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Destination Segmentation: A Recommended Two-Step Approach

^* To whom correspondence should be addressed. E-mail: a.tkaczynski{at}uq.edu.au.

	Abstract

Tourism segmentation studies have traditionally developed segmentation variables from secondary data or a review of the literature. Based on stakeholder theory, this study recommends a two-step approach to destination segmentation, incorporating the views of multiple stakeholders. This article details the recommended segmentation approach using one Australian destination. Step 1 involves understanding how multiple stakeholders viewed their market to identify relevant segmentation variables. Step 2 involves segmenting the destination based on the variables identified in step 1. When compared with segments currently used by the destination marketing organization, the segments derived from the two-step approach to segmentation capture more of the tourists visiting the area. Segmentation guides budgetary decision making, and the proposed two-step approach to segmentation may assist tourism destinations to maximize limited resources by targeting more of the types of tourists who are frequenting the destination.

First published on May 20, 2009
Journal of Travel Research 2009, doi:10.1177/0047287509336470


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