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AdvertisingResearch:Instructor’sManual
Copyright?2012PearsonEducation,Inc.publishingasPrenticeHall
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AdvertisingResearch:Instructor’sManual
Copyright?2012PearsonEducation,Inc.publishingasPrenticeHall
17.Segmentation
ChapterGoals
Afterreadingthischapter,studentsshouldbebetterableto:
? explainthereasonsmarketersandadvertiserssegmentmarkets
? describehowsegmentationresearchinfluencesadvertisingplanning
? evaluateandselectsegmentsforcommunicationstargeting
? identifythecriteriathatcanbeusedtodefineconsumersegment
? planandconductoriginalsegmentationresearch
? identifyandunderstandcommonlyusedsyndicatedsegmentationresearch
NotestotheInstructor
TheChapterLectureprovidesaguidetokeytopicsandcontent.ThePowerPointslidesarenamed:davis_adresearch_ch17.ppt.
Theonlinesupplementalreadingsprovidetwoexamplesofsegmentation.
ATypologyofInformationandCommunicationTechnologyUsers
A2007PewInternet&AmericanLifeProjectsoughttoexplainhowdifferentgroupsofindividualsuseinformationandcommunicationtechnologytoexpressthemselvesonlineandparticipateinonlineactivities.Withthisgoalinmind-thesegmentationofinformationandcommunicationtechnologyusers-researchwasconductedtoclassifyAmericansintodifferentgroupsoftechnologyusersinrelationtothreedimensions:assets,actionsandattitudes.
Assets:Pewaskedaboutindividuals’useoftheinternet,cellphonesandotherdevicesthatconnecttotheinternet(e.g.,videoordigitalcameras),andservicesthatfacilitatedigitalconsumption,participation,andelectroniccommunication(e.g.,broadbandandnon-voiceapplicationsoncellphones).
Actions:Pewaskedaboutonlineactivitiesandbehaviors,suchasdownloadingaudioandvideo,generatingoriginalonlinecontent,andthewiderangeofthingspeopledowiththeircellphonesandcomputers.
Attitudes:Pewaskedpeopleabouttheextenttowhichtheybelieveinformationandcommunicationtechnologieshelpthembemoreproductiveatwork,topursuehobbies,andtokeepupwithfamilyandfriends.Pewalsoaskedabout
informationoverloadandtechnology'scapacitytooffermorecontrolover
individuals’lives.
Theresearchidentifiedtensegmentsofindividuals,whichinturncomprisethreelargergroups.
? AtoneofthecontinuumaretheEliteUsersofinformationandcommunicationtechnologies.(Thisgroupconsistsof31%ofallU.S.adultsandfoursegments,seeFigure17.21.)EliteUsershavethemostinformationtechnology,areheavyandfrequentusersoftheinternetandcellphonesand,tovaryingdegrees,areengagedwithuser-generatedcontent.MembersofallfourEliteUserssegmentstypicallyhavehighlevelsofsatisfactionabouttheroleofinformationandcommunicationtechnologyintheirlives.Thefoursegmentscomprisingthisbroadgroupdiffer,however,onwhetherthey
believethewiderangeofinformation,technologyandcommunicationoptions
ispositiveornegative.
? Middle-of-the-RoadUsers(20%ofallU.S.adults)consistsoftwosegmentswhoseoutlooktowardinformationtechnologyistask-oriented(seeFigure
17.21).Middle-of-theRoadUserstendtouseinformationandcommunicationtechnologiesforspecifictasksmorethanforself-expression.Whilethetwo
segmentsinthisgroupsharesimilarbehaviorsandorientation,theydifferwithregardtotheirviewsofcommunicationtechnologies:onesegmentfinds
theirpatternofinformationtechnologyusesatisfyingandbeneficial,whiletheotherfindsitburdensome.
