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      Question

      A bank launching a youth-focused savings account with

      cashback on online subscriptions is using which segmentation base?
      A Geographic Correct Answer Incorrect Answer
      B Demographic Correct Answer Incorrect Answer
      C Psychographic Correct Answer Incorrect Answer
      D Behavioural Correct Answer Incorrect Answer
      E Income Correct Answer Incorrect Answer

      Solution

      Youth segment is based primarily on age, a demographic variable. Why others are incorrect: Geographic is location-based; Psychographic relates to lifestyle; Behavioural relates to usage patterns; Income segmentation focuses on earnings. Banking Example: Accounts specifically designed for 18–25 age group.

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