• Title/Summary/Keyword: customer segmentation

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Analysis of Consumer Preferences on Social Commerce Buying Environment (구매시점을 중심으로 소셜커머스 구매환경이 미치는 소비자 선호 별 효용 분석)

  • Choi, Soyeong;Lim, Hyung Soo;Jun, Duk Bin;Kang, Sungyeol
    • Journal of the Korean Operations Research and Management Science Society
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    • v.42 no.2
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    • pp.1-17
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    • 2017
  • Based on increased popularity and use of social network services as a marketing tool, social commerce became an emerging trend in e-commerce platforms. Social commerce involves sellers offering potential consumers the products and services at a lower price in a limited time period. Through comparison of the performances of domestic social commerce websites, we found that the buying environment such as price, number of available products, and the remaining time period for sale has a significant difference influencing on the purchase decisions of consumers. This study aims to analyze the interaction effects and preference levels of four characteristics (price, discount rate, number of purchases and purchase time) by conducting choice-based conjoint analysis. Survey experiment was performed using a sample of 146 undergraduate and graduate students. The results showed that consumers importantly consider purchase time, discount rate, price, number of purchases in the order of their preference. Also, discount effect is more significant on purchase decisions than price effect and consumers distinguish less the differences among the buying environment characteristics in the closing days of purchase period. Customer segmentation using the preference levels of characteristics indicates that the preference levels have different effects in the purchase utility of each segment. The proposed customer segmentation and differences in feature utilities are expected to be valuable in forming future sales promotion strategies in social commerce.

Measuring Service Quality Perception of University Faculty Members & Staffs Towards Faculty Foodservice Based on Lifestyle Segmentation (대학 교직원의 라이프스타일에 따른 세분시장별 대학 교직원 급식소 서비스 품질 인식 분석)

  • 박문경;양일선;김동훈;신서영;이해영
    • Korean Journal of Community Nutrition
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    • v.8 no.4
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    • pp.556-565
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    • 2003
  • Market segmentation helps providers to find better marketing opportunities and allows foodservice managers to develop the right product for each target market. Therefore, this study, taking university faculty and staff as subject, is intended to diagnose the relative value of service quality attribute, on the basis service quality scenario of faculty foodservice; to suggest price for improving customer loyalty in market segments. A questionnaire was developed ar d mailed to 600 Yonsei university faculty and staffs. A total of 385 questionnaires were usable; resulting in a 58.7% of faculty and a 69.7% of staff response rate, respectively. Statistical data analysis was completed using the SAS/Win 6.12 for descriptive Analysis, ANOVA, principal factor analysis, cluster analysis, reliability test and discriminant analysis. The results of the study are as below. Eighteen questions were selected for measuring respondents' lifestyle by AIO method and the seven lifestyle factors derived from factor analysis and aggregated distinct 4 clusters. Service quality attributes of the scenario were determined with 'food quality', 'menu variety', 'atmosphere', 'fast service', and 'clean and sanitation'. 'Food quality', 'menu variety', 'atmosphere', 'fast service', and 'clean and sanitation', in decreasing order, were identified as improving customer loyalty. However, most faculty and staffs were satisfied with the present meal price. The result of this study indicates that the relative value of service quality was differed significantly among the various market segments. 'Food quality', 'menu variety', and 'atmosphere' were determined as major service quality attributes. Thus, customer loyalty could be increased by improving food taste and quality, atmosphere, and service delivery. (Korean J Community Nutrition 8(4) : 556 ∼565, 2003)

An Affection of Blog Service Quality on Service Value and Customer Satisfaction : Focusing on Cyword (블로그 서비스품질이 서비스가치와 고객만족에 미치는 영향 : 싸이월드를 중심으로)

  • Cho, Chul-Ho;Kang, Byung-Suh
    • Journal of Korean Society for Quality Management
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    • v.35 no.1
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    • pp.35-51
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    • 2007
  • In terms of company management for market segmentation and creating new market opportunity, Blog service has much important meanings. This study was designed to investigate the casual relationship among service quality, service value, customer satisfaction, and customer loyalty in the given blog service site "Cyworld". Through the empirical results, specific factors of blog service quality were discovered to be amusement, interaction, customization, reliability and convenience. Also rte confirmed that service value intervening between blog service quality and customer satisfaction plays an important role. This paper presents much implications both theoretical and practical side.