? IndividualswithFewTechnologyAssets(49%)lieattheotherendofthecontinuum.Foursegmentscomprisethisgroup,unitedinthebeliefthatmodernandwidelyacceptedtechnologyresidesontheperipheryoftheirdailylives.Somefindituseful,othersdon’t,andotherssimplysticktothe“plainold”telephoneandtelevision.
Thefollowingexcerptsareprovidedintheonlinereadings:
? TheExecutiveSummary(reportpagesitovi)providesanoverviewofthefindings,payingparticularattentiontothedefininganddistinguishingcharacteristicsofeachoftheteninformationandcommunicationtechnologygroups.Notehowthesegroupsmeetthecriteriadiscussedinthepriorchapter:
withregardtoclassificationanddescriptivemeasures,individualswithinagroupareverysimilartoeachotherandverydifferentfromindividualsinothergroups.
? AdetaileddescriptionofonesegmentwithineachofthethreebroadgroupsfollowstheExecutiveSummary.Omnivores(whoarepartoftheEliteUsers)aredescribedonreportpages8to11,MobileCentric(whoarepartoftheMiddle-of-the-RoadUsers)aredescribedonreportpages21to23andInexperiencedExperimenters(oneofthefourFewTechnologyAssetsgroups)aredescribedonreportpages27to29.Noticehowthein-depthdiscussionofeachgroupprovidescomparable,detailedinformation,whichrelatesbacktotheinitialinformationalfocusofthestudy:assets,actionsandattitudes.
? Anoverviewofthestudymethodologyconcludestheexcerpts(reportpages
54to55).
GenerationC
Thelabel“GenerationC’wascoinedbyTrendspottingandrefersnottoademographicgroupbutrathertoindividualsofallageswhoproduceandsharecontent.Theseindividualsmixtheirownmusic,edittheirownvideos,posttheirphotographytotheInternet,orwritebooksandblogs.Theyareactivesocialnetworkersandrepresentalargegroupofindividuals,estimatedtonowexceed53millionU.S.adults.GenerationC’smotivationsforparticipatingintheseactivitiesispersonalandexpressive;theywriteablogforthefunofitortheyputtogetheraslideshowofphotostoemailtofriendsandfamily.
TheidentificationofsegmentssuchasGenerationCisonlythefirststepinthedevelopmentofsuccessfuladvertisingstrategy.Successfulstrategyrequiresonetocompletelyunderstandthecharacteristicsofasegmentandtoidentifytheimplicationsofthesecharacteristicsforfuturedecision-making.DanPankraz’spresentationGenerationC-ALookIntoTheirWorlddemonstratesthetypeofin-depthanalysisrequiredforsuccessfulstrategydevelopmentandillustratesthatthisanalysiscanbeascreativeandcompellingasthetopic(orinthiscase,segment)thatisbeingdescribed.
ChapterLecture
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Segmentationbreaksdownpopulationofindividualsintosmallersubgroupswhereindividualsinaspecificsubgrouparesimilartoeachotherintermsofimportantcharacteristicsandpossesscharacteristicsdifferentfromindividualsinothergroups.
Threeimportantaspectsofawell-conceivedsegmentationstudy:
? Successfulsegmentationresearchstartswithawell-formulated
researchquestion.Priortodatacollection,aresearcherneedstoexplicitlyidentifycriteriatobeusedtosegmentanddescribeasample.
? Eachgroupisuniquewithrespecttosegmentationfocus.
Individualswithinagrouparehomogeneous(i.e.,verysimilarto
eachotherwithrespecttocriteriausedtosegmentthesample)andthereisheterogeneityacrossgroups(thatis,eachsegmentisdistinctandhasitsownprofileandidentity,differentthanothergroups).
? Thereisarelationshipbetweensegmentsandoutcomes.
Individualsindifferentattitudinalgroupsshouldshowdistinctly
differentpatternsofbehavior
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SegmentationusedbyObama2008campaignshowninSlide17-4.
I.HowAdvertisersUseSegmentation
Primaryassumptionsofsegmentationarestraight-forward.
