Segmentation of Spatially Dependent Geographical Units: Model and Application

• 成果类型: Article
• 署名作者: Govind, Rahul; Chatterjee, Rabikar; Mittal, Vikas
• 署名单位: University of New South Wales Sydney; Pennsylvania Commonwealth System of Higher Education (PCSHE); University of Pittsburgh; Rice University
• 刊物名称: MANAGEMENT SCIENCE
• ISSN/ISSBN: 0025-1909
• DOI: 10.1287/mnsc.2016.2699
• 发表日期: 2018
• 页码: 1941-1956
• 关键词: geographical segmentation; spatial models; Latent class models; service quality; customer satisfaction

摘要

We develop and test a new methodology that assigns geographical units (such as ZIP codes) to market segments by simultaneously considering bases of segmentation, such as customer attitudes and needs, such that the resulting segments display a high level of spatial concentration. Such concentrated segments are managerially desirable because of the logistical and administrative efficiencies created by implementing spatially concentrated segment-level strategies. The suggested approach captures spatial dependence flexibly while allowing us to identify managerially actionable segments that effectively balance homogeneity and spatial concentration. An illustrative empirical application demonstrates how the results can be utilized to derive consumer insights for actionable segmentation strategies. A Monte Carlo simulation and an assessment of the quality of the segments obtained from the empirical application support the value of the proposed spatially dependent segmentation method.