ch 4
which of the following allow marketers to provide superior value to a group of potential customers?
- cluster analysis -CRM - segmentation
a marketing manager developing a market segmentation approach would want to have market segments with which of the following qualities
- dimensions that help decide a marketing mix - dimensions that identify customers - sizes big enough for the firm to make a profit
on a hot summer day, a customer is interested in "staying cool" might consider which of the following products to meet this generic need?
- fan - aircon - swimming pool
which of the following are marketing processes used by combiners
- grouping similar customers across multiple submarkets into a single target market - developing a marketing mix that appeals fairly well to customers across multiple submarkets
a successful product-market definition will
- help to focus and sharpen a firm's marketing strategy - define the scope of the market in which the firm will compete
in regards to positioning, a marketing manager should understand which of the following?
- how he or she wants customers to think about the firm's marketing mix - how customers think about brands in a market
disaggregating during the naming of a broad product market includes which of the following?
- identifying potentially profitable product-markets given the firm's resources and experience - dividing customer needs into generic markets and product-markets
the major product benefit described in a positioning statement should be
- important to the target market - unique to the brand
examples of determining dimensions when segmenting a market for customers looking to purchase a vehicle could include
- level of safety - performance - appearance
which of the following are reasons that many marketing managers don't do a good job with market segmentation?
- manager is unclear where to start - manager doesnt know how to fit the ideas together
which of the following are ethical issues that may arise when selecting segmenting dimensions?
- marketing unhealthy foods to kids - marketing infant formula to less-developed countries - targeting the disadvantaged with expensive goods
the market segmentation process consists of which of the following?
- naming broad product markets - segmenting broad product markets into select target markets
which of the following factors determine which marketing approach a firm should use?
- nature of competition - firm's resources - customer similarities
which of the following are potential benefits to using the segmenter approach?
- reduced competition - greater sales - higher profits
cultural differences that may complicate the segmenting process include which of the following?
- religion - customs - race
which of the following are qualities of "good" market segments?
- the dimensions used to define the marketing segment help identify potential customers and effective marketing mix variables - customers within a market segment have similar characteristics and response to marketing mix variable - customers in different market segments have significant differences in characteristics and responses to marketing mix variables - the market segment is broad enough to be profitable for the firm
adding the step of segmenting by country or region for international marketing efforts has which of the following effects on the segmentation process?
-helps identify regional markets - helps identify national markets - identifies sub-markets that are similar
which of the following might be revealed by clustering techniques?
-past buying behavior - demographic characteristics - attitudes toward the product
when choosing segmenting dimensions to target, a marketing manager must consider
-views of various social groups - potential for negative publicity - his or her own view
given step 1 (select the broad product-market), list in order, the remaining elements of the seven-step approach to segmenting product-markets
1. identify potential customers' needs 2. form initial homogeneous submarkets 3. identify determining dimensions 4. name the possible product-markets 5. evaluate product-market segment behaviors 6. estimate the size of each product-market segment
data of a customer's last oil change is an example of information that can be gathered by an auto repair garage and used from a detailed database using ____ methods
CRM
true or false: it is usually safer for marketers to try to satisfy many customers fairly well
FALSE *safer to pursue segmenter approach and try to satisfy SOME customers VERY well
customers in different market segments are considered ____ when there are significant differences between their segmenting dimensions and responses to mix marketing variables
HETEROGENEOUS!!!!
complex segmenting techniques often require
a computer
segmentation involves clustering people with similar needs; this is a(n) ____ process
aggregating
which segmenting dimensions are the most important in marketing planning, qualifying dimensions or determining dimensions?
