Spending and Consumer Behavior of Foreign Second Home Owners in Punta del Este, Uruguay

Abstract

This chapter study and characterize the behavior of foreign second homeowners in Punta del Este, Uruguay, especially in terms of their spending. A multivariate analysis was used, based on 7.053 survey data collected from 2014 to 2019 by the Tourism Statistician Office. Agglomerative clustering was applied in search of a homogeneous group structure. The analysis identifies six homogeneous clusters that can be described using different variables, such as total expenditure, city of residence, travel group size, and days of stay. The results show that expenditure behavior, travel group composition, and trip characteristics are different among second homeowners. The individual characteristics in the groups analyzed are different; for example, the most numerous and lowest spending group, mostly uses the airport and travels in small groups. On the other hand, visitors classified in the highest spending group have longer stays and larger travel groups. These characteristics should be taken into account for the definition of management and marketing policies.