Chapter 2 Marketing Communications

The more marketers segment the market, the less _______

precise is their understanding of it. Fewer consumers there are in each segment.

A characteristic of undifferentiated marketing is that it _____.

prevents firms from offering variants of a product to different markets.

Shop Unicorn positions itself as a chain of department stores that provides good value. This is an example of positioning by _______.

price or quality.

Components of the marketing process

1.

The market segmentation process is a key part of the _____ analysis.

situation

Which of the following make up the phase of selecting a target market that follows segmentation analysis?

(1) determining how many segments to enter and (2) determining which segments offer the most potential.

Market process

1. Marketing strategy and analysis 2. Target marketing process 3. Marketing planning program development 4. Promotion to target market

The 80-20 rule, which is often used by industrial marketers, states that _____.

20 percent of buyers account for 80 percent of sales volume.

What are market opportunities?

Areas where a company can compete effectively, areas where the demand trends are favorable, areas where a company believes customer needs are not being satisfied.

A ____ ____ is best described as something distinctive or unique a firm does or has that gives it an edge over its rivals in the industry.

Competitive Advantage

When a firm entirely focuses on one market segment and tries to capture a large share of this market, it is using a _____ strategy.

Concentrated marketing

Repositioning is easy to accomplish because customers' perceptions about and attitudes toward a product or brand are highly flexible.

False

Which of the following statement about brand equity are true?

It gives a firm a competitive advantage and it is often reinforced through advertising.

Which of the following must the packaging of a product do in addition to attracting and holding a consumer's attention?

It should divulge its content and composition, satisfy any legal requirements regarding disclosure, provide information about how to use the product.

Promotion from the marketing mix

Play an important role in convincing channel members to carry a product, the marketing planning program development includes promotional decisions.

Marketers use ___ to divide the market on the basis of personality, lifecycles, and/or lifestyles.

Psychographic segmentation

Factors such as product quality, competition, and advertising all interact in determining what price a firm can and should charge.

True

Opportunity analysis of a marketplace leads to alternative market opportunities for existing product lines in current or new markets, new products for current markets, or new products for new markets.

True

Ian Bakers Inc. Ignores the specific preferences of customers and offers only chocolate-flavored cookies to its entire target market. This is an example of _______ marketing.

Undifferentiated

marketing process of an organization begins with the development of

a marketing strategy

When Arrow Automobiles launched its first hybrid car, its advertisements highlighted the fact that the car was fuel efficient. Customers focused on this feature for making a purchase decision. It was

a salient attribute

Which of the following is a characteristic of an undifferentiated marketing strategy?

allows a firm to offer a standardized product, which saves the firm money.

whiteBerry Food inc. uses different pricing and packaging strategies to sell its products depending on consumers loyalty. It offers larger quantities at lower prices to customers who do not switch brands frequently. However, for customers who like trying different brands, the firm offers smaller packages at slightly higher prices. The firm has categorized its customers based on _____.

behavioristic segmentation

When consumers in a market are divided on the basis of the specific features they seek in product, it is known as ______.

benefit segmentation

An intangible asset of added value that stems from the favorable image, impressions of differentiation, and/or the strength of consumer attachment to a company name, brand name, or trademark is known as _____.

brand equity.

Combination of name, logo, symbols, design, packaging, and image of associations held by consumers

brand identity

Watch Lander, a major wristwatch manufacturer, promotes its products to customers by describing the advantages of owning its watches over those of a rival brand. This market positioning strategy focuses on the ______.

competition

Positioning a product against other products within the same product category is known as positioning by ______.

competitor

When rental car agency Avis positioned itself against Industry leader Hertz and advertised, "We're number two, so we try harder," Avis was positioning by

competitor

From an integrated marketing communications (IMC) perspective, a firm's pricing decisions involve ______.

considering the demand factors

Premium brands positioned at the high end of the market use the positioning approach in which ________.

cost is less important than the benefits derived from using the brand.

