When analyzing income as a demographic variable, marketers need to recognize which trend?

C is the correct choice because analysis of demographic trends shows that income disparity has increased over time. This means that there is a widening gap between high-income earners and those with lower incomes. Marketers must pay close attention to these changes, as they influence purchasing behavior, target market segmentation, and the development of products and services aimed at different income levels.

Understanding that income inequality is a crucial factor enables marketers to craft more effective strategies. For instance, premium brands may target higher-income consumers, while value-oriented companies may focus on lower-income segments. Recognizing income disparity also allows marketers to adjust their communication strategies, pricing, and positioning in order to effectively reach diverse consumer groups.

Income as a demographic variable not only impacts market segmentation but also reflects broader economic trends, meaning that failing to acknowledge the increasing income disparity could lead to missed opportunities or misaligned marketing strategies.