Segmentation of Mobile Internet Users in The Indonesian Context: Insight for Mobile Internet Product Development Management

Abstract

This study strives to identify the market segment for mobile Internet based ondemographic characteristics and technology usage behavior attributes. Market segment analysis is one of the most  important  factors for target market identification of products or services. Segmentation analysis is also very crucial to the success of productdevelopment management to ensure that products reach their potential customers ortheir target market effectively with the right marketing strategies, thereby ensuringpeak profitability. In this segmentation research project, data were collected througha paper-based survey using nonprobability sampling among 232 respondents.  Basedon cluster analysis, the mobile Internet segment in Indonesia can be divided into fourgroups: savvy users (35.8%), loyal users (27.6%), value users (27.6%) and traditionalusers (9.9%). The study found that factors which clearly differentiate mobile Internetsegments are: mobile data usage during web browsing, communication activityincluding social media activity, game activity, and price sensitivity.

Keywords

• Segmentation, Mobile internet segment, Cluster analysis, Product development management, Marketing management