Where to shop? The influence of store choice characteristics on retail market segmentation

Abstract

Consumers have a choice of a range of different types of wine stores where they can buy wine. Previous segmentation has looked at demographics or store location as the drivers of segmentation. In this study, we use Best Worst Scaling (BWS) to identify the reasons consumers choose different stores to shop for wine. An analysis of the reasons for choice result in three distinct segments, which can be broadly correlated to the different positioning of the three store types in the market. These attributes of store choice are better able to identify useful segments than demographics or location alone.