Segmenting the Business Traveler Market

In order to position products, hotel managements need to understand its customersÆ needs and wants. With the application of multivariate techniques, this study identifies segments within the business travel market based on criteria business travelers use to choose their hotels. A national usable sample of 350 business travelers, drawn from a mail survey, was analyzed to determine hotel selection criteria. The list of choice criteria was reduced by factor analysis, and the respondents were clustered into three groups based on similar important factors. Profiles of the three groups of responsdents are discussed.