? Becauseeachsegmentishomogeneouswithrespecttothebasisforthesegmentation,advertisersexpectindividualsinasegmenttorespondinsimilarwaytosamecommunication.
? Becausesegmentsareformedtoaccentuatedifferences,advertisersdonotexpectthesamecommunicationplanorapproachtoworkformultiplesegments.
Severalreasonsforusingsegmentation.
? Permitsadvertiserstoincreaserelevanceandimpactoftheirmessages.
Segmentationprovidesinformationrequiredforplanningand
presentationofadvertisingcommunicationsthatexactlyfitandrespond
tothecharacteristics,needs,attitudesandlifestylesofauniquesegmentofabroadertargetaudience.
ApproachtomessagecustomizationseenintwoadsdevelopedforExecTrade.Adsdifferinthattheytargettwodifferentsegments.Individualstargetedbyadshownonleftaremostinterestedinmaximizingreturnswhiletheadontherighttargetsindividualswhoaremostinterestedinservicepersonalization.
? Permitsadvertisertorespondtothecurrentstructureandrealitiesofthemarketplace.Usuallyeasiertotakeadvantageofmarketsegments
thatalreadyexistthantotrytocreatenewsegments.
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? Helpsrefineandincreasetheefficiencyofcommunicationplans.
Differentsegmentsoftenhavedifferentmediahabitsandreceptivityto
differenttypesofcommunicationefforts.
? Helpsuncovernewopportunitiesinsecondarysegments.Jell-Ousedsegmentationtodiscoverandtargetagroupofmotherswhowereconcernedaboutthefatandcholesterolintheirchildren'ssnacks.Thisgroup,traditionallynotJell-Ousers,wastargetedinaspecialprintadvertisingcampaignthatcommunicatedfat-free,cholesterol-freecharacterofJell-O.
II.CriteriaforSelectingSegments
Advertisersuseseveralcriteriatoevaluatetherelativeappealandvalueofdifferentsegments.Criteriaandaccompanyingquestionsthatapplytoallsegmentationsituationsare:
? Size.Issegmentofsufficientsizetojustifyexpendituresoftimeandenergyrequiredtodevelopacustomizedcommunicationprogram?
? MediaAccessibility.Canmembersofsegmentbeefficientlyreachedthoughtraditionalandnewmediavehicles?
? MessageAvailability.Canacommunicationmessageorappealbecreatedthatrespondstotheuniqueattitudes,needsand/orbehaviorsofsegmentmembers?
? Responsiveness.Towhatextentaremembersofsegmentlikelytopayattentionandrespondtomessageindesiredway?
? Sustainability.Isthesegmentstableorlikelytogrowforthelong-term,oristhesegmentlikelytodisappearormergewithothersegments?
? Evaluation.Caneffortstowardsegmentbemeasuredinordertodeterminestrengths,weaknessesandoutcomesofcommunicationcampaign?
Product-relatedsegmentevaluationappliesfouradditionalcriteria:
? Profitability.Ifcommunicationcampaignissuccessful,willthisresultinsufficientincreasesinsalestojustifythecampaign?
? Competition.Towhatextentdocompetitivebrandshaveaninterestinsegment?Willcommunicationeffortshavetocombatheavilyentrenchedbrands?
? Defendability.Ifcommunicationcampaignissuccessful,istherelikelytobeasignificantcompetitiveresponse?Cansucharesponsebedefendedagainst?
? Compatibility.Aremembersofsegment,andthetypesofproductstheydesire,compatiblewithexistingordesiredcompanygoals,perspectivesandobjectives?
III.VariablesUsedinSegmentation
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Variablesusedinsegmentationresearchtypicallythatfallintofourbroadcategories:
? demographics
? geography
? psychographics(personalattitudes,values,motivations,andlifestyle)
? relevantattitudesandbehaviors
Canbeusedaseitherclassificationordescriptivevariables.
