What is the Standard Metropolitan Statistical Area (SMSA)?
- Content Type:
- Glossary
Standard Metropolitan Statistical Area (SMSA) Definition
An outdated U.S. Bureau of Census term for an area consisting of one or more counties around a central urban area.
The standard metropolitan statistical area (SMSA) is a geographical designation used in market research and demographics. It was previously used by the U.S. Census Bureau to define regions consisting of a central city and its surrounding communities with economic and social ties. The term has been replaced by metropolitan statistical area (MSA) in modern usage. An MSA includes a core urban area and adjacent counties that are economically integrated.
Who relies on standard metropolitan statistical area (SMSA) in market research?
Market researchers, urban planners, economists and government agencies historically relied on the concept of SMSAs (now MSAs) to understand demographic, economic and social trends within specific geographic regions. Businesses and marketers also use this data to analyze consumer behaviors and target audiences within these designated areas.
Why should I care about standard metropolitan statistical areas (SMSA)?
Understanding the concept of SMSAs (now MSAs) is important because it provides insights into the population distribution, economic activities and consumer behaviors within specific urban and suburban regions. This information helps businesses tailor their marketing strategies to local demographics and adapt their offerings to meet the needs of specific geographic markets.
What is important about standard metropolitan statistical areas (SMSA in market research?
- The significance of SMSAs (now MSAs) in market research lies in their ability to define and categorize regions with shared economic and social characteristics.
- This allows businesses to target their marketing efforts effectively, taking into account the unique attributes and preferences of consumers in different geographical areas.
- By analyzing MSAs, you can make informed decisions about market entry, product placement and regional marketing campaigns.