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A Benefit-based Segmentation of a Nonresident Summer Travel Market

Department of Tourism at James Cook University of North Queensland in Queensland, Australia

Richard R. Perdue

College of Business at the University of Colorado at Boulder

This study examined the feasibility of segmenting a nonresident tourist market on the basis of vacation benefits sought. Six distinct benefit-based market segments were found using factor and cluster analysis procedures. The resulting segments were compared on the basis of specific dependent variables organized under the following framework: travel party leader characteristics, travel party composition, trip planning and trip characteris tics, and post-trip evaluation. Finally, marketing strategy implications were addressed. The following evaluation criteria were used in target market selection: profitability, accessibility, and reachability. Benefit-based market segmentation studies were found to be a viable means of determining vacation market segments. The importance of the develop ment of objective and quantifiable means of evaluating market segments is stressed.

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