Consumer Psyche

Mint is running a series of 33 articles on distinct Indian consumer segments. Very interesting information which can be used.

With a population of more than 2 million, B3 segment households represent those urban well-educated families, who are settled in life. Almost three-quarters of these families own the house they live in. With the median household income at Rs5.5 lakh, these households would be quite representative of India’s middle-aged urban middle class. Yet, around 20% of the households at the top end of this segment earn more than Rs15 lakh a year.

B3 segment households are small households, 69% have just one or two children and less than 20% have senior citizens staying with them. The children are in their late teens or older, almost all would be studying in college. In fact, 8% of the household budget is spent on education services, the second highest share among all consumer segments.

The chief wage earner in these households is typically around 45 to 54 years of age, has a college degree or diploma and holds a regular salaried job. Most of the chief wage earners are employed in financial services or in public administration, with basic graduate degrees giving them the passport to an executive or managerial post—57% of the households fall in this category. Those with engineering related degrees would be largely in manufacturing sector, which provides employment to 17% of the chief wage earners in this segment.