This is the 22nd in a 33-part series on distinct consumer segments, based on a categorization of stage of life and occupation, expenditure and savings propensity, family structure and psychographics. This week we look at the E6 segment—school-educated businessmen or skilled workers, married with children more than 12 years of age The urban consumer segment for this week is E6—households where the chief wage earner is school educated, a businessman or skilled worker, and married with children over 12 years of age. This is the second largest urban consumer segment—12 million households across the country, accounting for 17% of the total urban population. The largest urban segment is G4, where chief wage earners are unskilled workers or primary-educated skilled or unskilled workers, and married with grown-up children, who may or may not be married themselves; this segment comprises 22% of total urban households. E6 households include both joint and nuclear families, so there is a lot of diversity in the sizes in this segment, though 52% of homes have five members or more. The chief wage earner is middle-aged; 65% are over the age of 45, and well entrenched in their family set-up and career by now. A large number own the houses they live in; their aspirations are now for their children to settle down. They spend a large proportion of their budget on education—nearly 7%. The average educational level of the adults in these households is not very high—just 9% have studied beyond school, and the average level of education in 14% of households is primary schooling. Yet, the fact that the children are being given a more solid foundation to better their prospects in life through education is an indication that parents across India have recognized the value of basic formal educational qualifications. However, the high aspirations and expectations from the parents, who are ready to sacrifice for school fees, books, uniforms and private classes, are met unfortunately by a system that is not responsive to the needs of the students, that often provides poor quality teaching of syllabi that have little relevance, a system that does little to improve the employability of the students. As in earlier segments, the sector that offers maximum scope for employment for those with low educational qualifications is wholesale and retail trade. Whether as self-employed businessmen or salaried employees, trade absorbs all and involves a quarter of the chief wage earners in this segment. Next comes manufacturing with 22%, where skilled workers find work largely in small proprietorships and businessperson-run small firms in the unorganized sector. Public administration with 14% and transport and communication with 12% follow as the next most important sectors of employment for the E6 chief wage earners. The government, public sector companies and large private firms account for 24% of the chief wage earners. Therefore, these households are most likely to be assured of financial earnings after retirement. Income-wise, this segment does relatively better than the other E segments taken up in previous weeks, as these are larger households with the chief wage earner well settled in his or her career. Nearly half the households have two or more members working and contributing to the family kitty, not necessarily the spouse of the chief wage earner though. Only 13% of the spouses are employed; the majority are homemakers. The median annual income is Rs1.53 lakh, ranking 16th among the urban consumer segments. While 73% earn less than Rs3 lakh a year, 13% of the households earn more than Rs5 lakh.

1. Well entrenched in family, career Published: Mint dated 17 th May 2010 This is the 22nd in a 33-part series on distinct consumer segments, based on a categorization of stage of life and occupation, expenditure and savings propensity, family structure and psychographics. This week we look at the E6 segment—school-educated businessmen or skilled workers, married with children more than 12 years of age. Indicus Consumer Segment

2. Indicus Consumer Segment The urban consumer segment for this week is E6—households where the chief wage earner is school educated, a businessman or skilled worker, and married with children over 12 years of age. This is the second largest urban consumer segment—12 million households across the country, accounting for 17% of the total urban population. The largest urban segment is G4, where chief wage earners are unskilled workers or primary-educated skilled or unskilled workers, and married with grown-up children, who may or may not be married themselves; this segment comprises 22% of total urban households. E6 households include both joint and nuclear families, so there is a lot of diversity in the sizes in this segment, though 52% of homes have five members or more. The chief wage earner is middle-aged; 65% are over the age of 45, and well entrenched in their family set-up and career by now. E6

3. Indicus Consumer Segment A large number own the houses they live in; their aspirations are now for their children to settle down. They spend a large proportion of their budget on education—nearly 7%. The average educational level of the adults in these households is not very high—just 9% have studied beyond school, and the average level of education in 14% of households is primary schooling. Yet, the fact that the children are being given a more solid foundation to better their prospects in life through education is an indication that parents across India have recognized the value of basic formal educational qualifications. However, the high aspirations and expectations from the parents, who are ready to sacrifice for school fees, books, uniforms and private classes, are met unfortunately by a system that is not responsive to the needs of the students, that often provides poor quality teaching of syllabi that have little relevance, a system that does little to improve the employability of the students.

4. Indicus Consumer Segment As in earlier segments, the sector that offers maximum scope for employment for those with low educational qualifications is wholesale and retail trade. Whether as self-employed businessmen or salaried employees, trade absorbs all and involves a quarter of the chief wage earners in this segment. Next comes manufacturing with 22%, where skilled workers find work largely in small proprietorships and businessperson-run small firms in the unorganized sector. Public administration with 14% and transport and communication with 12% follow as the next most important sectors of employment for the E6 chief wage earners. The government, public sector companies and large private firms account for 24% of the chief wage earners. Therefore, these households are most likely to be assured of financial earnings after retirement.

5. Indicus Consumer Segment Income-wise, this segment does relatively better than the other E segments taken up in previous weeks, as these are larger households with the chief wage earner well settled in his or her career. Nearly half the households have two or more members working and contributing to the family kitty, not necessarily the spouse of the chief wage earner though. Only 13% of the spouses are employed; the majority are homemakers. The median annual income is Rs1.53 lakh, ranking 16th among the urban consumer segments. While 73% earn less than Rs3 lakh a year, 13% of the households earn more than Rs5 lakh.