SEGMENTING GENERATION Y CONSUMERS BASED ON GREEN PURCHASE INTENTION

Purpose- This paper aims to discover Generation Y consumer segments with different green purchase intentions that are determined byenvironmental knowledge, environmental concern, environmental attitude and price sensitivity.Methodology- A total of 260 Generation Y consumers were contacted through online questionnaires using convenience sampling. Factoranalysis and K-means clustering analysis were applied to investigate the segments.Findings- Five variables (environmental knowledge, environmental concern, environmental attitude, price sensitivity and green purchaseintention) emerged from factor analysis were used for segmenting consumers into three clusters, namely as True Greens, ModeratelyGreens and Non-Greens. True Greens give high importance to environmental protection and they are willing to pay extra for greenproducts. Moderately Greens are sensitive to environmental issues but their price sensitivity affects their green purchase intentionnegatively. Non-Greens are insensitive to environmental efforts and they do not care about buying green products.Conclusion- The results are not only useful for marketers of green products to understand different consumer segments that showsignificant variations in their green purchase intention, and approach them accordingly but also for academics working on consumerbehavior.

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