Identifying target customers.

The authors introduce the latent class or latent structure model, a relatively new and underutilized quantitative marketing research method for marketing researchers who frequently analyze discrete choice data in connection with segmentation. They look at the advantages of choice data and discrete choice models and discuss important issues regarding segmentation. A latent class logit model is formulated and its use illustrated with a segmentation application for a database marketing program. [ABSTRACT FROM AUTHOR]