Principles of Marketing: Exam 2 Ch 6

geographic location

Gulf Coast, wholesale shrimp distributor, groups its customers by regions in the United States, such as Midwest, Northeast, and Southwest. For each region, Gulf Coast tailors a different set of advertisements and promotions. The supplier is segmenting its market according to ________

accessible

Market segments that can be effectively reached and served are said to be ________

mass marketing

Marketing the same product to a huge customer base without any customization is referred to as_______

user status segmentation

Markets can be segmented into groups of nonusers, ex-users, potential users, first-time users, and regular users of a product. This method of segmentation is called ________.

same for less

Offer similar products at much reduced prices

are easier to measure than other variables

One reason demographic variables are the most popular bases for segmenting customer groups is because they ________.

gender

P&G was among the first to use _____ segmentation when it introduced Secret, a deodorant brand specially formulated for women's chemistry

differentiated

Port Orleans Shipping markets different services to the tourism, defense, and trade segments. The firm designs separate offers for each segment based on their needs. This approach is called _____ marketing

intermarket

Producers of popular beverages often partner with global music channels to target consumers through a variety of promotional events and advertisements. This approach to marketing is referred to as _______ segmentation

more for more

Provides the most upscale product or service Charges a higher price to cover the higher costs

usage rate

Shampoo marketers segment buyers as light, medium, or heavy product users. This is an example of ________ segmentation.

increased costs

The marketing manage of Refresh Inc., a leading producer of soft drinks, is considering a differentiated marketing strategy. An important consideration is weiging increased sales against ______ before selecting this strategy.

benefit

The marketing manager at Frizzle's Eateries targets customers who are working to lose weight but who still want to dine out. The restaurant chain offers a wide variety of low-fat, low-calorie meals that appeal to dieters. Frizzles's approach is best referred to as ______ segmentation

it increases manufacturing costs

Which of the following is true about local marketing?

They are used to analyze consumer perceptions of a brand relative to competing products

Which of the following is true of perceptual positioning maps?

to simplify the buying process, consumers are likely to position products in their minds

Which of the following is true of product positioning?

more for less

Which of the following strategies is most likely to be followed by firms that position themselves as caterers of the best products at economical prices?

channel differentiation

Which of the following types of differentiation is used to gain competitive advantage through the way a firm designs its distribution coverage, expertise, and performance?

income

Which type of market segmentation is generally used by marketers who sell luxury products target to the affluent segments of a population?

point of difference

Zeal is a popular automobile brand, and its positiong statement is: "For upscale American familes who require large vehicles, Zeal is the automobile of choice." Which of the follwoing mandatory elements is missing from the positioning statement?

local

_____ marketing tailors brands and promotions to the needs and wants of specific cities, neighborhoods, and even stores

postioning

______ consists of arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers

it contains powerful suppliers who can control prices

a market segment is less attractive when

individual marketing

at the extreme, micromarketing becomes ______ insofar as products and marketing programs are tailored to the needs and preferences of customers

false

t/f: light users are often a small perentage of a company's market but account for a high percentage of total consumption

mass customization

when a company interacts one-on-one with large numbers of customers to create customer-unique value by designing products and services tailor-made to individual needs, it is engaging in _______

market segmentation, market targeting, differentiation, and positioning

which of the following is the right order of the steps that companies generally follow in designing a customer driven market strategy?

true

T/F: multivariable segmentation systems merge and analyze geographic, demographic, lifestyle, and behavioral data to help companies segment their markets.

true

T/F: while designing a customer-driven marketing strategy, marketers are likely to divide the market into smaller segments

undifferentiated marketing

Which of the following is an approach where firms target a whole market based on common consumer needs?

false

t/f: using a differentiated marketing strategy, a company is likely to design a product and a marketing program that will appeal to the largest number of buyers

image

the distinctive yellow and blue hands held high logo of a local daycare distinguished it from other establisments. The logo is prominently displayed on its building, t-shirts worn by the children, and at fundraising events. The daycare has differentiated itself through_______

concentrated strategy

the full positioning of a brand is referred to as the______

micromarketing

the practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations

market segmentation

the process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behavior

true

T/F: For market segments to be beneficial for companies, they must be measurable

True

T/F: Marketers must be careful to guard against stereotypes when using age and life cycle segmentation

true

T/F: Not all companies that use income segmentation target the affluent

false

T/F: companies today are moving away from target marketing and toward mass marketing

false

T/F: demographic variables are generally more difficult to measure than most other types of variables

false

T/F: marketers typically limit their market segmentation analysis to a single variable in order to simplify the process

image

when firms use symbols, colors, or characters to convey their personalities, they are using ______ differentation

more for the same

Attack a competitor's positioning by introducing a brand offering comparable quality at a lower price

occasion

Bakeries and coffee bistros that offer pumpkin-flavored items only during the autumn season target their consumers primarily through ________ segmentation

psychographic

Bass Pro Shops recognizes that outdoors enthusiasts are a diverse group. Likely segments incude hunters, campers, and boaters. What is this segmentation method called?

