Empirical market segmentation: what you see is what you get

The aim of the chapter is to discuss and illustrate different approaches taken in the area of empirical market segmentation in tourism, and to raise conceptual, practical and methodological problems in this context.

Abstract

Tourism is just like any other industry. Although it offers intangible, perishable services, is characterised by global competition, and is threatened or strengthened by political developments, it is just like any other industry with regard to the most fundamental market characteristic: customers have certain ideas of what they are looking for (preferences), and they choose the offer that best meets their preferences. It is therefore crucial to thoroughly understand what ideas customers have about the vacation of their dreams, the honeymoon to remember for a lifetime, or the adventure trip that still gets adrenaline pumping in their veins when they flip through the photos. As an organisation or a tourist destination, it is important to understand customers’ ideas in order to be capable to design offers that best match the consumer preferences and thus increase sales, possibly even satisfaction and consequently the probability of repeated purchase of the same tourism product.