Andy and Katie welcomed their first child on Labor Day and are excited about being 1st time parents. The last several months, they decorated the baby's room, purchased a crib and other furniture items, and bought diapers, wipes, and clothing for the baby. If a company were marketing these products, what type of demographic segmentation would be most appropriate?

OPTIONS:

a.family life cycle

b.age

c.income

d.gender

a.family life cycle

Explanation:

Demographic segmentation involves dividing a market into groups based on variables such as age, income, religion, race, gender, nationality as well as life cycle or family life cycle.

Based on family life cycle or life cycle, target market can be divided into various segments based on the stage or phase of life the individuals may be at a particular time. One, could be unmarried, married with no kids or with kids, divorced, a widow etc.

The spending and needs of a family at the phase of life where they start having children, especially welcoming a first child could be very different when compared to other phases of life.

For couples like Andy and Katie, for a company to market the products that reflects their needs, family life cycle segmentation is the most appropriate demographic segmentation to consider.