Targeting Multicultural Purchase and Consumption Segments in the Leather Handbag Market: Product Development and Merchandising Implications

Abstract

The purpose of this study was to segment a nationwide sample of the Korean American (n = 115) and White American (n = 139) leather handbag market for business wear. Data were collected using survey methods and analyzed using classification decision trees. Results indicated four purchase criteria (brand, handbags in wardrobe, country of origin, and organizational features) and six consumption patterns (quantity versus usage, quantity versus quality, color versus style, function versus fashion, quantity versus price, and durable versus versatile) segmented the two consumer groups. Segment characteristics indicated handbag purchase criteria of Korean Americans included brand and country of origin, whereas their handbag consumption patterns included quantity, quality, price, and a combination of durability and versatility. For White Americans, the handbag purchase criterion was organizational features, and consumption patterns included usage, color and style, quality, and durability and versatility. Implications suggest opportunities for product development and merchandise assortment planning.

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