Posted in Marketing and Strategy Terms, Total Reads: 501
Definition: Household Size
Household size refers to the number of persons living together in a house. This information is useful for marketing firms for market segmentation purposes. In order to estimate the marketing potential while launching or promoting a product meant for more than one member of a house, firms often use the information about household size.
In demographic segmentation method, household size is a major factor to be considered. In the retail business, it also helps in determining the individuals served by one retail store. The retail store is classified as large, medium or small on the basis of product range and the no. of individuals it caters to.