about geodemographics

about geodemographics

Geodemographics is the science of profiling people based on where they live. Geodemographic systems estimate the most probable characteristics of people based on the pooled profile of all people living in a small area near a particular address.

General purpose geodemographic systems summarise a broad range of profiling data, largely derived from the census to create a thumbnail sketch of the type of people living in a particular small area. In Australia this is either a CD or sub-CD area like a Meshblock.

The types of characteristic mainly taken into account in geodemographic system construction are…

  • Age distribution
  • Socioeconomic status indicators like Income, Education & Occupational Status
  • Household & family composition
  • Employment factors like, type of Job, type of Industry worked in and hours of work
  • Cultural factors like, Ethnicity, Languages Spoken, Country of Birth and Religion
  • Household economic factors like Indebtedness, Investments and Poverty
  • Regionality factors like Metropolitan, Provincial and Sparsely Settled
  • Residential stability

Geodemographic systems were first introduced as social analysis tools in the UK in the late 70’s and 80’s. They were introduced into Australia in 1987 with CCN's (later Experian) introduction of the Mosaic system. rda built its first system in 1990.

General purpose geodemographic systems are the workhorses of the industry, however geodemographic systems can be made more “advanced” in a number of ways...

  • Firstly, the accuracy & relevance of database profiling information can be enhanced by incorporation of some known factual characteristics from the customer database at the time of tagging. This is the type of enhancement process employed in rda’s geoTribes and easyTag systems.
  • A second way in which geodemographic systems are more advanced is through incorporation of extensive profiling information such as for household expenditure, income, loans & investments, health, social resources, lifestyle activities and household technology. This is the approach used in rda’s geoProphet and easyTarget systems.
  • A third way in which geodemographic systems may become more advanced is through their ability to be customised to specific marketing problems. Examples of this type of system are rda’s easyTarget profiles and customised predictive modeling scores.