People Innovation Excellence

ONLINE TRAVEL MARKET SEGMENTATION BASED ON BEHAVIORAL INTENTION FACTORS WITH TALC MODEL IN JAKARTA (3)

By: Weny Cheng, SE (Alumni of International Marketing) and Annetta Gunawan, SE, MM (Faculty Member of International Marketing)

Previous article: ONLINE TRAVEL MARKET SEGMENTATION BASED ON BEHAVIORAL INTENTION FACTORS WITH TALC MODEL IN JAKARTA (2)

The above classification of market segmentation is in line with the research result conducted by Khalidi (2015) in ten big cities in Indonesia concerning trend of online shopping in 2014, in which the participants were drawn randomly by age between 18-25 years old. From such research, it is found that Indonesian consumers who do online shopping are dominated by consumers between 24 and 30 years old at 33%, followed by those age of 18-23 years old at 23%, and the remaining is consumers between ​​31 and 35 years old at 20%, age of 36-40 years old at 16%, and the least is consumers between the age of 41-45 years old at 8%.

It can be said that the level of technology adoption goes linear with age, the younger the age of consumer, easier for them to accept the new technology, in this case is purchasing airline ticket online.

The implications for online airline ticket industry players is that each of the existing segment needs to get different treatment to encourage their behavioral intention in making purchase of airline ticket online.

For now, the position of this industry is in the stage of a pacemaker, whereas the mainstream market has not yet been widely touched. Thus, it requires the effort from the online airline ticket industry players to be able to jump over the chasm, as Moore (2014) explains that the chasm models represents a pattern in market development that is based on the tendency of pragmatic people to adopt new technology when they see other people like them doing the same.

Moreover, Moore in Schawbel (2011) defines crossing the chasm as where buyers are ‘pragmatists in pain’, stuck with a problem of business process and willing to take a chance on something new, provided it is directly focused on solving their specific use case. For that matter, online airline ticket industry players need to overcome the existing chasm in order to be able to reach Partaker segment, which consists of brand image, word of mouth, and perceived risk.


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