Classificationvariablesarebasisforsegmentformation.Multiplevariablesfromonecategoryorvariablesfromtwoormorecategoriescanbeused.
Descriptivevariablesusedtodescribethemembersofeachsegment.A.DemographicVariables
Demographicvariablesincludecharacteristicssuchasage,gender,race,ethnicity,householdcharacteristics,occupation,levelofeducation,andsocialclass.
1.Age
Ageisoftenimportantsinceindividualsofdifferentagesarelikelytohavedifferentattitudes,behaviors,productneedsandproductperceptions.Cautionisneededinage-basedsegmentation:definingagesegmentstoobroadlytendstoblurdifferencesbetweenagesegments.Definingagesegmentstoonarrowlyresultsintoomanysmallsegments.
2.Gender
Anunderstandingofthedifferencesbetweenmenandwomeninaproductcategoryprovidesadvertiserswithabasisforcustomizingproductpositioningandadvertisingmessages.
3.Household
Marketersandadvertisersoftensegmentpopulationbasedonhouseholdcharacteristicstoidentifyproductneedsandadvertisingopportunities.Marketingandadvertisingofsingleservingsizefoodproducts,forexample,respondedtotheriseinsinglepersonhouseholds.
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4.Lifestage
Age,gender,householdsizeandotherdemographicvariablesoftencombinedtoformmultidimensionallifestageorfamilylife-cyclesegments.Done,forexample,bycombiningcharacteristicsrelatedtohouseholdcomposition,maritalstatus,andthepresence/absenceofchildren.
Lifestagesegmentationneednotrelyonageorhouseholdcharacteristicsasprimaryclassificationvariables.Mortonhascreatedfivelifestagesegmentsbasedoncareerandwork:
? ProvisionalAdulthood–Choosingacareerandenteringtheworkforce.
? EarlyAdulthood–Progressingincareersandsettlingintowork.
? Middlescense–Reexaminingwork.
? AgeofMastery–Adjustingtorealitiesofworkandapproachingretirement.
? AgeofIntegrity-Disengagingfrompaidworkandsearchingfornewachievementoutlets.
B.GeographicVariables
Advertisersidentifysegmentsbasedongeographicboundariesandpopulationcharacteristics.Themostcommoncriteriausedingeographicsegmentationresearchare:region,populationsize,populationdensity,citysizeandclimate.
Thiscancontributetoseveraltypesofmarketingandadvertisingplanning.
? Differentpurchasepatternsindifferentgeographicareassuggesttheneedfordifferentmediaschedules.Barbequesauceis
purchasedallyearinwarmerclimates.Requiresadifferentadvertisingschedulethancoolermarketswhereproductpurchaseisconcentratedinsummermonths.
? Differentlevelsofproductpurchaseindifferentgeographicareasoftensuggesttheneedfordifferentlevelsofmediaallocation,sincemanyadvertiserswishtoconcentratetheiradvertisingspendingingeographicareasthatshowhigherconsumptionlevels.
C.PsychographicVariables
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“Psychographic"describesaperson'sgeneralattitudes,values,motivations,andlifestyle.Psychographicsegmentationdividesapopulationintogroupsbased
onthesecharacteristics.Itassumesthatwhatpeoplethink,howtheyaremotivated,andhowtheyleadtheirlivesareoftenstrongdeterminantsor
predictorsoftheiruseofspecifictypesofgoodsandservicesaswellastheirchoicetoparticipate(ornotparticipate)incertainbehaviors.
1.AttitudesandValues
Individualsinthesamedemographiccategoryoftenhavedifferentattitudesandvaluestowardlife,career,self-image,andtheimportanceofstatusandrecognition.Explorationofattitudesandvalueshelpsadvertisersbetterunderstandimportantdifferenceswithinandacrossdifferentagegroups.MorganandLevy,forexample,identifiedfourattitudinalsegmentswithinthe
50+agedemographic:
? UpbeatEnjoyer.Mostlikelytofeelthattheirbestyearsarenowandinthefuture.Prioritiesarelookinggoodandstayingactive.Feelfinanciallysecure.
