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As marketing knowledge and market competition increase, so too does the
need for better segmentation. Psychographics can offer greater insights
into customer behaviour, but the procedures for identifying
psychographic segments are complicated and this may be inhibiting its
use. Explores the process of identifying psychographic risk segments in
purchasers of consultancy services by taking the reader stepwise through
the necessary statistical procedures. Part 1 considers factor and
cluster analysis, while Part 2 looks at multiple discriminant analysis.
The analysis shows that three potential risk segments exist which differ
demographically and in their risk perceptions.