Financial segmentation groups and types

Independent young people with very little financial experience, often overspending their entry-level wages and have limited savings.

Key features:

• Very young singles living alone
• Living in affordable housing on basic incomes
• A-level or lower education
• Low financial footprint and knowhow
• Low discretionary income
• Often overspend budget

Students living close to universities, relying on loans, parental support, and part-time jobs, often spending over budget.

Key features:

• Young university students living together
• Student loans and parental support
• High smartphone usage including banking
• Spend money socially
• Prioritise mobile expenses
• Often overspend budget

Graduates with a promising financial trajectory, who are currently enjoying their entry-level salaries and building their financial footprint.

Key features:

• Young singles living alone
• Graduate incomes
• Recent movers
• Limited financial history
• Seek value for money and introductory offers
• Buy city getaways and luxury items

Career-driven young professionals, commitment-free, spending socially and open to risk over saving.

Key features:

• Young singles living alone 
• Recent movers renting 
• Recently university educated
• Low financial commitments 
• Disposable income spent on city breaks 
• Save money through accessible accounts

Singles and homesharers earning respectable salaries in big cities, but have limited saving capabilities due to high living costs.

Key features:

• Singles living either alone or with flatmates 
• Earn above average incomes 
• High rent costs in well connected cities
• Limited disposable income 
• Prefer sustainable brands 
• Varied levels of savings

Established singles and couples with good career progress, starting to build savings and managing finances online.

Key features:

• Singles mostly living alone 
• Transitioning to mortgages 
• Higher level work roles that require a degree 
• Healthy disposable incomes 
• Several bank accounts and credit cards 
• Make regular savings

Super wealthy families owning luxury, city homes, live first class lifestyles, using tailored advice to manage wide-ranging investments.

Key features:

• Families, often with children 
• Highest incomes, company benefits
• Senior level positions and directors 
• Many investments including property 
• High mortgages, many investments 
• Luxury spending habits

Older, wealthy corporate owners, who invest strategically but have a high appetite for risk to grow their already vast fortunes.

Key features:

• Older couples with adult or teenage kids 
• Very expensive detached properties 
• Very high income from directorships
• Many investments including property
• High use of financial advice 
• High risk appetite to build big portfolio

Experienced, older professionals earning high salaries, who have accumulated many investments as they prioritise saving for retirement.

Key features:

• Older singles, some living with others 
• Very high value city centre homes 
• High salaries and bonuses 
• Accumulated many investments 
• Range of insurance products 
• Prepared to take risks for higher gains

Average income singles and couples, some with children, keeping costs sensible in affordable old suburban terraces.

Key features:

• Singles and couples, some with children 
• Mortgages on affordable suburban terraces 
• Average incomes, most adults in paid work
• Savings spent on buying first home 
• Mortgage payments take up a lot of cost 
• Spend within budget

Couples and singles with young children, stretching limited wages to cover low tier housing payments and family costs.

Key features:

• Couples and singles with children 
• Below average wages 
• Mix of owners and renters 
• Low disposable income 
• Minimise costs where possible 
• Use loans and credit when necessary

Young households, some with children, keeping costs to a minimum, renting very low value, densely packed old terraces.

Key features:

• Younger households, some with children 
• Very low value older terraces with small plots 
• Most rent with some low price purchasing 
• Minimum wages and some financial support 
• Low disposable incomes 
• Smartphones an essential cost

Longstanding social housing tenants, with high levels of unemployment, searching online for low cost options.

Key features:

• Couples and singles with children 
• Tenants of low value social houses
• Many unemployed and government supported
• Managing on income is difficult 
• Shop online to find cost-saving options 
• May use short-term credit

Multi-generation families, in social housing who do not own financial or savings products and have little cash to spare.

Key features:

• Multi-generational families 
• Tenants of low value social houses 
• Low numbers in paid work 
• Hard to make ends meet 
• Very limited or no savings 
• May use short-term credit

Older families with adult or teen children, who rent social houses in expensive areas, combining low resources to get by.

Key features:

• Older families with adult or teen children 
• Social rented houses in expensive regions
• Low wages, some not in paid work
• Dual incomes help finances
• Basic bank accounts
• Try to stick to budgets

Singles, earning minimal wages and have basic banking and others unemployed with low financial engagement.