Alps Cream Inc. sells its cheese in triangular blue boxes, which it has patented. This has made locating the product in supermarkets much easier. This is an example of using packaging to _____

create a distinctive brand image and identity, make a favorable first impression

Using a logo, figure, or mascot to identify a brand or differentiate it from other brands is known as positioning by ______.

cultural symbols

LifeThings Inc., a magazine publisher, excusively promotes its magazine "Pink Tales" to target women and its magazine "Man Kind" to target men. This segmentation is an example of ____.

demographic segmentation

Wiz Talks Inc., a telecommunication company, offers a range of tariff plans for various customers based on their age, occupation, location, Internet usage, and so forth. This is an example of _____ marketing.

differentiated

Which of the following marketing strategies involves marketing in a number of market segments by developing separate marketing strategies for each?

differentiated marketing

Breeze Inc., an apparel company, sells its products through a webiste owned and maintained by the company itself. When customers place an order, the order gets processed at the company's warehouse, eliminating the hassles of interacting with an independent wholesalers or distributors. This is an example of ____

direct channel

when a company sells through direct channels, it _____

does not us e any channel intermediaries

To ensure that price decisions support the integrated marketing communication (IMC), a marketing manager should _____.

est price level, developing pricing policies, and monitoring competitors' and consumers' reactions to prices in the marketplace.

After deciding the number of market segments to enter, the second step in selecting a market involves ______.

figuring out which segment is the most attractive.

Market segmentation bases on units, such as nations, states, counties, or even neighborhoods, is known as ______.

geographic segmentation

Four basic steps of the target marketing process

identifying markets with unfulfilled needs, segmenting the market, targeting specific segments, and positioning one's product or service through marketing strategies.

When planning its marketing program, a firm should ______.

include promotion both to the trade and to its ultimate customers.

AF Electronics Inc. distributes its products to wholesale trade agents. The agents resell the products to retailers, such as specialty stores and hypermarkets, where the final consumers make their purchase. This is an example of ____

indirect channel

A company is most likely to use a pull strategy over push strategy when_____.

its products are very popular among consumers.

Segregating a market into separate groups that have common needs and will respond similarly to a marketing action is known as ____ ____.

market segmentation

The sets of interdependent organizations involved in the process of making a product or service available for use or consumption are known as _____ ______.

marketing channels

To ensure that the four Ps of the marketing mix work together successfully, development of a ______ is crucial.

marketing plan.

According to Jack Trout, ______ relates to the image of the product and or brand in contrast to competing products or brands.

positioning

Carl's Jr. has television commercials that feature sexy women eating large, juicy hamburgers in order to attract a younger male audience and to set itself apart from its competitors. This strategy is known as:

positioning

Positioning a product or brand by pointing out the specific characteristics and advantages that make it different from the competition is known as positioning by ______.

product attributes and benefits.

Positioning a product or brand against a different product category is best described as positioning by _______.

product class

Purchasing a luxury car more for its social and psychological meaning and image than its actual functionality is an example of ______.

product symbolism

An advertisement for an energy drink shows a group of cyclists endorsing the product. This is an example of positioning by ______.

product user

Communicating a specific image for a brand by associating it with a specific consumer group is known as positioning by ______.

product user.

A popular automobile company claims that it makes SUVs for people who are interested in traveling and are looking for an adventure. This is an example of ____.

psychographic segmentation

The process of altering or changing a product's or brand's position is known as _____.

repositioning

Identifying target markets involves identifying consumers with ____

similar lifestyles and needs

A detailed assessment of the present marketing conditions facing an organization, its product lines, or its individual brands is known as ________.

situation analysis

A ____ _____ plan is usually derived from an organization's broad corporate strategy and used to facilitate the development of specific marketing programs and policies.

strategic marketing

After a thorough opportunity and competitive analysis of the apparel industry, Sarah, an entrepreneur, realizes that her business would be highly profitable if she focuses on the clothing needs of pregnant women and new moms. Hence, she plans her product, pricing, promotion, and distribution to suit this market. From Sarah's perspective, this market is her ____.

target market

The marketing process of an organization begins with the development of______.

the market strategy

Companies tend to use a push strategy when

they have favorable channel relationships

In a promotional push strategy, a company is most likely to use _______ to interest wholesalers and retailers and motivate them to purchase its products to resell to their customers.

trade advertising

While the price of a product is discussed in terms of the dollar amount exchanged for it, its cost to the consumer includes time, mental activity, and behavioral effort.

true

When companies distribute their products through indirect channels, they

use a network of wholesalers and/or retailers

Relaying a particular image for a brand by emphasizing a particular function is referred to as positioning by ______.

use or application.