Market segmentation in tourism: An application of the Schwartz's value theory

Abstract

Tourism is one of the fastest growing economic sectors. As nowdays tourism market is characterized by rapid changes and strong competition, the struggle for tourists represents everyday issue which tourist entities face with. In the past few decades, tourism demand has significantly been changed. From the unified and mass, it has become highly informed, personalized, with different individual requirements and preferences. Market segmentation occurs as an inevitable process in delivering appropriate value to tourists. To achieve better business outcomes, tourism businesses are looking for ways to make their offer suitable for tourists needs. The aim of this paper is to show if there is an impact of the value system on the consumer decision-making in choosing travel arrangements. The survey was conducted on a sample of 168 respondents, who were primarily selected from the population of students of the University of Belgrade. In order to answer the research questions, Schwartz's system of values model was used. Thus defined value system was used as the basis for segmentation of the tourist market. The survey showed that based on such segmentation, tourist can be divided into four clusters: 'individualists', 'modest traditionalists', 'hedonists' and 'social adventurers'.

Keywords

• tourism
• tourism demand
• market segmentation
• value system
• universal human values
• consumer behaviour