Consumer Segmentation by Lifestyle and Development of e-CRM Strategies (라이프스타일에 따른 고객세분화 및 e-CRM 전략제안)

  • Ko Eunju;Kwon Joon Hee;Yun Sun Young
    • Journal of the Korean Society of Clothing and Textiles
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    • v.29 no.6
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    • pp.847-858
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    • 2005
  • The purpose of this study was to examine consumer purchasing behavior of the online shoppers particularly using online clothing shopping mall and to analyze the key factors of both satisfaction and dissatisfaction of their purchase and to compare the both group by lifestyle segmentation in order to provide the e-CRM strategies. Focus group interviews and survey were conducted in December, 2003 with 30 online shoppers who have an experience of online clothing purchasing. The data analysis included the content analysis, descriptive statistics, K-means and factor analysis. Key findings of the study were as follows: First, online shoppers spent average 3.5 hours on internet and usually purchased clothing while surfing the web. Second, consumers were satisfied with reasonable price and customized service but dissatisfied with delayed delivery, limited product availability in both size and color and return policy. Third, according to the lifestyle segmentation, online shoppers could be characterized as 'Luxurious', 'Trendy' and 'Prudent' 'Luxury-oriented consumers', who value fashion, diet and social activity, tended to purchase basic yet high quality products. However, 'Trend-oriented consumers', to whom fashion trend was most important, purchased various latest fashion products with reasonable price and showed generally positive response to emails sent by e-retailers. And lastly 'Prudence-oriented consumers', whose buying decision was based solely on practicality, appeared to be reluctant to purchase clothing online while seeking more credible information and competitive price. In conclusion, this study has its significance in that it helps promote relationships between customers and e-retailers by providing differentiated e-CRM strategies through each customer groups 'lifestyle segmentation and consumer purchasing behavior analysis.

A Case Study on Dynamic STP strategy of The Interior Brand, LX Hausys (인테리어 브랜드의 역동적 시장세분화 전략 : LX하우시스(LXH)의 시장세분화 전략 사례)

  • Lee, Jaejin;Lee, SungJun
    • Journal of Korea Society of Digital Industry and Information Management
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    • v.18 no.1
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    • pp.151-162
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    • 2022
  • LX Hausys, a leading manufacturer of building materials in South Korea is engaging in the interior business where it is critical to balance between the needs of end-users (B2C) and the needs of corporate consumers (B2B) in an effective manner. Therefore, it is utmost important for the company to ensure that customer communication takes place in two directions based on correct market segmentation strategies, which in turn require a deep understanding of current as well as potential consumers. To accomplish this, LX Hausys conducted both quantitative and qualitative studies to establish a market segmentation strategy which is genuinely different from "general" consumer goods market segmentation strategies. As a result, especially since 2018, its brand (LX Z:IN) began to move up to 1st or 2nd place in a variety of brand rankings. This paper aims to look closely into various characteristic aspects of LXH's market segmentation strategy, and also shows how it is implemented in the real world.

A Study on Customer Segmentation for Efficient Customer Management (효율적인 고객관리를 위한 고객 세분화에 관한 연구)

  • 양광모;김영준;강경식
    • Proceedings of the Safety Management and Science Conference
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    • 2002.11a
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    • pp.221-226
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    • 2002
  • The biggest difficulty the small and small business currently face is not to have the effective cusomer management system that is the computerization of management, And, CRM has mary problems that make companies confused. As the result, projects are being suspended and budgets cut, plans for introducing CRM suspended or cancelled and many CRM software vendors and technical consulting firms are facing serious management crisis. Yet, this phenomenon can be regarded as an interim one. In fact, some cases that successfully introduced CRM show that CRM is migrating from small scale which is typical when introduced to larger scale through various tests. Therefore, this study tries to segment customer for the sieving the problem. And it make efficient customer management.

