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About: Living Standards Measure     Goto   Sponge   NotDistinct   Permalink

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The Living Standards Measure or LSM is a marketing and research tool ( same as social economic class: SEC but more refine ) used in South Africa to classify standard of living and disposable income. It segments the population into ten deciles based on their relative means, with LSM 1 being the decile with the least means and 10 being the decile with the greatest means. It does this by ranking people based on ownership of the components of a standard basket of goods (which varies over time). For instance, those people who owned a television set would rank higher in the LSM than those who did not.