Psychographics (sometimes referred to as lifestyle analysis)

A description of a market based on factors such as attributes, opinions, interests, perceptions and lifestyle of consumers comprising that market. The first step in onducting psychographic analysis is to determine which lifestyle segments is producing the bulk of consumers for a particular product. According to 80:20 principle only twenty per cent of product users account for 80% of the volume of products sold. Researchers attempt to determine who uses the brand and try to isolate, heavy moderate and light users. Through lifestyle analysis, these heavy users of a product can be reached more effectively.