SA Consumer Research – From LSM to SEM

The Living Standards Measure (LSM) segmentation will be replaced by the Socio-Economic Measurement (SEM) segmentation. The LSM metric has been widely adopted by corporates and investors, and in some cases, incorrect assumptions and strategies may have been based on this segmentation. In this note we assess whether the new SEM approach adequately addresses the shortcomings of the LSM segmentation, from an investor perspective.