? Insecure.Feelthattheyhavenotbeensuccessfulinlifeandthatbestyearslieinthepast.Afraidtheywillnothaveenoughmoneyforfuture,investconservatively,shopforvalue,andaregenerallyuncomfortablewiththeirappearance.
? ThreatenedActive.Haveapositiveoutlookonlife,althoughoutlooktemperedbyworriesaboutcrime.Veryresistanttochange.Wanttokeeplivingintheirownhomesandworkingatcurrentjob.Donotworryabout"lookingyoung."
? FinancialPositives.Aremoreopentochangeandmoreconcernedaboutlookinggood.Feelfinanciallysecure,
successful,andoptimistic.
2.Motivations
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Motivationsthatunderlieconsumerbehavioroftenprovideaninsightfulbasisforsegmentingaproductcategoryandadvertisingaudience.Motivationalsegmentationassumesthatifanadvertiserunderstandsanindividual'smotivationsforbuyingornotbuyingaproduct(or,morebroadly,forparticipatingornotparticipatinginaparticulartypeofbehavior)thentheycantailortheadvertisingmessagetocapitalizeon(orcounter)thosemotivations.
3.Lifestyle
Thisdividesthepopulationbasedoninterests,activities,hobbies,participationinvariousformsofsocialevents,sports,andotheractivities.Helpsadvertisersunderstandtherelationshipbetweenhowconsumersspendtheirtimeandleadtheirlivesandtypesandbrandstheyuse.Ithasproventobeausefulwayofsegmentingthemarketfor"badge"products(i.e.,productsthatareconspicuouslyconsumedordisplayed)suchasliquor,automobiles,cigarettes,andclothing.
D.Categoryand/orBrand-RelatedAttitudesandBehaviors
Averycommonformofconsumersegmentation.Keyvariablestypicallyrelatetoaspectsofproductusage,brandloyalty,ordesiredbenefits.
1.ProductUsageSegmentation
Thepopulationisdividedtoreflectpatternsinbrandandproductusage,quantityofconsumption,orsituationinwhichproductisused.Characteristicsmaybeusedindependentlyorincombinationwithotherbrandorproductrelatedcharacteristics:
? Brandusagesegmentationdividespopulationintogroupsthatdifferwithrespecttopatternsofbrandusage,typicallybrandusedmostoften.Beerdrinkerscouldbesegmentedtoreflectbeerbrandthathadthegreatestconsumptionwithinthepriormonth.
? Productusagesegmentationdividespopulationintogroupsbasedontypesofproductsconsumed.Beerdrinkerscouldbesegmentedtoreflecttypeofbeer(import,domestic,premium,super-premium)thathadthegreatestconsumptionwithinpriormonth.
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? Quantityofconsumptionsegmentationdividespopulationonbasisofamountofproductconsumed.Beerdrinkerscouldbesegmentedtoreflecttotalamountofbeerconsumedwithinpriormonth.
? Situationofconsumptionsegmentationdividespopulationtoreflectcircumstancesinwhichproductisused.Beerdrinkerscouldbesegmentedtoreflectwhereproductisprimarilyconsumed,forexample,atrestaurants,athome,atabar,etc.
2.BrandLoyalty
Brandloyaltymeasuresconsumerbrandattachment.Brandloyaltysegmentationdividespopulationtoreflectloyaltytoaparticularbrand.Understandingofattitudes,demographics,andmotivationsofdifferentloyaltygroupshelpstheadvertiseridentifycreativeapproachandessentialmessagemostlikelytoreinforceloyaltyamongtheirownusersandreduceloyaltyamongcompetitors'users.
