Consumer segmentation based on Thai silk and silk productsusing k-means cluster analysis

Abstract

Silk weaving is a folk craft passed down from generation to generation – part of Thai region’s cultural heritage. It has also been significant in the local economy for centuries. Thai silk has also been recognized international for its beauty and unique characteristics, so that some consider it the best silk in the world. This paper aimed to 1) study factors influencing consumer decisions to buy Thai silk and silk products, and 2) segment the consumers according to their purchasing behaviors on marketing mix strategies. A structured questionnaire gathered information from 312 across the country. Factor analysis revealed that there were six criteria influencing consumer behaviors on Thai silk and Thai silk products i.e.ease of buying, product charm, publicity, easy access, product characteristics and sales promotion.k-means cluster analysis was used to segment consumer behavior, based towards their views on those six criteria; it indicated that there were two major consumer decision-making styles -“taste-oriented” and“convenience–seeking”.  Finally, practical implications and strategies for policy makers and businesses i.e. product development, target market, coverage and value-added strategies were then proposed and discussed.