Marketing 350 ch. 7

Although most producers of tablets market their devices to adults, Amazon has spotted a smaller tablet market. Feedback from parents suggested that they were handing their entertainment-packed Kindle Fire tablet over to their young children for entertainment, education, and babysitting purposes. Amazon introduced FreeTime Unlimited, a multimedia subscription service targeting toward three to eight year olds. This strategy employs which base for segmentation a. gender segmentation b. age and life cycle demographic segmentation c. ethnicity segmentation d. education segmentation e. income segmentation

age and life-cycle demographic segmentation

There are many ways to segment a market, but not all segmentation strategies are effective. To be useful, market segments must meet four requirements. Which one of the following is an undesirable quality for segmenting markets? a. be standardized b. able to be differentiated c. have measurability d. be accessible e. be actionable

be standardized

Crest toothpaste does not segment the market by geography or gender, but it divided it by the features and outcomes buyers expect from their toothpaste such as whitening, cavity-fighting, or breath-freshening qualities. What approach is Crest using to segment the market? a. psychographic segmentation b. user status segmentation c. occasion segmentation d. benefit segmentation e. brand loyalty segmentation

benefit segmentation

_____ is gained by offering greater customer value, either by having lower prices or by providing more benefits that justify higher prices a. product position b. a positioning statement c. a value proposition d. competitive advantage

competitive advantage

Modern communication technologies enable consumers to connect across many of the traditional segmentation bases. Increasingly, firms will employ _____ segmentation in the international market to form segments of consumers who have similar need and buying behaviors, even though they are located in different countries. a. economic b. cross-market c. political and legal d. cultural e. geographic

cross-market

One of the most popular bases for segmentation is _____ segmentation because consumer needs, wants, and usage rates often vary closely with these variables. Additionally, they are easier to measure than most other types of variables. Often when marketers first define segments using other bases, such as benefits sough or behavior, they often rely on this base of segmentation to assess the size of the target market and reach it efficiently a. income b. demographic c. psychographic d. behavioral e. benefit

demographic

________, which divides the market into segments based on variables such as age, life-cycle stage, and gender, is the most commonly used approach to segmenting consumer markets a. psychographic segmentation b. micromarketing c. behavioral segmentation d. niche marketing e. demographic segmentation

demographic segmentation

A cosmetics firm selects seven different segments to target with five different brands and product lines. The firm has embraced which target strategy? a. concentrated marketing b. niche marketing c. mass marketing d. differentiated marketing e. micromarketing

differentiated marketing

What is another name for segmented marketing? a. differentiated marketing b. undifferentiated marketing c. concentrated marketing d. cross-market marketing

differentiated marketing

Which term refers to distinguishing the market offering to create superior customer value? a. differentiation b. positioning c. market segmentation d. market targeting

differentiation

There are four steps in designing a customer-driven marketing strategy. The second two, _______ and ______, deal with how the firm decides on the value proposition for the markets and how it will create value for the chosen markets a. positioning; targeting b. differentiation; targeting c. positioning; segmentation d. differentiation; positioning e. differentiation; segmentation

differentiation; positioning

Which of the following described market targeting? a. dividing a market into smaller segments or buyers with distinct needs, characteristics, or behaviors that might require separate marketing strategies or mixes b. arranging a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers c. differentiating the market offering to create superior customer value d. evaluating each market segment's attractiveness and selecting one or more segments to enter

evaluating each market segment's attractiveness and selecting one or more segments to enter

A grocery chain decides to divide the market into urban, suburban. and rural markets and then direct efforts towards the suburban segments first and eventually move into urban areas. The grocer is employing what type of segmentation? a. psychographic b. behavioral c. demographic d. geographic e. usage

geographic

______ segmentation divides a market into nations, states, regions, counties, cities, or even neighborhoods a. age and life-cycle b. gender c. geographic d. demographic

geographic

Even when competing offers look the same, buyers might perceive a difference based on company or brand _____ differentiation. A company's or brand's identity should convey a product's distinctive benefits and positioning derived through creativity and hard work a. channel b. people c. product d. services e. image

image

______ is tailoring products and marketing programs to the needs and preferences of individual customers a. concentrated marketing b. undifferentiated marketing c. individual marketing d. local marketing

individual marketing

The segmenting of consumers who have similar needs and buying behaviors even though they are located in different countries is known as _____ segmentation a. intermarket b. gender c. age and life-cycle d. benefit

