Using behavioral data, two alternative segmentation methodologies, regression and cluster analysis, were compared on the basis of rigor, reliability, parsimony, interpretability and strategic implications for retailers. Regression analysis is the preferred methodology on all comparative performance measures. In addition, both psychographic and demographic descriptor variables make substantial contributions to the analysis of consumer shopping activities across retailers. Finally, the analysis reported here demonstrates high levels of cross-shopping, both within and across competitive retail sectors. The overall results lead to important strategic and tactical implications for apparel retailers.
The need to monitor market changes, competitive activities and own performance is satisfied with a measurement procedure based upon consumer attitudes. In addition to being simple and inexpensive to administer, the procedure demonstrates reliability, validity, and discrimination. Penetrating questions about store patronage can be answered with the use of this procedure.The study reported here has depended upon a measurement procedure in which validity and discrimination can be demonstrated. To fully appreciate this evidence, however, it is necessary to know the background and development of the market under study. A historical summary will be provided followed by a description and evaluation of the measurement procedure. In addition, this paper will illustrate three penetrating analyses of the data.