Question 1

Customer cloning is the practice of identifying the key characteristics of a market segment and then identifying multiple geographic areas where the majority of the population possesses those characteristics.

Accepted Answer

The answer of Customer cloning is the practice of identifying...

Question 2

Income always predicts the best customers for a given product.

Accepted Answer

Income is just one of many factors that can predict the best customers for a given product. Other factors such as age, gender, location, and buying habits can also be important.

Question 3

Baby boomers are consumers who have been "wired" almost from birth-playing computer games, navigating the Web, downloading music, connecting with friends via instant messaging and mobile phones.

Accepted Answer

Baby boomers are generally defined as those born between 1946 and 1964, which predates the widespread availability of computers, the internet, and mobile phones. While some baby boomers may be tech-savvy, it is not accurate to say that they have been wired almost from birth.

Question 4

In the VALS segmentation system, thinkers are characterized as being successful, sophisticated, active, "take-charge" people with high self-esteem.

Accepted Answer

In the VALS segmentation system, thinkers are characterized as mature, satisfied, comfortable, and reflective individuals who value order, knowledge, and responsibility, not as "take-charge" people.

Question 5

People in the same demographic group generally exhibit similar psychographic profiles.

Accepted Answer

While demographic factors such as age, gender, income, and education can provide some insight into consumer behavior, it is not necessarily true that people in the same demographic group exhibit similar psychographic profiles. Psychographics refer to a person's values, beliefs, interests, and lifestyle, which can vary greatly within a demographic group.

Question 6

Life stage defines a person's age.

Accepted Answer

The answer of Life stage defines a person's age....

Question 7

Members of Generation Y are generally open to overt branding practices and a "hard sell," making product placements in computer and video games a popular way to reach this cohort.

Accepted Answer

Members of Generation Y (Millennials) are generally skeptical of overt branding and traditional advertising methods, preferring authenticity and subtlety in marketing. They tend to favor product placements that are seamlessly integrated into content rather than a "hard sell" approach.

Question 8

Baby boomers are also less likely to associate retirement with "the beginning of the end" and see it instead as a new chapter in their lives with new activities, interests, careers, or even relationships.

Accepted Answer

The sentence states that baby boomers are less likely to associate retirement with negative connotations and instead view it as an opportunity for new beginnings.

Question 9

The main dimensions of the VALS segmentation framework are consumer motivation and consumer
resources.

Accepted Answer

The VALS segmentation framework uses consumer motivation and consumer resources as its main dimensions to group consumers into different segments.

Question 10

Demographic variables are popular because they are often associated with consumer needs and wants and they are easy to measure.

Accepted Answer

Demographic variables such as age, gender, income, education, and geographic location are frequently used in market research because they can offer insights into consumer behavior and preferences. Additionally, these variables are typically straightforward to collect and analyze, making them a practical choice for marketers and researchers.

Question 11

Beltway Boomers are the nation's tech-savvy singles and couples living in fashionable neighborhoods on the urban fringe.

Accepted Answer

The answer of Beltway Boomers are the nation's tech-savvy singles...

Question 12

Psychographics is the science of using psychology and demographics to better understand consumers.

Accepted Answer

Psychographics involves analyzing a person's attitudes, beliefs, values, interests, and lifestyles, along with demographic characteristics such as age, gender, race, education, income, and occupation to gain a deeper understanding of their behavior and motivations as consumers.

Question 13

Local marketing reflects a growing trend called macromarketing.

Accepted Answer

Local marketing focuses on tailoring products and marketing strategies to suit local tastes and preferences, whereas macromarketing looks at marketing strategies and their impact on society and the economy at large, reflecting broader trends and issues.

Question 14

A local service company has decided to segment its market based on occupation; therefore, it has chosen a form of demographic segmentation for its approach.

Accepted Answer

Demographic segmentation divides the market based on demographic characteristics such as age, gender, income, occupation, education, etc. In this case, the company has chosen a demographic variable (occupation) to segment its market, so it is a form of demographic segmentation.

Question 15

The norms, language nuances, buying habits, and business practices of multicultural markets need to be factored into the initial formulation of a marketing strategy, rather than added as an afterthought.

Accepted Answer

It is important to consider the cultural factors from the outset of developing a marketing strategy in order to effectively reach and engage diverse consumers. Adding these considerations later on may lead to missed opportunities or miscommunications.

Question 16

A market segment consists of a group of consumers who share a similar set of needs and wants.

Accepted Answer

This is the definition of a market segment.

Question 17

Effective target marketing requires that marketers use market segmentation, market targeting, and market positioning to achieve success in the marketplace.

Accepted Answer

Market segmentation helps to identify distinct groups of consumers with similar needs or characteristics, market targeting helps to select the most attractive segments to focus on, and market positioning involves creating a unique image and identity for a product or service in the minds of customers in the chosen segments. All three strategies are necessary for effective target marketing.

Question 18

Unlike the more optimistic, team-oriented Gen Xers, Gen Yers are more pragmatic and individualistic.

Accepted Answer

Gen Xers are typically characterized as pragmatic and individualistic, while Gen Yers (Millennials) are often described as more optimistic and team-oriented.

Question 19

Members of the same generational cohort share the same major cultural, political, and economic experiences and have similar outlooks and values.

Accepted Answer

Members of the same generational cohort are typically born during a similar period and thus grew up with similar cultural, political, and economic experiences, leading to the development of shared values and outlooks.

Question 20

Illustrations of personality segmentation would include culture-oriented, sports-centered, or outdoor-oriented subsegments.

Accepted Answer

The answer of Illustrations of personality segmentation would include culture-oriented,...

Quiz 8: Identifying Market Segments and Targets