Question 1

According to the VALS segmentation system, the Strivers are at bottom of the typology with the lowest resources and lowest with respect to innovation.

Accepted Answer

The Strivers actually have moderate resources but seek approval from others and are concerned with achievement and image. They are not the lowest in terms of innovation on the VALS typology; that would be the Survivors.

Question 2

Research has shown that income is a highly accurate predictor of the "best" customers for a given product.

Accepted Answer

Income alone is not a highly accurate predictor of the "best" customers for a given product, as other factors such as preferences, needs, lifestyle, and values also play significant roles in determining customer behavior and product suitability.

Question 3

The most important variables in segmenting a business market are demographics.

Accepted Answer

The answer of The most important variables in segmenting a...

Question 4

Human psychological traitsare different across cultures.

Accepted Answer

The answer of Human psychological traitsare different across cultures....

Question 5

The last step in the seven-step marketing segmentation process would be to develop a marketing-mix strategy reflective of segment positioning strategies.

Accepted Answer

The last step in the seven-step marketing segmentation process is indeed to develop a marketing-mix strategy that is reflective of the segment positioning strategies. This step involves developing a marketing plan that will address the needs and wants of each of the identified segments in the market, using the 4Ps of marketing (product, price, place, and promotion) to create a tailored marketing-mix for each segment.

Question 6

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 by their reflective and complex nature, valuing knowledge and responsibility. The description given matches more closely with the "Achievers" segment, who are successful, goal-oriented, and have high resources.

Question 7

Undifferentiated marketing goes after the whole market with one offer, so it typically creates more total sales than differentiated marketing.

Accepted Answer

Undifferentiated marketing targets the whole market with one product or offer, ignoring market segments and individual preferences. This approach may not be effective as it does not address the specific needs of different groups of customers, resulting in lower sales than differentiated marketing that targets specific segments with tailored offers.

Question 8

Young digerati are affluent and tech-savvy, but not ethnically mixed.

Accepted Answer

Young digerati are often characterized as affluent, tech-savvy, and ethnically diverse, reflecting a broad spectrum of backgrounds within this demographic group.

Question 9

Typical categories that would appear under the heading of situational factor segmentation variables in the business marketplace would be urgency, specific application, and size of order.

Accepted Answer

Situational factor segmentation variables in the business marketplace include urgency, specific application, and size of order.

Question 10

Women shop differently for cars than do men; they are less interested in environmental impact, interior styling, and safety.

Accepted Answer

This statement is not entirely true. While women may have different priorities when it comes to car shopping, it is not accurate to say they are less interested in environmental impact, interior styling, and safety. Many women prioritize safety features and fuel efficiency when evaluating cars, and interior styling can also be a factor in their decision. Additionally, some women may prioritize environmental impact and seek out electric or hybrid vehicles.

Question 11

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

Accepted Answer

Psychographics is a method of understanding consumers by combining demographics (age, income, gender, etc.) with psychological factors such as interests, values, and personality traits.

Question 12

Marketing to micro-segments has become accessible even to small organizations as database costs decline.

Accepted Answer

As database costs decrease, it becomes easier and more affordable for small organizations to use marketing strategies that target highly specific micro-segments of their audience. This allows for more personalized and effective messaging that can better resonate with customers.

Question 13

An organization that could benefit from using User Status as a means for segmenting its market would be a local blood bank.

Accepted Answer

A local blood bank could use User Status to segment its market by identifying donors who are first-time donors, regular donors, or lapsed donors. This information could be used to target each group with different messaging and incentives to encourage continued or renewed donations.

Question 14

With respect to loyalty status, if a consumer is loyal to two or three brands, he or she is called shifting loyal.

Accepted Answer

If a consumer is loyal to two or three brands, he or she is called multi-loyal or multi-brand loyal, not shifting loyal. Shifting loyal refers to a consumer who alternates their loyalty between different brands or products depending on factors such as promotions, price, or availability.

Question 15

To be useful, market segments must have as one of their characteristics the ability to be measured.

Accepted Answer

Market segments need to have measurable characteristics in order for them to be identified, analyzed, and targeted effectively. These characteristics could include demographic, psychographic, behavioral, or geographic factors that can be quantified or observed through data and research. Without the ability to measure and compare these characteristics, segmentation would not be useful or actionable for companies looking to reach specific customer groups.

Question 16

When a marketer of wines researched its market based on benefit expectations, it found that a large segment (Image Seekers) with a 20 percent share like to buy from wineries that have been around a long time.

Accepted Answer

The statement describes a market segmentation approach based on benefit expectations, but the specific detail about "Image Seekers" preferring wineries that have been around a long time is not universally applicable or verified information without context from a specific study or source. Market segments can vary widely in their preferences.

Question 17

The cereal industry has been heavily praised for its marketing efforts directed towards children.

Accepted Answer

The cereal industry has often been criticized for its marketing efforts directed towards children, primarily due to concerns about the nutritional value of the products being advertised.

Question 18

Marketers would rather attract one heavy user than several light users.

Accepted Answer

This statement is true because heavy users are more likely to make repeat purchases and generate more revenue for the company. They also have a strong influence on others, potentially attracting more customers. By targeting heavy users, marketers can increase the overall profitability of their campaigns.

Question 19

The same products that appeal to 21-year-olds are appealing to youth-obsessed baby boomers.

Accepted Answer

This statement is true. Both groups tend to value youthfulness and trendiness in products, leading to a crossover in their interests.

Question 20

As a pattern found in target market selection, market specialization means that the company offers one product to as many markets as possible.

Accepted Answer

Market specialization actually means offering a specialized product or service to a specific target market. It is the opposite of offering a single product to multiple markets.

Quiz 8: Identifying Market Segments and Targets