Cluster Analysis

Case 1 :

An FMCG company desires to segment their potential customers based on their Attitudes and
Perceptions. For this purpose they have conducted a suitable Research. Initially, a preliminary research
was carried out and the variables that could have some impact on Consumer preferences were
identified. These variables were converted into a Questionnaire in the form of statements. Respondents
were asked to provide their responses to each statement on a 5 point Likert scale in which 1 stood for
Strongly Agree and 5 stood for Strongly Disagree.

A part of the Questionnaire and a Data extract are provided below for your Analysis.

Case Questions :

Q.1. Identify the number of Clusters/ Segments from the data provided.

Q.2. Determine which Respondent belongs to which Segment.

Q.3. Identify the variables that distinguish the Segments at 90% Confidence Level.

Q.4. Create Segment Profiles for each Cluster based on their scores on the distinguishing variables.

Q.5. Label/Name each Segment based on their dominant distinguishing characteristics.

Justify your answers.

Case 2 :

HDFC bank desires to Segment its target audience based on their Attitudes and Perceptions towards
Finance and Financial products. For this purpose, they have conducted a suitable Research in which
Respondents were asked to provide their responses to a set of questions on a 5 point Likert scale
(1=strongly agree ; 5=strongly disagree).

A part of the Questionnaire and a Data extract of this research are provided below for your analysis.

Case Questions :

Q.1. Identify the number of Clusters/ Segments from the data provided.

Q.2. Determine which Respondent belongs to which Segment.

Q.3. Identify the variables that distinguish the Segments at 99% Confidence Level.

Q.4. Create Segment Profiles for each Cluster based on their scores on the distinguishing variables.

Q.5. Label/Name each Segment based on their dominant distinguishing characteristics.

Justify your answers.