘Govt. of India’ base-level population statistics

(NSSO/Census), were applied to the survey data

Topline Findings

The Real SEC Scenario in India

Juxt Neo ClassificationConventional Classification

Shift

(Highest Education / Occupation - Any Member)

(Education /Occupation – CWE)

Urban

Household Base                77,628,445               77,628,445

Sec-A 11% 9% +2%

Sec-B 17% 14% +3%

Sec-C 22% 17% +5%

Sec-D 24% 23% +1%

Sec-E 26% 37% -11%

Rural

Household Base             163,588,034             163,588,034

R1 19% 10% +9%

R2 27% 19% +8%

R3 18% 21% -3%

R4 26% 27% -1%

R5 10% 23% -13%

The ‘New’ Urban Indian Consumer Pyramid

SEC A

SEC B

97 million

SEC C

74 million

SEC D

SEC E

171 million

Tier 1The Consuming Class

Tier 2The Aspiring Class

Tier 3The Underprivileged

(22 million families)

(17 million families)

(39 million families)

(Based on redefining SECs by the highest education and highest occupation level among all members in the household and not just of chief wage earner)

* Total – 342 million individuals (78 million urban families) * NSSO/Census data projected for 2010 by Indicus Analytics

50%

22%

28% (+5%)

(+5%)

(-10%)

(+4 mn)

(+4 mn)

(-8 mn)

• Numbers in brackets are the

differences from the CWE

based

definition of SEC

(+18 mn)

(+17 mn)

(-35 mn)

Urban ≠ Metros ≠ SEC A & B

Only 1 in 5 of all urban Indians live in the metros

Metros account for only 1 in 4 SEC A (more than half of all SEC A live in the smallest ‘tier 4’

towns)

SEC ‘E’ is biggest segment at 82 million individuals (SEC ‘C’ and ‘D’ are also almost as

big)

Almost half of all urban graduates belong to SEC C, D and E (but only a negligible

CWE of these households are graduates)

Employment rate across all urban SECs is fairly similar (almost 1 in 3 individual

across all SEC groups are gainfully employed)

* Findings representative of all the 342 million urban individuals

CWE’s income accounts for 2/3rd of the total MHI of SEC A and B households (but it accounts for only about half of the total MHI of SEC C, D and E households)

‘Other members’ of the household in the lower SECs contributes almost as

much money in the household kitty as the CWE

CWE of lower SEC households are noticeably more women (9% for SEC E against only

3% of SEC A)

SEC ≠ CWE ≠ Household

SEC A ≠ Affluence ≠ English

Only 1 in 6 SEC A households can be called ‘upper income’ households (almost

half of them belong to ‘middle’ income groups at best - MHI between Rs.10,000-25,000). 4 out of 5 Indian

urbanites are ‘lower middle/lower’ income households

If 1 in 3 employed SEC A works in the corporate world, an almost equally

sizeable number of them are shop owners/traders/skilled workers

Shop owners/traders form the single largest occupational segment of SEC A

and B CWE (around 27% for each). Among SEC C it is skilled workers (at 52%), while SEC D and E CWE are

predominantly unskilled workers

Only 1 in 30 SEC A prefers to read in English (only 8% of them have their complete

education in English)

Stands tall relatively, not absolutely…

Average MHI of SEC A households is 2.3 times the national average (and 1.6 times that

of SEC B households) but stands at only `15,910. SEC D matches the national average, SEC C only

marginally better

SEC A own ‘self-purchased’ houses the most (SEC C, D and E have ‘inherited’ house noticeably

more)

Show noticeably high penetration of most household assets (yet only 1 in 10 SEC A

household has power back up, 1 in 5 has water purifier, 1 in 7 has car, 1 in 8 has AC or microwave and 1 in 25 has

video camera or LCD TV. Only 3% SEC A household invest in MF/Shares and only 1 in 8 have medical insurance)

SEC A (and B) individuals have ‘2-wheelers’ as their predominant vehicle

SEC A (and B) individuals take ‘leisure holidays’ relatively more, but even among

