Abstract

The research aims to understand the types of customer groups shopping in supermarkets, the segmentation of customers is based on the variables which impact the decision-making of their preference towards supermarkets. Cluster analysis is performed on a primary dataset collected in the form of a questionnaire. The questionnaire consists of the variables that can influence customers' preference towards supermarkets. In total 86 respondents did participate in data collection. The analysis of the data was piloted with hierarchal cluster analysis followed by K- Means cluster analysis. The finding of the analysis suggests that the customers can be segmented into 3 groups. The decisions related to offers, programs, priorities, promotion, place and other activities can be planned according to the target segment and market need. Keywords: Cluster Analysis, Supermarket, Consumer preference.

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