marketing chapter 7

America's Bananas uses the same marketing mix strategy no matter where its products are sold, because one strategy satisfies the needs and wants of all customers. This demonstrates

undifferentiated targeting.

What is the 80/20 rule?

20 percent of heavy users account for 80 percent of the total demand.

consists of a succinct description of the core target market to which a product is directed and a compelling picture of how the firm undifferentiated targeting.wants that core market to view the product.

A positioning statement

is the most commonly used psychographic segmentation tool that classifies adults into eight psychographic groups: Innovators, Thinkers, Believers, Achievers, Strivers, Experiencers, Makers, and Survivors.

The VALS framework

Why are older Americans an attractive target for marketers?

age and gender

A retail chain is emailing only customers who have purchased from it three years in a row a "thank you for your business" coupon for 30% off. This promotional campaign is an example of _____

behavioral

The fact that you see a Starbucks on many highway exit signs listing restaurant choices would indicate that Starbucks is most likely geographically segmenting based on

customer convenience.

A personal care products manufacturer has different products for children and adults. It applies a different marketing strategy for each of these customer groups. Which segmentation base is the company using to divide its market in this case?

demographic

What are the two most commonly used demographic variables used by marketers?

family size.

Southern Spice, a manufacturer of salsa, sells its product throughout the United States and all over the world. The company has developed region-specific salsas like Five Spice Salsa for its customers in China, saffron and cumin salsa for customers in India, and even red beans and rice salsa for its customers in New Orleans. Southern Spice has employed _____

geographic

An athletic shoe-making company in the United States successfully sells the same range of shoes in all its international outlets. This is an example of

global segmentation.

A vacation planning company provides various holiday packages, such as outdoor camping, adventure sports, island getaways, countryside wine tasting, cruises, and mountain trekking, based on the vacation activities that its consumers prefer. Which type of segmentation does this represent?

lifestyle

What is an important component in determining psychographic characteristics?

lifestyles

A hat designer has divided marketing activities to its huge consumer base into smaller groups based on lifestyle. This is an example of

market segmentation.

Brianna has always wanted to open a hair salon. While Brianna has experience in cutting and styling hair, she always gets amazing reviews for her specialty hair coloring abilities. So, rather than open a hair salon that offers a wide variety of cuts and styles, Brianna has decided to open a specialty hair salon solely devoted to the needs of individuals who regularly color their hair. This is an example of

market segmentation.

Stores like The PGA Store, The Racquet Shop, and Play It Again Sports that cater to the interests of sports enthusiasts most likely use what type of segmentation strategy?

psychographic segmentation

In order for market segmentation to be effective, market segments must be large enough for a firm to make a profit by serving them. This means that segments must be

substantial.

A target market can best be defined as

the group of customers toward which an organization has decided to direct its marketing efforts.

Manufacturers who package snacks in large multipacks, such as those found in warehouse clubs like Costco, are most likely targeting their market based on the demographic variable of

They tend to have more time and money than younger consumers.

Chobani, a maker of specialty yogurts, has expanded its product line to include "Gimmies," a specialty yogurt supported by a set of characters that are designed to appeal to children. For this product, Chobani is segmenting the market based on

age