Consumers' decision-making style as a basis for market segmentation

Abstract

Decision-making styles are important to marketing because they determine consumer behaviour, are relatively stable over time and thus are relevant for market segmentation. The need to test the generalisability of Sproles and Kendall's consumer styles inventory (CSI) in different countries and an attempt to extend the original work led the authors to test the structure of decision-making styles of German shoppers and its use in segmenting consumers. From a sample of 455 German consumers, a seven-dimensional structure of decision-making styles was found using principal components analysis and confirmatory factor analysis. Cluster analysis identified six meaningful and distinct decision-making groups. These decision-making groups can be viewed as basic segments that can be used in conjunction with traditional market segmentation approaches. Implications for marketing research and practitioners are discussed.