MKT 304 CH7

Segmenting markets means that a company is ________.

dividing the market into meaningful smaller markets based on common characteristics

The local sandwich shop has always sold calorie-laden sandwiches and recently introduced six new sandwiches featuring vegetables and lower-calorie meats and cheeses to appeal to health-conscious customers. What strategy is the sandwich shop pursuing?

repositioning

A marketing manager using VALS is interested in ________ segmentation.

psychographic

Social class has declined as a method of segmentation as a result of ________.

readily available credit flattening the classes

The ________ race and ethnicity market segment is about 12 percent of the U.S. population and is not growing rapidly.

African - american

At about 17 percent of the U.S. population, ________ remain the largest minority group.

Hispanics/Latinos

Which of the following statements is TRUE of the baby boomers generational group?

The baby boomers think that they don't age

________ segmentation divides customers into groups according to similarities in benefits sought or product usage patterns.

behavioral

In the 1970s, Michelob beer changed its advertising messages frequently and saw sales plummet. Slogans like "Weekends were made for Michelob," "Put a little weekend into your weekday," and "Special times deserve a special beer" had consumers checking their calendars to find the right time to drink a Michelob. Michelob was suffering from the positioning error of ________.

confused positioning

When a company tries to make the product or service significantly easier to obtain than the competition, it is trying to achieve ________ leadership as a source of differentiation.

convenience

Positioning relies on the communication of one or more sources of value to customers in a way that the customer can easily make the connection between the ________.

customer's needs and wants and what the product has to offer

Primary target markets differ from secondary and tertiary target markets by the ________.

expected level of ROI derived from the market

Cateleya was born in 2001. She is a member of ________.

generation Z

A marketing manager using the database called PRIZM is interested in ________ segmentation.

geodemographic

The region, the density of the population, and the size of the population are various approaches to use in ________.

geographic segmentation

Demographic segmentation is best described as using characteristics of ________ to segment the market.

human populations

Michael believes that the only motorcycle anyone should ever buy is a Harley-Davidson. Whenever he sees the Harley Davidson logo on a product, he knows that product is a leader in the market. What source of differentiation has Harley Davidson achieved?

image

Which of the following questions about market segmentation relates to creation and execution of different marketing strategies to the different submarkets identified?

is the segment clearly differentiated on one or more important dimensions when communicating the value of the product?

Which of the following statements is TRUE of income segmentation?

it is usually analyzed in incremental ranges

In analyzing the attractiveness of market segments, which of the following is NOT one of the most important variables?

location of the segment

________ segmentation recognizes that there may be a number of consistent needs and wants demonstrated by consumers based on what type of job they have.

occupational

NovoTech Inc. is a manufacturer of PCs, and most of its revenue is generated by selling PCs to consumers. However, the company is struggling to extend the brand into other lucrative product lines such as tablets and smartphones. In this scenario, NovoTech is suffering from the error of ________.

overpositioning

When a company only hires employees who are competent, reliable, courteous, credible, responsive, and able to communicate clearly, it achieves ________ leadership as a source of differentiation.

personnel

Millie prefers to stay at the Omni Hotel rather than the Embassy Suites because she knows the Omni provides high-end bedding, luxurious robes and toiletry products for every customer. What differentiation factor is affecting Millie's decision?

service

Concentrated target marketing is often used by ________.

start-up firms to enter a market as a focus player

Which of the following is one of the basic principles behind segmentation?

subgroups will be smaller and more homogeneous than the overall market

At one time, specialized companies catered to markets segmented by race. Today ________.

the segments have become targets of mainstream businesses that offer specialized products

HerboCare, a company that sells herbal soaps, has failed to increase its sales, as consumers could not understand how soaps made by HerboCare were different or better than other herbal soaps available in the market. In this scenario, HerboCare is suffering from the positioning error of ________.

underpositioning

Companies sometimes pick a one-market strategy. This marketing approach is called ________.

undifferentiated target marketing

Advertisements with messages like "Orange juice—It's not just for breakfast anymore!" or "Soup can be a delicious way to start a cold winter's day" are using ________ segmentation.

usage patterns