Exploring Must-know Criteria for Effective Customer Segmentation in Online Market Using AHP

Authors: Sekandari, E. and Aghaei, I.

Journal: Review of Marketing Science

Volume: 21

Issue: 1

Pages: 271-294

Publisher: Walter de Gruyter

ISSN: 1546-5616

DOI: 10.1515/roms-2023-0027

Abstract:

Considering the advancement of technology, companies need to update their knowledge regarding consumer behavior and try to adapt to these changes to stay profitable. Therefore, this study aims to investigate the relative importance of market segmentation categories when assessing consumers’ online buying behavior. The data were collected through a standard AHP questionnaire from 71 individuals who lived in North Cyprus and have online shopping experience. The results were analyzed using the Analytic Hierarchy Process (AHP) methodology by Expert Choice software. Findings demonstrated that age, gender, and marital status are the most critical factors in determining online consumer behavior. However, group influence, adaptability, and brand loyalty were found to be the least important factors that can stimulate consumers to shop online. Managers are encouraged to target their consumers based on the essential categories since running marketing campaigns and advertising costs money and time. They can also benefit from the results of this study and apply more target-oriented segmentation strategies to enhance their companies’ performance. This paper provides a pioneering instrument to assess the relative importance of market segmentation categories in online market.

Source: Manual