both qualifying and determining dimensions are important in marketing planning
when attempting to identify potential customers' needs for segmenting product-markets, ____ is a recommended technique
brainstorming
a significant challenge for marketing managers is deciding how ____ to define a market
broadly
purchasing methods, type of buying situation, and type of customer are all dimensions used to segment a(n) ____ market
business
grouping customers with similar segmenting dimensions into a single homogeneous segment is known as
clustering
positioning analysis helps a firm decide whether to ____ or ____ a market
combine or segment
a ____ target market approach may require less investment than developing different mixes
combined
applying the same marketing strategy across multiple submarkets is the basis of the ____ target market approach
combined
positioning analysis helps managers to determine if they can make several general appeals to different parts of a "____" market
combined
trying to increase the size of their markets by putting two or more segments together is a typical practice performed by
combiners
the apple iphone meets a target market's needs for a simple to use and versatile smartphone. by differentiating the iphone and meeting its target market's needs better than its competition, apple has built a
competitive advantage
when ____ is achieved through differentiation, target customers view products of a firm as uniquely suited to their preferences and needs
competitive advantage
firms often turn to ____-aided methods for help with segmentation
computer
a marketing manager attempting to segment a market using two demographic characteristics is likely to fail because
customer behavior cannot be explained using such narrow segmenting criteria
CRM or ____, allows marketers to fine tune their efforts using data from a detailed customer database
customer relationship management
one primary benefit to greater disaggregation in a market is that
customers needs are satisfied more exactly
a segmenting dimension that influences a customer's decision to purchase a specific brand or product is also known as a ____ dimension
determining
side-impact airbags may influence a customer to purchase a specific vehicle when safety is a ____ dimension
determining
when segmenting product-markets, the name (nickname) for each segment should be based on the relative importance of the ____ dimensions (and aided by your description of the customer type)
determining
fun is an example of a(n) ____ benefit that a customer might require from a product
emotional
in the last step of the seven-step process, a rough ____ of the size of each product-market segment can provide a basis for later forecasting and marketing mix planning
estimate
marketing unhealthy snack foods to kids is considered a(n) ____ that may arise during the segmenting process
ethical
true or false: generic markets focus primarily on product type
false
segmenters often ____ their marketing mixes for each target market
fine-tune
nourishing is an example of a basic ____ benefit that a product might provide
functional
a ____ market consists of customers with generally similar needs and many different options for satisfying them
generic
exercise enthusiasts are a broadly defined market who might purchase an exercise bike, health club membership, or workout apparel to satisfy their needs. this is an example of what kind of market?
generic
when a marketing manager thinks about the needs customers want satisfied, rather than how one product beats another, this marketing manager is looking more broadly at the ____ market
generic
a market description that does not include any product-type terms is a(n)
generic market description
a complete product-market definition includes product type, customer needs, customer types, and ____
geographic area
if a firm decides that it will offer its products in the north american maket, it has defined the ____ of its marketing strategy
geographic area
customers in different market segments are considered ____ when there are significant differences between their segmenting dimensions and responses to marketing mix variables
heterogeneous
when customers in different segments differ in their response to marketing mix variables, the segments are
heterogeneous
a common response by firms to the lack of critical data in international markets is to
hire natives to handle local operations
according to the criteria for good market segments, customers within a single market segment should be ____, while customers in different market segments should be ____.
homogeneous heterogeneous
the criteria for broad product-market segmentation include which of the following?
homogeneous segments heterogeneous segments * substantial *operational
because no single firm can meet every possible customer need, firms must ____ during the disaggregating step
identify broad product markets where the firm can operate profitably
when successful segmenters provide superior value and satisfy customers, they
increase the profit potential of the firm
which of the following statements about defining the geographic area in marketing is true?
it can lead to new opportunities
a ____ is defined as a group of potential customers with similar needs
market
positioning analysis helps managers understand how customers see their
market
explicitly stating that a firm will market to business customers rather than unaffiliated consumers is an important aspect of a manager's ____ since this clearly establishes the markets in which the firm will compete
market definition
what type of marketing strategy is hallmark employing when it encourages customers to capture memories and express their feelings?
market-oriented
when forming submarkets (segments), aggregate customers that might be satisfied with the same _____ into the same segment
marketing mix
the main outcome of the seven-step approach to segmenting product-markets is to be able to outline the kinds of ____ that would appeal to the various markets
marketing mixes
which of the following is not a potential benefit of the segmenter approach?
