Beacon also uses cluster analysis techniques to gain segment insight. Dendrogram graphs enable us to discover how different elements in a population might be grouped. In this example of a dendrogram, media stimuli are grouped and analyzed using hierarchical cluster analysis.
The diagram shows that there are 3 distinct clusters of media – a "new media" cluster, an "events/sales/recommendation" cluster, and a "print and online articles" cluster. This in-depth analysis demonstrates how using different combinations of media stimuli can be employed to obtain greatest media efficiency.