Principles
Geodemographic segmentation is based on two simple principles:
- People who live in the same neighborhood are more likely to have similar characteristics than are two people chosen at random.
- Neighborhoods can be categorized in terms of the characteristics of the population which they contain. Any two neighborhoods can be placed in the same category, i.e., they contain similar types of people, even though they are widely separated.
Read more about this topic: Geodemographic Segmentation
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—Adam Smith (1723–1790)