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A Study on Customer Segmentation for CRM Analysis (CRM 분석을 위한 고객 세분화에 관한 연구)

  • 송관배;양광모;강경식
    • Journal of the Korea Safety Management & Science
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    • v.5 no.3
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    • pp.133-143
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    • 2003
  • Even in the present situation where any general criterion on CRM dose not exist, utilization of CRM is expected to be actively continued, which will cause many problems. In this regard, evaluating CRM counts. As the result, projects are being suspended and budgets cut, plans for introducing CRM suspended or cancelled and many CRM software vendors and technical consulting firms are facing serious management crisis. Yet, this phenomenon can be regarded as an interim one. In fact, some cases that successfully introduced CRM show that CRM is migrating from small scale which is typical when introduced to larger scale through various tests. Therefore, this study tries to segment customer for the sloving the problem. And it make efficient customer management. Using this model, SN ratio of taguchi method for each of subjective factors as well as values of weights are used in this comprehensive method for customer. A example is presented to illustrate the model and to show a rank reversal when compared to a model that does not eliminate extreme values and eliminates the highest and lowest experts' values allocating the weights and the subjective factors.

An Empirical Analysis on a Predictive Method of Systematic Segmentation in Volatile High-Tech Markets

  • Shin, Yonghee;Jeon, Hyori;Choi, Munkee;Han, Eoksoo;Jung, Sungyoung
    • ETRI Journal
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    • v.35 no.2
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    • pp.321-331
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    • 2013
  • High-tech markets are unpredictable owing to rapid technology innovation, diverse customer needs, high competition, and other elements. Many scholars have attempted to explain the uncertainty in high-tech markets using their own various approaches. However, sufficiently clear ways to predict diverse changes and trends in high-tech markets have yet to be presented. Thus, this paper proposes a new approach model, that is, systematic market segmentation, to give more accurate information. Using an empirical dataset from the mobile handset market in the Republic of Korea, we conduct our research model consisting of three steps. First, we categorize nine basic segments. Second, we test the stability of these segments. Finally, we profile the characteristics of the customers and products. We conclude that the approach is able to offer more diagnostic information to both practitioners and scholars. It is expected to provide rich information for an appropriate marketing mix in practice.

A Methodology of Customer Churn Prediction based on Two-Dimensional Loyalty Segmentation (이차원 고객충성도 세그먼트 기반의 고객이탈예측 방법론)