3.BehaviorsinNon-ProductCategories
Individuals’behaviorscanalsobeusedasclassificationvariablesinnon-productcategories.Theyareappropriatewheneverdifferencesinbehaviorsacrossindividualsarebelievedtoexertanimportantinfluenceontargetattitudesorbehaviors.Forexample:
? Ruizandhiscolleaguessegmentedconsumersbasedonthebehaviorsexhibitedduringavisittothemall.Foursegmentswereidentified:RecreationalShoppers,FullExperienceShoppers,Browsers,andMissionShoppers.
? OntarioMinistryofTourismconductedmultiplesegmentationstudiesusingbehaviorsastheclassificationvariable.Studiesincludesegmentationofoutdooractivitiesparticipatedinwhileonvacation,typesofculturalandentertainmentpursuitswhile
onvacation,andtypesofshoppingconductedwhileonvacation.
4.NeedsorBenefits
Needsorbenefitsegmentationcanbeusedforeitherproduct-specificornon-productcategories.Haleyprovidesanexampleofproduct-relatedbenefitsegmentation:benefitssoughtfromtoothpaste.Fourbenefitsegmentsexistwithintoothpastecategorywhereeachsegmentmostvaluesadifferentbenefit.Benefitsegmentsare:
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? Worriers.Mostconcernedaboutdecayprevention.Tendtohavelargefamiliesandareheavyusersoftoothpaste.PreferCrest.
? Sociable.Mostconcernedaboutappearanceandteethbrightness.
Tendtobeyoungerandvaluesociability.Leadanactive
lifestyle.PreferUltra.
? Sensory.Mostconcernedaboutproductitself,especiallyflavorandappearance.Tendtobechildren.Preferflavoredtoothpastes.PreferStripe.
? Independents.Price-driven.Tendtobevalue-orientedmen.Notbrandloyal.Tendtobuywhateverisonsale.
IV.ConductingOriginalSegmentationResearch
Planningandconductoforiginalsegmentationresearchbeginssimilarlytootherresearch:needforresearchisidentified,segmentationisselectedasanappropriateresponsetoinformationalneeds,andsampleandsamplingissuesareaddressed.SegmentationresearchthenfollowsthestepsshowninSlide17-
30.UsesegmentationconductedbyFireflyResearchdesignedtoillustrateprocess"inaction."
A.ExplicitlyStatetheResearchQuestion(s)
Successfulsegmentationresearchstartswithoneormorewell-formulatedresearchquestions.Questionsmakeexplicitinformationneeds.Questionshelpidentifytypesofvariablesthatresearchwillexplor.FireflyResearchproposedtwocorequestions:
? DovisitorstoBrazildifferwithregardtothebenefitstheyseekduringtheirvisit?Ifso,dothesedifferencesresultindifferentbenefit-drivensegments?
? Ifdifferentsegmentsdoexist,aretheresignificantdifferencesingroupcharacteristics?Specifically,aretheredifferenceswithregardtogroup:demographics,travelbehavior,personalitycharacteristics,interests,expectationsandattitudes?
B.IdentifytheRangeofClassificationandDescriptiveVariables
Thepotentialforsuccessfulsegmentationincreasesindirectproportiontoappropriatenessandrelevanceofselectedclassificationanddescriptivevariables.Thesevariablesimportancerequiresthattheresearchermakecertainthatallpotentialvariableshavebeenidentifiedandconsidered.Canbe
accomplishedthrough:(1)reviewofpriorrelatedresearchor(2)originalqualitativeresearch.FireflyResearchusedbothapproaches.Extensivereviewofpriorresearchondestinationtourismuncoveredthreeimportantinsights:
? Benefitssoughtbytravelerscanbeexploredintwoways,eitherdirectlythroughsurveyquestionsorindirectlythoughanalysisoftypesofactivitiesinwhichvisitorsparticipated.
? Travelershaveawideanddiversesetofreasonsfordestinationtravel.Fireflyidentifiedover200typesofdirectbenefitssought.
? Themostusefulsegmentsarethosethataredescribedthroughacombinationofdemographics,behaviors,personalitycharacteristics,motivationsandattitudes.