Key features:

• Singles living alone 
• Social flats with higher property value 
• Minimal wages, some not in workforce 
• Basic bank accounts
• Low engagement with financial products
• Buses to get around

Mature singles in low cost social flats with low numbers in work, stretching a state-supported income with minimal discretionary income.

Key features:

• Mature singles living alone 
• Very low, state-supported income 
• Low value social homes 
• Many not in work 
• Fuel bills are challenging 
• Work hard to stick to budget

Young people, some with children, with low economic activity who struggle to manage incomes even with state-support.

Key features:

• Young singles living alone or with housemates 
• Some households with children
• Renting very low value social flats 
• Difficult to manage on very low income 
• May use payday loans 
• A lot unemployed and receiving benefits

Families with adult children, with mortgages and workplace pensions, using comparison sites to research loans for large purchases.

Key features:

• Extended families with adult children 
• Mid-market houses owned with mortgage 
• Legacy life insurance policies 
• Active in insurance renewal 
• Use of unsecured loans for large purchases 
• Workplace pensions

Older households with good home equity but low spending power, likely beneficiaries of house price rises in urban areas.

Key features:

• Older households with adult children 
• Below average incomes 
• Many settled with mortgage paid off 
• Good home equity 
• Seek trustworthy financial providers 
• Saving for retirement

Basic wage owners living alongside adult children in value for money homes, gaining additional funding from loans when required.

Key features:

• Older families with adult children 
• Minimum wage incomes 
• Multiple incomes provide robust budget 
• Low mortgage amount 
• Unsecured loans for bigger purchases 
• Shop around for value products

Mature single owners of affordable houses, approaching retirement with some security, having spent and saved to match their income.

Key features:

• Older singles living alone 
• Below average income 
• Paid off mortgage 
• Regularly save 
• Low risk investment products 
• Carefully budget holidays

Older owners of affordable rural homes, managing on below average incomes, with high energy and transport costs due to their locations.

Key features:

• Older couples and singles 
• Slightly below average income
• Higher energy costs 
• Shop around for value products 
• Contribute to personal pensions 
• Car ownership essential

Mature, home owners approaching mortgage freedom, saving for retirement and holidays, in value suburbs and smaller communities.

Key features:

• Older couples, empty nesters 
• Average pro-rata income 
• Many at point of paying off mortgage 
• Prefer post or phone communication 
• Spend within their means 
• Saving for retirement and holidays

Wealthy retirees in expensive homes with wide ranging investments held in a sophisticated portfolio.

Key features:

• Retired couples and singles 
• Excellent retirement income 
• High spending power 
• Large expensive homes owned outright 
• Many investments and assets 
• Financially sophisticated

Mature households with very high assets who could comfortably retire but maintain part-time directorship roles.

Key features:

• Mature couples and singles 
• Large expensive homes owned outright 
• High incomes even in retirement 
• Discuss financial decisions with experts 
• High investable and non-liquid assets 
• Use of legal services for wills and probate

Senior people who benefit from excellent final salary pensions and own a wide-range of financial products.

Key features:

• Financially secure senior couples 
• Excellent pensions
• Substantial assets and savings 
• Sophisticated investment portfolio 
• Several credit cards 
• High disposable incomes

Elderly singles in quality homes with a final salary pension and savings that provide certainty and a comfortable standard of living.

Key features:

• Final salary pension singles 
• Well-managed finances 
• Good levels or savings and assets
• Value trustworthy brands 
• Consider accessibility of branches 
• Regular credit card use

Settled retired couples living securely on solid final salary pensions, mortgage free with good home equity and resources for holidays.

Key features:

• Married retired seniors 
• Comfortable combined incomes and savings 
• Regularly upgrade their cars 
• Excellent credit record 
• Regular credit card use 
• Comprehensive insurance coverage

Ageing singles and couples on moderate pensions, enjoying countryside retirement with comfortable savings to fund bigger purchases.

Key features:

• Retired couples and singles 
• Own outright generous rural homes
• Good savings and disposable incomes
• Use savings for big purchases 
• Moderate use of credit cards 
• High heating costs