How does the income of your target audience matter for logo design?

Fast moving consumer goods (FMCG) are sold to consumers, and one of the fundamental principles of marketing is the market segmentation. Companies offer various products for the various segments based on their income level. So in order to target a certain audience, you need to know the average income.

A premium-looking product will appeal to a different audience than a cheap one, and the branding is part of that experience.