services differentiation

Companies are likely to gain ________ through speedy, convenient, or careful delivery of products.

positioning statement

Company and brand positioning should be summed up in a ________.

higher costs of doing business

Compared with undifferentiated marketing, differentiated marketing is more likely to lead to ________.

economic factors

Danko International is a multinational company that targets the BRIC countries (Brazil, Russia, India, and China) because they're fast-growing developing economies and use _____ to segment its world markets.

age and life-cycle

Delta, an American video game manufacturer, targets teens between the ages of 13 and 18, providing free game trials and applications. The firm's marketing approach exemplifies ________ segmentation.

behavioral segmentation

Dividing buyers into groups based on their knowledge, attitudes, uses, or responses to a product is called

product

Eastline, a manufacturer of outdoor patio furniture, positions its products as superior in weatherproofing and durability. This is an example of _______ differentiation.

demographic

Harry's caters to the clothing needs of men, manufacturing two different lines of fashion based on the purchasing power of its customers. One product line caters to the needs of affluent, middle-aged men, and the other line targets younger, up-and-coming professionals. Harry's most likely segments the consumer market based on ________ variables.

more for less

Household Storez, a local retail store, claims to offer better products at lower prices than other retail stores. In this case, the firm's positioning reflects a ______ value proposition

differentiable

If men and women respond dissimilarly to the marketing efforts for a root beer-flavored malt beverage, they are considered ________ market segments.

less for much less

Stores offering low-quality alternatives to luxury products at low prices most likely follow a ________ positioning strategy.

False

T/F: Cupcake gourmet, a high-end bakery in Manhattan, segments its customers according to those who frequent their store regularly, those who visit infrequently, and those who have never visited. This is an example of usage-rate segmentation

True

T/F: Demographic factors are most popular bases for segmenting customer groups

substantial

When a market segment is large or profitable enough to serve, it is termed _______

actionable

When an effective program can be designed for attracting and serving a chosen segment, the segment is best described as ________.

measurable

When the size, purchasing power, and profiles of a market segment can be determined, the market segment is said to be ______

positioning statement

Which of the following includes the target segment of a product, the category to which the product belongs, and the product's point of difference from other members in the category?

true

T/F: business and consumer marketers use many of the same variable to segment thier markets

false

t/f: the full positioning of a brand is called the unique selling propostion

knowledge of customer needs

A successful niche marketing strategy relies on a firm's ________.

undifferentiated

Although not recommended, some marketers decide to ignor market segmentation and target the whole market with one offer. This is known as _______ marketing

multiple segmentation bases

Gold Class Electricals, a consumer-electronics firm, targets market segments based on factors such as country, age, social class, usage rate, and benefits sought. The company divides its markets based on ________.

demographic

Lilly's, a furniture retailer, sells low-end furniture and accent pieces that are targeted toward a lower-income consumer groups. Lilly's most likely segments the consumer market based on ______ variables

demographic

Pediacertain Pet Supplies, a pet-food company, divides the pet market according to the pet owner's gender, occupation, income, and family life-cycle. In this case, which of the following variables has the company used for market segmentation?

Competitors cannot easily copy the difference

A brand difference is said to be preemptive if ________.

people

Argonaut Food Stores, a retail giant, hires better-skilled employees than its competitors by employing strategic recruitment practices. It also conducts highly specialized training programs for its employees. In this case, Argonaut has focused on gaing a strong competitive advantage through ______ differentiation

product differentiation

bose promises "better sound through research." This is an example of ______

psychographic

segmentation factors divide buyers into different groups based on social class, lifestyle, or personality characteristics

true

t/F: smaller companies may lack the skills and resources needed to serve larger segments

true

t/f: Target and Kohl's have opened smaller-format stores designed to fit the needs of densely packed urban neighborhoods. This is an example of geographic segmentation

true

t/f: a company or brand image should convey a product's distinctive benefits and positioning

false

t/f: a market segment with powerful suppliers controlling the prices is more attractive than a segment with less powerful suppliers

true

t/f: a more for more market offering not only offers higher quality but also gives prestige to a buyer

false

t/f: a segment is more attractive if it is easy for new competitors to enter the market

false:

t/f: cian, an automobile manufacturer, offers a new car model with features comparable to that of another popular brand. however, the Cian model is priced lower than its competitor and includes a longer warranty. Cian is most likely following a more for the same strategy

true

t/f: even if a segment has the right size and growth and is structurally attractive, a company must consider its own objectives and resources before targeting the segment

true

t/f: new communications technologies like satellite TV and social media are likely to eliminate the need for amrkets to be geographically segmented as clusters of countries

true

t/f: niche marketing offers smaller companies an opportunity to compete by focusing their limited resources on serving niches that may be unimportant to or overlooked by large companies

true

t/f: the low cost of setting up shop on the internet makes it even more profitable to serve seemingly small niches