Segmenting the Domestic Rural Tourists in India

Abstract

Rural tourism in India is increasingly becoming competitive. Customers expect better services and unique experiences. It is therefore essential for the service providers to better understand the expectations of the visitors and carefully match their offers. Segmentation and targeting of the market are accepted principles of business and there has been a lot of research on the basis of segmentation. The primary objective of this article is to identify the profile of the different clusters (popularly known as segments) of motivations of tourists traveling within rural India. The intention is to decipher the causative clusters, which influences the tourists to visit the rural areas. These variables are used to identify the various rural domestic tourist market segments. A self-administered instrument was used to collect the data. Four factors have been identified through exploratory factor analysis: socialization, escape, rural experience, and self-indulgence. After identifying factors, K-means clustering was used to segment the market. The researchers have identified two relevant segments of domestic rural tourists. These are family retreaters and rural escapists. The study advances the understanding of the Indian domestic rural tourism market. It will help policymakers and practitioners to design products and marketing programs matching the expectations of these targeted markets.