SEC A only 12% take such holidays

Lower SECs catch up only on the basics…

The assets with high or reasonable level penetration among lower SECs are

own house, bank accounts, Color TV, VCD/DVD players and Fridge

Predominant vehicle among SEC D and E households (and even SEC C to some extent)

is bicycles

On ‘personal care’ front, lower SECs use only fairness cream, shampoo and

hair oil almost as much as the higher SECs (and lipstick also significantly)

On ‘convenience food’ front, they use only packaged snacks and cold drinks

significantly

Different interests, different lifestyles

‘Money’ is the most important priority across SECs (even bigger priority among lower SEC

households)

Higher SECs listen to music relatively more, read books relatively more and follow

cinema and sports relatively more (lower SECs have cookery as a hobby as much as the higher SECs)

Higher SECs have noticeably better self-perceptions about their ‘looks’ than lower

SECs, but not of their ‘fitness’ (in fact, SEC A individuals suffer from lifestyle diseases relatively the most)

Higher SECs undertake more pastime activities ‘indoors’ (more of them watch TV/VCDs, listen

to music, read books, chat on phone. But they play with their children only as much as the lower SECs)

Higher SECs see education, professional and material achievements as status

symbols relatively more (the lower SECs see ‘caste one belongs to’ as a status symbol relatively more)

But show marketing relevant commonalities...

Price Consciousness (even among SEC A, 3/4th of them are ‘price conscious’ buyers)

Though giving highest importance to ‘price’, lower SECs give almost as much importance to

‘brand image’, ‘features/performance’ and ‘looks/design’ as higher SECs when

buying

While 2/3rd SEC A, B and C individuals watch TV, almost half of SEC D ones and

40% of SEC E ones also watch TV (though on the whole higher SECs use all media noticeably more)

And on TV, serials and movies are almost equally popular across all SEC groups (though news, music and sports are watched relatively more by higher SECs)

Sachin Tendulkar is the most looked up to living celebrity across SECs (though

among lower SECs, Sonia Gandhi is as much looked up to as Sachin)

Report Details

• The findings of the ‘Indian Urbanites 2010’ study are available as

query-based online datasets with data presented as

tables/graphs/charts

• They can be bought as an ‘independent supplementary dataset’ or as

part of the larger ‘household master dataset’

‘Indian Urbanites 2010’ is one of the ‘consumer segmentation’ study from Juxt and is part and parcel of its larger

mega offline syndication offering called ‘India Consumer Landscape’. India Consumer Landscape incorporates many

such segmentation studies which are called supplementary studies or datasets

Each of the supplementary study or dataset presents findings at a specific ‘consumer segmentation’ level or a

specific ‘product category’ level (see next slide for a detailed view of all master and supplementary datasets on

offer under the umbrella of ‘India Consumer landscape’)

Reporting

Note: Reporting of any supplement dataset is subject to collection of sufficient sample responses in the survey

Indian ShoppersShopping Orientation & preferences

Juxt India Consumer Landscape Syndicated Study Datasets

Product Category Datasets

India MobileMobil Service &Handsets

India BytesPersonal Computers

India Drives Automobiles

India BanksPersonal Banking

India InsuredLife, Gen Insurance

India PluggedHome Durables

India DrinksAlcoholic Drinks

India SmokesCigarettes

India GroomingPersonal Care

India Pack FoodiesProcessedFood

Individual Consumer Master Dataset

Master Datasets

All Household Profile Data

Household Master Dataset

All Individual Profile Data

Language, Community, Caste, Religion

India Societal Landscape

Lifestyle Diseases & Medication Preferences

India Health Check

India Hooked

Indian UrbanitesUrban SECs

Indian RuralitesRural SECs

Indian FamiliesFamily composition & lifecycle stage

Indian GenerationsGenerational Age groups

India Spending PowersAbility to Spend

India Consumer LifestylesAbility to Spend +Inclination to Spend

Indian Affluents The Uppies & The Rich

Indian HOHChief Wage Earners of the Households

Indian WomenWomen Consumers

India InvestingThe Financial Investors

Dominant & Integrated Media Usage(TV, Print, Radio, Internet)