Theseinsightsledtoasecondstep:aseriesoffourfocusgroupswithindividualswhotraveledtoBrazilforpersonalreasonswithinthepasttwelvemonths.GroupswereusedtoobtaindeeperinsightsintoBraziltravelers’attitudes,behaviorsandmotivations.Informationgatheredfromboththeliteraturereviewandfocusgroupswasusedtocreatealistofnearly400classificationanddescriptivevariables.
C.ReducetheListofSegmentationandDescriptiveMeasures
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Thepriorstepresultedinalargenumberofvariables.Now,aresearchermustreducethenumberofvariablesexaminedtoamanageablenumber.Thiscanbeaccomplishedthroughjudgmentorthroughtheuseofstatisticaltechniques
suchasfactoranalysis.Variablesthat“passthrough”thissteparetranslated
intospecificquestionsonthequestionnaire.FireflyResearchuseditsownjudgment,inconsultationwithitsclient,toidentifyafinallistofvariables,makingcertainthatlistaddressedalltheimportantareasofinquiry.
D.SampleandSurveythePopulation
Aquestionnaireisdevelopedafterclassificationanddescriptivevariablesarespecified.
Sampledesignforeverysegmentationstudyisdifferent.FireflyResearch’ssamplingplan,designedtoefficientlylocateandinterviewtravelerstoBrazil,attemptedtobalancecostandgeneralizability,asfollows:
ThefiveUnitedStatesairportswiththelargestnumberofdirectflightstoBrazilwereidentified.Foraone-weekperiod,allflightstoBrazilfromeachairportwereidentified.RandomsamplingwasusedinthewaitingareaofeachBrazil-bound
flighttoidentifyindividualstobeinterviewed.Respondentswerescreenedtoeliminatethoseundertheageof18andtoselectonlythosetravelingtoBrazilforpersonalreasons.When
anindividualwastravelingwithafamily,thedecision-maker(or
shareddecision-maker)forthetripwasidentifiedandinterviewed.Interviewingbeganonehourpriortoflightboardingandcontinueduntiltheboardingprocesswasfinished.
E.IfNecessary,ReduceDatatoManageableNumberofFactorsorDimensions
Factoranalysisgroupsrelatedquestionstogethersothattheresearchercanidentifybroadertrendsandrelationshipsamongindividualmeasures.
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FactoranalysisofsurveyresponsesresultedinfivebenefitfactorsasshowninSlides17-34and17-35.EachfactorrepresentsaspecifictypeofbenefitindividualsseekwhentheygoonaBrazilianvacation.Similaractivitiesaregroupedtogetherwithinthesamefactor.Eachfactorisgivenanamethatsummarizesanddescribestheactivitiescomprisingthatfactor.
F.UsetheClassificationVariablestoFormSegments
Segmentsareformedusingastatisticaltechniquecalledclusteranalysiswhichplacesrespondentswithsimilarpatternsofresponsetotheclassificationvariablesinthesamesegment.FoursegmentswereformedbyFireflyResearch.Slide17-36showsthesizeofeachsegmentandillustratesdifferencesacrosssegmentswithregardtobenefitssoughtinaBrazilianvacation.Largerpositivenumbersreflectgreaterbenefitimportancewhilelargernegativenumbersreflectgreaterlackofimportance.
Segmentsareformedbyclassificationvariables:
? Segment1:ThrillSeekers(10%ofsample)seekactiveoutdooradventures.Segment’sinterestinoutdooractivitiescoupledwithlackofinterestinallremainingtypesofactivitiesdifferentiatesitfromtheothersegments.
? Segment2:DoItAllsarelargestsegment(35%ofsample).
Segmentlikestoexploredestinationfullyandseeksdiverse
benefitsfallingintoallthreeoftheremainingfourtypesofactivities,wheretheyaremostinterestedinactivitiesassociatedwithecotourism.Notinterestedinshopping.
? Segment3:He
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