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Using product and retail choice attributes for cross‐national segmentation

Larry Lockshin (Ehrenberg Bass Institute for Marketing Science, University of South Australia, Adelaide, Australia)
Eli Cohen (Guilford Glazer School of Business and Management, Ben‐Gurion University of the Negev, Beer Sheva, Israel and School of Marketing, University of South Australia, Adelaide, Australia)

European Journal of Marketing

ISSN: 0309-0566

Article publication date: 26 July 2011

Abstract

Purpose

This study aims to use product attributes and retail display information to develop cross‐national segments.

Design/methodology/approach

The study uses consumers' choice in wine stores to develop segments of consumers, based on the relative importance of 13 factors consumers use for the retail purchase of wine. Data are collected from 11 countries, using seven languages on five continents. Best worst scaling (BWS) and latent class analysis were used to develop the clusters.

Findings

A three‐cluster structure provides a straightforward and robust segmentation across the 11 countries. This model fits better than one based on 11 single country segments. The three segments reveal different ways in which consumers choose wines: cognitive‐based, assurance‐based, and in‐store promotion‐based.

Research limitations/implications

The samples are convenience‐based and do not represent the population of wine drinkers in each country. Choice criteria, including retail communications, can be used to develop useful and robust segments cross‐nationally.

Practical implications

The three segments found in this study provide clear guidelines for wine marketers depending on whether they work for small or large wine companies. The use of choice attributes and BWS show the utility of this method in cross‐national research.

Originality/value

This research demonstrates that product attributes and retail communication devices like labels and displays can be used for cross‐national segmentation. Applying BWS and Latent Class Clustering to choice criteria leads to clear, usable, and robust segmentation across a wide range of cultures and product use histories.

Keywords

Citation

Lockshin, L. and Cohen, E. (2011), "Using product and retail choice attributes for cross‐national segmentation", European Journal of Marketing, Vol. 45 No. 7/8, pp. 1236-1252. https://doi.org/10.1108/03090561111137697

Publisher

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Emerald Group Publishing Limited

Copyright © 2011, Emerald Group Publishing Limited