Holidays & Travel

India Holidays

Consumer SegmentDatasets

Pricing*

‘Indian Urbanites’ Segmentation Dataset

Rs. 60,000 per Urban SEC Segment(all relevant household data but only for one ‘Urban SEC

segment’)

* Key Findings PowerPoint Report for any dataset (only on order) – Rs. 50,000 per dataset

Single Datasets

Combo Datasets

‘Indian Urbanites’ Segmentation Dataset

3 Urban SEC Segments - Rs.

150,000(all relevant household data for the 3 ‘Urban SEC segments’)

‘India Urbanites’ Segmentation

Dataset

All 5 Urban SEC Segments

Rs. 200,000(all relevant household data for all the 5 ‘Urban SEC

segments’)

+ Rs. 500,000

* 10.3% service tax extraNote: Reporting of any segment level dataset is subject to collection of sufficient sample responses at that segment level in the survey

Household Master Dataset

Rs. 400,000(All available data at the household level)

(At all levels – all India, urban, rural, state-

wise, town class-wise, village class-wise,

urban district-wise for top 25 urban

districts)

Pricing*

‘Indian Ruralites’ Segmentation Dataset

Rs. 60,000 per Rural SEC Segment(all relevant household data but only for one ‘Rural SEC segment’)

* Key Findings PowerPoint Report for any dataset (only on order) – Rs. 50,000 per dataset

Single Datasets

Combo Datasets

‘India Ruralites’ Segmentation

Dataset

All 4 Rural SEC Segments

+‘India Urbanites’ Segmentation

Dataset

All 5 Urban SEC Segments

Rs. 300,000

+

* 10.3% service tax extraNote: Reporting of any segment level dataset is subject to collection of sufficient sample responses at that segment level in the survey

Household Master Dataset

Rs. 400,000(All available data at the household level)

(At all levels – all India, urban, rural, state-

wise, town class-wise, village class-wise,

urban district-wise for top 25 urban

districts)

Rs. 600,000

‘Indian Ruralites’ Segmentation Dataset

All 4 Rural SEC Segments –

Rs.200,000(all relevant household data but only for all 4 ‘Rural SEC

segments’)

• Payment Terms : 50% advance, 50% after delivery of all datasets/reports

• Delivery Timeline : ‘Indian Urbanites’ SEC Segment Dataset (1 week if Rural SEC

Segments also)

3 days from date of order after 30th August 2010

: Household Master Dataset

Anytime on order after 30th August

2010

: PowerPoint Report

1 week per dataset report thereafter

from date of order

• Reporting Format : Query access based online dataset

Payment Terms & Delivery

Indian Urbanites (Ruralites) Dataset

(Information Coverage)

Size estimates of SEC segments• Total households by urban (or rural) ‘SEC’ segments in India, Total Individuals living in such households

Geographics• Region, State, City type, Top 25 individual urban districts

Socio-Economic Profile• Family size, Family classification by lifecycle stage

• Highest occupation and education level in the household, Neo-SEC Classification

• CWE Occupation, CWE Education, CWE Medium of Education, Conventional SEC classification (CWE occupation-

education)

• Religion , Community, Caste, Preferred language of reading

Economic Status• Monthly Household Income (MHI), Sources of Household Income, No. of earning members in the family, Households with

foreign remittances as source of income and country from where such remittances received

• Average per capita household income, Spending power classification

• Ownership status of house living in, Size of the house living in (carpet area)

• Financial asset ownerships (Saving Bank Account, Fixed Deposit, RBI/Govt. Bonds, Demat Account, Medical Insurance,

Accidental Insurance, House Insurance, Mutual Funds, Company Shares/Stocks, Chit Fund Deposits, Crop Insurance)

Family Consumption & Lifestyle Profile• Household assets– Current ownerships, Planning to buy in next 1 year (House, Land, Bicycle, B/W TV, Air Conditioner,

Microwave, Music system, Portable music player, VCD/DVD player, Regular Camera, Digital Camera, Video Camera, Video

Games, Food processor, Water purifier, Toaster/Sandwich maker, Power backup, Landline phone, Tractor, Tube well/Pump,

Transistor/Radio)

