Which of the following is true about demographic segmentation?

Demographic segmentation is an essential marketing strategy that involves categorizing people based on specific characteristics, which includes age, gender, income level, education, and marital status. This approach allows businesses, including those in the travel industry, to target audiences more effectively by tailoring campaigns and services to meet the distinct needs and preferences of different demographic groups.

For instance, a travel agency may design family vacation packages targeted at parents with young children, while also creating adventure travel options for millennials. By understanding the demographics of their potential clientele, businesses can create offerings that resonate well with specific groups, leading to more effective marketing strategies and higher customer satisfaction.

The other options misinterpret the focus of demographic segmentation. Some suggest a geographic focus, which pertains to geographic segmentation instead. Others refer to emotional motivations or spending habits, which are related to psychographic and behavioral segmentation, respectively. Each type of segmentation serves different purposes and utilizes different criteria to categorize consumers.