intermarket

The department store chain Macy's has rolled out a localization program called "My Macy's" in which merchandise is customized under 69 geographical districts. Due to climate and taste differences, the firm markets brands and promotions specifically to the needs and wants of local customer groups. Which marketing strategy is this? a. individual marketing b. mass customization c. micromarketing d. niche marketing e. local marketing

local marketing

_____ refers to tailoring brands and marketing to the needs and wants of local customer segments - cities, neighborhoods, and even specific stores a. individual marketing b. local marketing c. concentrated marketing d. undifferentiated marketing

local marketing

In the four-step process used to design a customer-driven marketing strategy, which step involves dividing the market into smaller segments of buyers with distinct needs, characteristics, or behaviors that might require separate marketing strategies or mixes? a. positioning b. market segmentation c. mass marketing d. differentiation e. targeting

market segmentation

There are four steps in designing a customer-driven marketing strategy, The first two, _____ and ______, deal with selection of the customer the firm choose to serve a. market segmentation; differentiation b. targeting; differentiation c. targeting; positioning d. market segmentation; positioning e. market segmentation; targeting

market segmentation; targeting

_____ involves evaluating each market segment's attractiveness and selecting one or more segments to enter a. positioning b. market segmentation c. market targeting d. differentiation

market targeting

Traditionally, marketing was not focused on specific buyers but marketers were scattering their marketing efforts though _____, which is more of a "shotgun" approach a. market segmentation b. differentiation c. mass marketing d. target marketing e. positioning

mass marketing

After market segmentation, the firm next will decide on which segment to target. Targeting can be carried out at several different levels ranging from mass marketing, which is very broad, to ______, which is very narrow a. concentrated marketing b. individual marketing c. local marketing d. micromarketing e. differentiated marketing

micromarketing

_____ refers to tailoring products and marketing programs to the needs and wants of specific individuals and customer segments a. concentrated marketing b. local marketing c. micromarketing d. individual marketing

micromarketing

One of the most frequently used systems is _____, which can break down markets by zip codes and will classify households into lifestyle segments. An example of a lifestyle segment is Sports Utility Families. a. values, attitudes, lifestyles (VALS) b. neilsen c. mosaic d. Experian e. attitudes, interests, opinions (AIO)

mosaic

Marketers use which type of segmentation to help increase product usage? This type of segmentation groups buyers according the situations under which they get the idea to buy, actually make their purchases, or use the purchased items. a. user status segmentation b. usage rate segmentation c. loyalty segmentation d. benefit segmentation e. occasion segmentation

occasion segmentation

_____ is an example of psychographic segmentation a. personality b. population density c. generation d. user status

personality

The final step in implementing a market-driven strategy is ______, which 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 a. market segmentation b. differentiation c. socially responsible target marketing d. positioning e. geographic segmentation

positioning

A _____ illustrates consumer views of brands versus those of competing products on important buying dimensions a. market segment b. positioning map c. competitive advantage d. target market e. unique selling proposition

positioning map

A _______ is a statement that summarizes company or brand positioning using this form: To (target segment and needs) our (brand) is (concept) that (point of difference) a. positioning statement b. product position c. competitive advantage d. value proposition

positioning statement

The ____ is the way a product is defined by consumers or the place the product occupies in consumers' minds relative to competing products. Products are made in factories but brand happen in the minds of consumers. a. perceptual positioning map b. market segmentation c. product position d. target market e. competitive advantage

product position

______ is defined by consumers on important attributes - the place the product occupies in consumers' minds relative to competing products a. positioning statement b. competitive advantage c. value proposition d. product position

product position

Cruise ships and companies in the travel industry often divide the market into segments according social class, lifestyle, or personality characteristics, which is also known as what type of segmentation? a. geographic segmentation b. occasion c. age and life-cycle segmentation d. behavioral e. psychographic

psychographic

____ divides the market into different segments based on social class, lifestyle, or personality characteristics a. gender segmentation b. geographic segmentation c. psychographic segmentation d. age and life-cycle segmentation

psychographic segmentation

______ divides buyers into different segments based on social class, lifestyle, or personality characteristics. a. cross-market segmentation b. behavioral segmentation c. undifferentiated marketing d. benefit segmentation e. psychographic segmentation

