Expenditure-based segmentation of visitors to Aardklop National Arts Festival

Abstract

Competition in the festival market has important implications for South African arts/cultural festivals. To assist a festival to remain sustainable, market segmentation is an effective tool to divide existing and potential markets into homogenous groups based on meaningful characteristics. The aim of this article is to segment visitors (by using visitor expenditure as segmentation method) to one of South Africa's largest arts festivals, namely the Aardklop National Arts Festival held annually in Potchefstroom in the North West province. A questionnaire survey (N=1 671) was conducted annually at the festival and data from 2005 to 2008 were analysed. In the results four expenditure segments were identified and the analysis confirmed significant differences in socio-demographic and behavioural variables/characteristics between these different expenditure groups. Managerial and marketing implications are consequently proposed for the festival organisers.