• Type of household asset and brand owned currently, Type of asset and brand likely to buy in next 1 year (Color TV, TV

Connection, Fridge, Washing Machine, Water purifier , Car, Motorcycle, Scooter, Computer)

• Total monthly household expenditure (MHE) with allocation on main spend heads (Rent, Telephone Bill, Electricity Bill,

Kitchen Fuel, Daily Transport/Conveyance, Loans & other liability payments, Basic Food/Grocery, Basic Toiletries, Processed

Food & Snacks, Cosmetics/Grooming products, Indoor entertainment, Outdoor entertainment, Farm Equipment

maintenance, Cattle Fodder/Feed), MHE as % of MHI

• Annual consumption expenditures on main spend heads (Clothing, Footwear, Watches, Fashion accessories, Gold/Precious

Jewelry, Durables/Appliance purchase, Vehicle maintenance, Holidays, Financial investments, Savings, Farm Equipment

purchase and repair, Seed purchase, Cattle purchase, Fertilizer/Pesticide Purchase, House/Roof repairing)

• Annual allocation to Investments, Investment status classification of the HH

• Loans currently running in the household (both number and type of loans), type of loan likely to take in next 1 year

• Users per household – computer users, internet users, mobile users, saving account holders, credit card holders, life

insurance policy holders, drive automobile, drink alcohol, smokers, suffer from a serious lifestyle disease

• Personal Care products and brand used (Face cream, Deodorant, Body lotion/Moisturizer, Lipstick, Hair color, Face wash,

Fairness cream, Shampoo, Conditioner, Hand wash, Hair oil, Hair cream/gel, Toilet Paper)

Indian Urbanites (Ruralites) Dataset

(Information Coverage)

• Processed Food products and brand used (Packaged vegetables, Noodles, Ketchup/Sauce, Cold drinks, Bottled/Mineral water,

Packaged Fruit Juice, Chocolates, Packaged snacks (chips, namkeen), Cornflakes/Processed cereals, Chyawanprash, Cheese,

Milk additive/ supplement, Eating Fast Food, Home delivery of Food)

• Lifestyle products and brand used (Jeans, Sports shoe, Readymade shirt & trouser, Watch, Air Travel, 3Star+ hotel)

• Some Products in rural households only (Soap, Toothpaste, Tooth powder, Detergent Powder, Detergent Cake, Packaged

Biscuits, Refined Oil, Butter, Jam, Packaged Pickles, Battery/Cell, Travel by train, Stays in a hotel)

• Holidaying - whether holiday in India, frequency of taking such holidays, favorite destinations, Whether holidays abroad,

frequency of taking such holidays, favorite destinations

Personal details of the CWE and other members of the family (only demographic profiling on ‘all members’ of the household, rest of the profiling only on the ‘respondent’ answering for the household)

• Demographics - Gender, Age, Marital Status, Preferred language of reading, Education, Occupation

• Psychographics - Favorite indoor entertainment activities, Favorite outdoor entertainment activities

• Health Profile - Whether any family member suffers from any serious lifestyle disease (Low Blood Pressure, High Blood

Pressure, Diabetes, Thyroid Problem, Arthritis, Chronic Bronchitis/Asthma, Spondylitis, Obesity, Piles)

• Media Usage - Usage of TV, Radio, Newspaper and Internet, with frequency of usage on weekdays and weekends

Type of TV content watched and the most watched TV channels for each type (Entertainment/Serials/Reality Shows, News,

Movies, Music, Business News & Info, Spiritual/Devotional, Sports, Cartoon), Type of newspaper/magazine read and the most

read brands for each type (Regular Newspaper, Business Newspaper, Regular Magazine, Business Magazine), Most listened

to radio channels

Indian Urbanites (Ruralites) Dataset

(Information Coverage)

Contact Details

• Address : 3, Kehar Singh Estate, 1st Floor, Westend

Marg, Lane 2, Said-ul-Ajaib, New Delhi – 110030

• Telephone : +91-11-29535098, +91-9811256502

• Contact Person : Sanjay Tiwari

• Email : sanjay@juxtconsult.com

• Website : www.juxtconsult.com

Thank You!