psychographic segmentation

Business buyers can be segmented geographically, demographically based on industry or company size, or by benefits sought, user status, usage rate, and loyalty status. However, business marketers also use some additional variables such as operating characteristics, personal characteristics, and what other factors? a. age and life-cycle b. occasion c. user status d. life-stage e. purchasing approaches and situational factors

purchasing approaches and situational factors

The first step in creating a market-driven strategy is _____, which involves dividing a market into small segments of buyers with distinct needs, characteristics, or behaviors that might require separate marketing strategies or mixes. a. market targeting b. differentiation c. specifying a value proposition d. segmentation e. positioning

segmentation

Occasion segmentation involves dividing a market into _____ a. segments according to times when buyers get the idea to buy, actually make their purchase, or use the purchased item b. segments based on consumer knowledge, attitudes, uses, or responses to a product c. different income segments d. different segments based on social class, lifestyle, or personality characteristics

segments according to times when buyers get the idea to buy, actually make their purchase, or use the purchased item

Behavioral segmentation divides a market into _____ a. different income segments b. segments according to occasions when buyers get the idea to buy, actually make their purchase, or use the purchased item c. segments based on social class, lifestyle, or personality characteristics d. segments based on consumer knowledge, attitudes, uses, or responses to a product

segments based on consumer knowledge, attitudes, uses, or responses to a product

What is the third step in the differentiation and positioning task? a. choosing a target-marketing strategy b. selecting an overall positioning strategy c. communicating and delivering the chose position to the market d. let consumers decide how the products are positioned e. choosing advantages on which to build a position

selecting an overall positioning strategy

P&G offers a great variety of bestselling detergent and laundry care brands, including Tide, Gain, Cheer, Era, Dreft, Bold, Bounce, and Downey. Essentially, in the laundry market, P&G is competing with itself. Why does it offer so many competing brands? a. the firm is unsure of what feature and benefits consumers want, so it offers many brands b. the firm wants to be able to charge more for multiple-brands and take advantage of price-insensitive buyers c. P&G ;lets Tide capture 38% of the market and offers other brand to confuse buyers who do not want Tide d. the firm wants to have a larger marketing department e. the firm wants to appeal to different market segments

the firm wants to appeal to different market segments

What is product position? a. the place the product occupies in consumers' minds relative to competing products b. the full positioning of a brand - the full mix of benefits on which it is positioned c. a statement that summarizes company or brand positioning d. an advantage over competitors gained by offering greater customer value, either by having lower prices or by providing more benefits that justify higher prices

the place the product occupies in consumers' minds relative to competing products

When choosing a target-market strategy, the firm should pay close attention to several factors. In addition to competitors' marketing strategies, market variability, product variability and the extent of variety, the firm should consider which of the following? a. gender of the buyer b. loyalty status of buyers c. vulnerability of the market segment d. life-style analysis e. the product's life cycle stage

the product's life cycle stage

_____ is a market-coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer a. undifferentiated marketing b. concentrated marketing c. individual marketing d. local marketing

undifferentiated marketing

Many marketers think that companies should aggressively promote only one benefit to the target market. Former advertising executive Rosser Reeves, for example, said that a company should develop which single feature concept for each brand? a. superiority b. image c. being preemptive d. unique selling proposition (USP) e. distinctiveness

unique selling proposition (USP)

A firm learns that potential customers are graduating from high school and soon attending college. It might segment the market based on _____ and try to reach potential buyers who are consumers facing life-stage changes and who can be turned into heavy users for products such as popcorn, credit cards, or air travel. What approach to segmentation is this approach? a. user status b. personality c. occasion d. life-stage e. age and life-cycle

user status

A bran's ______ represents the full mix of benefits on which a brand is differentiated and positioned and is the answer to the customer's questions, "Why should I buy your brand?" a. positioning b. value proposition c. positioning map d. target market e. competitive advantage

value proposition

_____ refers to the full positioning of a brand - the full mix of benefits on which it is positioned a. value proposition b. positioning statement c. product position d. competitive advantage

value proposition

The positioning of a brand is called the "brand's value proposition" which is the full mix of benefits on which a brand is differentiated and positioned. There are essentially five possible value propositions. Which of the following example is not correctly paired with a brand? a. Dollar General Stores/ less for much less b. Target/ more for the same c. Mercedes/ more-for-more d. Pet Smart/ same for less e. Costco/ more for less

Costco/ more for less