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Case Study - Segmenting Tourists On Pschographics
Case Study - Segmenting Tourists On Pschographics
Background: Our client, the tourism board of Country X, intends to segment tourists into sub-segments so that
they can identify what sorts of tourism destination they can market to each of those sub-segments. At the same
time, the board can also work to support private players in investing in right kind of infrastructural and
promotional support that will direct those particular sub-segments to the right designation. The hope is that such
a segmented method will help maximise tourist footfalls and also grow inward revenue to the county.
Objective of survey: Holiday travellers have clear psychological motives and expectations that drive them to
choose the destinations that fulfil their needs. We need to group tourist on these psychographic aspects
generated from previous qualitative study.
Hypothesis: Based on qualitative work, we have identified at least 3 kinds of psychographic groups:
a. Luxury Seekers: These people go where they are assured of 5-star kind of infrastructure. For
them, luxurious experience is the primary driver. They travel with their family whom they
want to care for. They are also meticulous itinerary planners and don’t want surprises in their
travel plans.
b. The Escapist: These tourists prefer to go to places others haven’t gone to prefer nature and
environmental tourism, prefer low budget and inexpensive places, look forward to experience
over consumption, indulging themselves, willing to be surprised and have a flexible schedule
which could be changed at location to accommodate new itinerary.
c. Affluent Nomad: These are people who want the best of the above two groups, i.e. luxury as
well as experience. These people are well-travelled and well-heeled groups. They know what
they want and how to get it. They feel comfortable as travellers as they believe they know
what exactly they want from the travel.
Research Method: A large-scale global study was conducted reaching out to upper and upper middle-income
consumers through an online survey. The broad survey covered the following aspects:
(Note: These questions have not been shown in the questionnaire but the data is included in the sample survey
data):
(Note to students: Some of the data collected from the above study have been omitted to make it less confusing
for you to segment tourists e.g. Q.5 Which country they would like to travel to).
Below are the 5-point Likert scale questions asked to all respondents to segment the tourists on their
pyschographics:
Q.6 When considering / planning to travel for leisure holiday purposes internationally, how much do you agree
or disagree with each of the following statements: (Please rare each statement on 5 point scale:
1: Strongly Disagree
2: Disagree
3: Neither agree nor disagree
4: Agree
5: Strongly Agree
1: When travelling I make sure everyone is well taken care of, that my friends, family or group stay together,
safe and protected
2: I spare no expense in making my holidays plans exceptional, designed exactly as I want
3: Travelling is a great opportunity to connect with others and meet new people from different cultures
4: I’m more attracted to visit places no-one has visited, hidden spots that are away from tourist crowds
9: Travelling for me is all about luxury, I don’t mind indulging a little extra for a new experience
19: I am someone who makes travel plans to attend concerts, matches, events, well in advance
Some 499 respondents were interviewed and the data collected. Basis the segmentation analysis (you have all
sorts of tools available i.e. Principal Component analysis to reduce variables, Hierarchical segmentation, K
Cluster, Decision tree etc.,), the client team identified the following 7 segments (more than the 3 segment initial
hypotheses):
1. Care Giver
2. Intrepid Nature
3. The Luxe Seeker
4. The Opportunity Maximizer
5. Free Spirited
6. Wanderlust Nomads
7. The Planner
Attempt various tools you have learnt from your BRM course and apply to replicate this above segmentation or
improve upon this segmentation