marketing mixes appeal to multiple target markets
in regards to positioning maps, consumer perceptions ____ product characteristics
may be different from
the ____ target market approach requires choosing two or more marketing segments and applying a different marketing mix to each
multiple
when narrowing the market, ____ looks at basic differences in needs where ____ looks for similarities
naming segmentation
when defining product markets, customer needs describe:
needs the product satisfies
which of the following statements about submarkets is true?
not all submarkets within a broad product-market will be influenced by the same set of dimensions
a weakness of positioning analysis is that it can
overlook customer-related dimensions like needs and attitudes
the segmentation process begins with the idea that
people with certain shared characteristics can be grouped together into a single product market
the segmentation process begins with the idea that
people with certain shared characteristics can be grouped together into a single product-market
a ____ statement provides an exact picture of the firm's product offerings, target market, and differentiation strategy
positioning
in a market where customers consider competitors to be very similar, it is important to understand ____, which refers to how customers feel or think about various brands
positioning
the way in which customers think about brands in a market is called
positioning
a ____ market consists of customers with very similar needs and sellers offering a number of closely related ways of satisfying those needs
product
a customer who is hungry and decides to satisfy the need with a fast-food meal at mcdonald's burger king, or wendy's is part of a(n) ____ market
product
a group of potential customers with similar requirements who are choosing between a number of closely related products are part of a ____ market
product
positioning analysis is a ____ oriented approach that focuses on the features of the good
product
positioning analysis is a ____-oriented approach
product
production-oriented marketing focuses on the ____ and not the ___
product customer
____ describes the goods and services that customers want
product type
a product market and a generic market definition do not share the ____ as part of the definition
product type
the most significant factor in determining whether to segment or combine markets is
profit
an example of a ____ dimension of a customer wishing to purchase a vehicle could be the consumer's income level
qualifying
the "core benefits" required by all consumers in a product-market are identified by the ____ dimensions
qualifying
what type of segmenting dimensions involves whether a customer can be considered part of a product-market?
qualifying
it is important for firms to seek opportunities that align with the company's ____ and ____ when defining a market
resources objectives
A market _____ is a group of customers with similar needs who will have a similar response to a marketing mix.
segment
which of the following steps is commonly added to the segmentation process by international firms
segment by country or region
Many managers initial efforts at segmentation do not work out because they often
segment the market too narrowly, using just a few demographic characteristics
by serving a specific group of consumers who wanted an office chair that provides both good support and looks good, the herman miller company capitalized on the ____ approach to marketing.
segmenter
if a company is already successful in a particular product-market, its current position might be a good starting point for ____ product-markets
segmenting
moodiness as a trait is not likely to have practical operational use a ____ dimension
segmenting
what is the first stage of the seven-step approach to segmenting product-markets?
select the broad product-market
when forming submarkets (segments), people whose needs are ____ the needs of the first group should be included with that submarket
similar to
selecting one homogeneous market segment as the firm's target market is called the ____ target market approach
single
an important role of marketing managers is to get the firm to focus on ____ target markets
specific
some competitive offers are more successful than other offers because different segments may have similar, but slightly different, needs. when this happens the marketing manager should ____ the segments
split and rename
adding an additional step to the marketing segmentation process for international markets aids in identifying regional or national ____ that are fairly similar
submarkets
because product-markets can have many ____, marketers must choose between several possible target markets
submarkets
which of the following is the correct definition of customer type?
the expected end user of a product type, regardless of who purchases the product
for a busy person choosing between various breakfast options, a determining dimension might be whether
the food can be eaten "on the go"
procter & gamble utilizes a segmenter approach to marketing, with separate marketing mixes for different target markets. They are successful in part because
they are a large firm with significant resources
an ideal product-market description should include ____ customer dimensions plus one product type description
three
true or false: another name for positioning techniques is perceptual mapping
true
true or false: strategy planning is a narrowing-down process
true
which of the following is not considered a possible segmenting dimension for consumer markets
vendor bids * behavioral, geographic, demographic
