Segmentation and Positioning Analysis for International Air Travel Market

Abstract

Market segmentation for international air travel is explored, and how airline passenger perception positions air carriers is identified. Data for the empirical study were collected from international airline passengers who flew to Tokyo from Taipei. Factor analysis was initially performed to categorize service attributes of airlines into four underlying factors: onboard amenity, ground service, flight safety and corporate image, and travel cost and time. Cluster analysis divided the air passenger travel market into three distinct segments. For each market segment, correspondence analysis produced perceptual maps that reveal the positioning of the airlines and their attributes. Managerial implications of the empirical findings are discussed.