Benefits sought from the experience

What motivates people to purchase a product or service? What do they hope to gain from this purchase? What benefits are they seeking from the experience? Benefits segmentation looks at the reasons why people buy specific products and services, and it is fundamental to tourism and hospitality because of the need to know what people value from their experiences.

Do holiday makers value ‘total relaxation’ and ‘authentic experiences’ from their holidays? Do business travellers value seamless service, speed of service processes, access to wireless technology and so on? It is important for organisations to identify the fundamental benefits that specific user groups value so that they can ensure their product or service is able to meet these value requirements.

Benefits segmentation also seeks to divide the consumer market based on the values which lie at the heart of the consumption experience.

These may be defined in any number of different ways: ‘ultimate luxury’, ‘paradise’, ‘total pampering’, ‘cheapest flights’ are all ways of defining tourism and hospitality benefits.

In addition to these general benefits, consumers may be divided into segments based on the benefits sought from specific features of a certain product or service and the way in which the service is delivered. Take for example transport service providers such as airline, ferry or train companies. An important benefit for business and leisure users might include the timing and punctuality of the services. A transport provider may therefore seek to target the segment of the market that deems punctuality and timing as important benefits of the service delivery.