MKT 300 exam 2 ch 9

While totaling your quarterly receipts for your business, The Breakfast Bar, you note that a sizable amount of your revenue comes from selling packaged coffee beans to regular customers who come in every day for an extra-large cup of coffee togo. Your plan for the next quarter is to promote your selection of fresh roasted beans with a buy one, get one half off incentive to encourage these customers to purchase more and/or try something new. Which segmentation approach are you employing to bolster sales for the next quarter?

Behavioral

Based on sales reports and customer feedback, you have mapped five brands of toothpaste marketed by your company so that you can get a visual of how each rates with the public. Based on the positioning descriptions below, which brand is considered by consumers as the best overall value? Brand A: Low Price; Low Quality. Brand B: High Price; High Quality. Brand C: Moderate Price; Moderate Quality. Brand D: Moderate Price; High Quality. Brand E: High Price; Low Quality.

Brand D

Making soap has been your hobby for some time, but now you are contemplating turning your hobby into a small business. You use only hypoallergenic ingredients in your small batch soaps. Now sales come by word of mouth, but you plan to promote your handmade goods and sell them on one or more online outlets to people who are sensitive to the cleaning agents used in mass market soaps. Which marketing strategy will fit your newly established business? Select the best answer.

Concentrated marketing, because you will concentrate on meeting the needs of a single market segment.

Estee Foods has succeeded in the highly competitive candy market by focusing on sugar-free sweets that meet the needs of people on strict sugar-free diets, like diabetics. Estee practices which of the following strategies for reaching its target market?

Concentrated marketing.

Your large retail store sells power tools and construction supplies, and your customer base is made up primarily of home improvement contractors, subcontractors, and serious DIYers. But business has stagnated now that the housing market has seen a downturn. What can you do to boost your sales and keep your business solvent?

Consider marketing to a segment that meets the criteria for effective segmentation

Two demographic variables used when segmenting consumer markets are segmenting by age and segmenting by stage in the life cycle. Which of the following situations does not illustrate segmenting by age?

Flat-pack furniture is marketed as inexpensive and easily portable

As a marketer, you have many different tools at your disposal to gather the information necessary to develop targeted marketing programs. One of those tools is psychographic segmentation. Select the type of information below that cannot be gathered using psychographic variables.

I want to know how many children under the age of 18 live in the households of my target market

You turned on your tablet to read an online article about a Texas-based furniture retailer that reported its first gain in same-store sales in almost two years. The gains were realized in foldable tables and convertible sofas, areas specifically targeted for improvement and often preferred by apartment dwellers with limited space. The company attributes its success to having moved its stores from rural and suburban communities into Dallas-Ft. Worth, 1 of the 10 largest metropolitan areas in the United States. What significant geographic variable or combination of variables is likeliest to be responsible for this retailer's success?

Market density.

Market segmentation is used by marketers to develop the strategy they will use to present their product or service to the consumer. Select the statement below that best describes how market segmentation works.

Market segmentation groups consumers according to similarities and differences in reference to factors that influence purchase decisions

As the marketer for a new electronics firm that produces a limited number of products, you recognize that consumers are not all cut from the same cloth—many variables exist in needs and preferences. But your company cannot change its products to suit each individual consumer preference. Select the statement below that does not accurately tell how market segmentation can help your company sell its goods.

Market segmentation will help your company identify product changes that will meet all consumer preferences and needs.

XYZ Company defines its primary customer group based on demographic variables. To guide the development of its advertising, you were asked to write a description of the typical customer in that group. Just before submitting the assignment, you caught an error: one sentence is wrong because it references a variable that isn't demographic. Which sentence is wrong?

The XYZ consumer doesn't want to look her age

Darren King owns a small printing company and uses reams of print paper every month. When he goes to the wholesaler to pick up his normal paper supply, he also sees that the supplier is selling remnants of colored construction paper. Darren purchases the colored construction paper for his children to use for school projects and to make art. Select the two statements below that correctly describe Darren's purchases.

The colored construction paper from the wholesaler is a consumer product because Darren's family will use it for personal projects. The supply of print paper from the wholesaler is a business product because Darren uses it to provide a service that he sells.

Which of the following positioning strategies is inaccurately described?

To succeed with value positioning, a company must offer the lowest price.