  • Kim, Hyung Su;Hong, Seung Woo
    • Journal of Intelligence and Information Systems
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    • v.26 no.4
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    • pp.111-126
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    • 2020
  • Most industries have recently become aware of the importance of customer lifetime value as they are exposed to a competitive environment. As a result, preventing customers from churn is becoming a more important business issue than securing new customers. This is because maintaining churn customers is far more economical than securing new customers, and in fact, the acquisition cost of new customers is known to be five to six times higher than the maintenance cost of churn customers. Also, Companies that effectively prevent customer churn and improve customer retention rates are known to have a positive effect on not only increasing the company's profitability but also improving its brand image by improving customer satisfaction. Predicting customer churn, which had been conducted as a sub-research area for CRM, has recently become more important as a big data-based performance marketing theme due to the development of business machine learning technology. Until now, research on customer churn prediction has been carried out actively in such sectors as the mobile telecommunication industry, the financial industry, the distribution industry, and the game industry, which are highly competitive and urgent to manage churn. In addition, These churn prediction studies were focused on improving the performance of the churn prediction model itself, such as simply comparing the performance of various models, exploring features that are effective in forecasting departures, or developing new ensemble techniques, and were limited in terms of practical utilization because most studies considered the entire customer group as a group and developed a predictive model. As such, the main purpose of the existing related research was to improve the performance of the predictive model itself, and there was a relatively lack of research to improve the overall customer churn prediction process. In fact, customers in the business have different behavior characteristics due to heterogeneous transaction patterns, and the resulting churn rate is different, so it is unreasonable to assume the entire customer as a single customer group. Therefore, it is desirable to segment customers according to customer classification criteria, such as loyalty, and to operate an appropriate churn prediction model individually, in order to carry out effective customer churn predictions in heterogeneous industries. Of course, in some studies, there are studies in which customers are subdivided using clustering techniques and applied a churn prediction model for individual customer groups. Although this process of predicting churn can produce better predictions than a single predict model for the entire customer population, there is still room for improvement in that clustering is a mechanical, exploratory grouping technique that calculates distances based on inputs and does not reflect the strategic intent of an entity such as loyalties. This study proposes a segment-based customer departure prediction process (CCP/2DL: Customer Churn Prediction based on Two-Dimensional Loyalty segmentation) based on two-dimensional customer loyalty, assuming that successful customer churn management can be better done through improvements in the overall process than through the performance of the model itself. CCP/2DL is a series of churn prediction processes that segment two-way, quantitative and qualitative loyalty-based customer, conduct secondary grouping of customer segments according to churn patterns, and then independently apply heterogeneous churn prediction models for each churn pattern group. Performance comparisons were performed with the most commonly applied the General churn prediction process and the Clustering-based churn prediction process to assess the relative excellence of the proposed churn prediction process. The General churn prediction process used in this study refers to the process of predicting a single group of customers simply intended to be predicted as a machine learning model, using the most commonly used churn predicting method. And the Clustering-based churn prediction process is a method of first using clustering techniques to segment customers and implement a churn prediction model for each individual group. In cooperation with a global NGO, the proposed CCP/2DL performance showed better performance than other methodologies for predicting churn. This churn prediction process is not only effective in predicting churn, but can also be a strategic basis for obtaining a variety of customer observations and carrying out other related performance marketing activities.

A Study on Market Expansion Strategy via Two-Stage Customer Pre-segmentation Based on Customer Innovativeness and Value Orientation (고객혁신성과 가치지향성 기반의 2단계 사전 고객세분화를 통한 시장 확산 전략)

  • Heo, Tae-Young;Yoo, Young-Sang;Kim, Young-Myoung
    • Journal of Korea Technology Innovation Society
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    • v.10 no.1
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    • pp.73-97
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    • 2007
  • R&D into future technologies should be conducted in conjunction with technological innovation strategies that are linked to corporate survival within a framework of information and knowledge-based competitiveness. As such, future technology strategies should be ensured through open R&D organizations. The development of future technologies should not be conducted simply on the basis of future forecasts, but should take into account customer needs in advance and reflect them in the development of the future technologies or services. This research aims to select as segmentation variables the customers' attitude towards accepting future telecommunication technologies and their value orientation in their everyday life, as these factors wilt have the greatest effect on the demand for future telecommunication services and thus segment the future telecom service market. Likewise, such research seeks to segment the market from the stage of technology R&D activities and employ the results to formulate technology development strategies. Based on the customer attitude towards accepting new technologies, two groups were induced, and a hierarchical customer segmentation model was provided to conduct secondary segmentation of the two groups on the basis of their respective customer value orientation. A survey was conducted in June 2006 on 800 consumers aged 15 to 69, residing in Seoul and five other major South Korean cities, through one-on-one interviews. The samples were divided into two sub-groups according to their level of acceptance of new technology; a sub-group demonstrating a high level of technology acceptance (39.4%) and another sub-group with a comparatively lower level of technology acceptance (60.6%). These two sub-groups were further divided each into 5 smaller sub-groups (10 total smaller sub-groups) through two rounds of segmentation. The ten sub-groups were then analyzed in their detailed characteristics, including general demographic characteristics, usage patterns in existing telecom services such as mobile service, broadband internet and wireless internet and the status of ownership of a computing or information device and the desire or intention to purchase one. Through these steps, we were able to statistically prove that each of these 10 sub-groups responded to telecom services as independent markets. We found that each segmented group responds as an independent individual market. Through correspondence analysis, the target segmentation groups were positioned in such a way as to facilitate the entry of future telecommunication services into the market, as well as their diffusion and transferability.

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