Segmenting And Profiling South African Minibus Taxi Commuters: A Factor-Cluster-Tabulation Analysis Approach

Abstract

Privately-owned minibus taxis provide public transportation to 65% of South African households. However, relatively little is known about the characteristics and expectations of these commuters. This research identified the underlying dimensions of minibus taxi commuters’ expectations, documented market segments based on these dimensions and reports the differences between the segments with respect to their demographic and behavioral characteristics. Following a factor-cluster-tabulation analysis, three sets of expectations, namely, safety, suitability and substantiality and three segments, namely, anxious users, concerned users and apprehensive users were identified. This study showed that expectations, a less common segmentation base, is effective in dividing the market and provides knowledge of consumer identification that can serve as a source of better customer service.