Question 1

Festive Flowers have a number of shops, each of which serves a specific area. What type of market segmentation base are they using?
A) Demographics
B) Mediagraphics
C) Geodemographics
D) Geographic
E) Aerial

Accepted Answer

Festive Flowers is using Geographic segmentation as they are dividing their market based on specific areas or locations each shop serves.

Question 2

What is the term for segmentation systems such as ACORN and MOSAIC that have analysed the UK population by postcode?
A) Geographic
B) Mediagraphics
C) Geodemographics
D) Marketing information databases
E) Population census

Accepted Answer

Geodemographics is the correct term for segmentation systems like ACORN and MOSAIC that analyze the UK population by postcode, combining geographic and demographic data.

Question 3

Which of the following is an example of a behavioural segmentation base?
A) Gender
B) User status
C) Income
D) Socio-economic class
E) Personality

Accepted Answer

User status is an example of a behavioral segmentation base because it categorizes consumers based on their engagement level with a product or service, such as non-users, potential users, first-time users, and regular users. This segmentation is based on consumer behavior towards a product or service.

Question 4

What does SIC stand for?
A) Socio income class
B) Special individual category
C) Social inequality cause
D) Seller's insurance class
E) Standard industry classification

Accepted Answer

SIC stands for Standard Industry Classification, which is a system for classifying industries by a four-digit code.

Question 5

John and Joan are both 68 and retired. Their children have long since left home and now have families of their own. Which stage of the family life cycle are John and Joan likely to be in?
A) Full nest I
B) Full nest II
C) Full nest III
D) Empty nest I
E) Empty nest II

Accepted Answer

The answer of John and Joan are both 68 and...

Question 6

In the STP five-stage process, what follows on from stage two, identify market segments?
A) Profile customers/consumers
B) Identify the total market
C) Select target market
D) Position against competing brands
E) Identify positions of competing brands.

Accepted Answer

After identifying market segments, the next step in the STP (Segmentation, Targeting, Positioning) process is to select the target market(s) that the company will focus on.

Question 7

What is the marketing term for how a target market perceives a brand in relation to competing brands?
A) Positioning
B) Perceptual mapping
C) Targeting
D) Segmentation
E) Profiling

Accepted Answer

Positioning refers to how a brand is perceived in the minds of the target market relative to its competitors. It involves strategies to create a certain image or identity in the consumers' minds, distinguishing the brand from its competitors.

Question 8

There are five principal characteristics that will make a market segment particularly attractive for targeting. Four of these are: 1) it has sufficient current and potential sales and profits, 2) it has the potential for sufficient future growth, 3) it does not have excessive barriers or costs to entry or exit, and 4) it has some relatively unsatisfied needs that the company can serve particularly well. What is the fifth?
A) It does not comprise of difficult customers
B) It is not overly competitive
C) It is well documented
D) It is well established
E) Other companies are already making good profits there

Accepted Answer

The fifth principal characteristic that makes a market segment attractive for targeting is that it is not overly competitive. This means the segment should not be saturated with competitors, allowing a new entrant a better chance of capturing market share and achieving profitability.

Question 9

What is a perceptual map used to assess?
A) Audiences' degrees of selective attention
B) How much customers/consumers remember about an advert
C) Customer/consumer perceptions of competing brands
D) Relative brand equity
E) Differing perceptions of the brand's packaging

Accepted Answer

Perceptual maps are graphical representations used to visualize how consumers perceive different brands or products in relation to each other, especially in terms of various attributes or dimensions, such as quality, price, or performance. This helps in understanding customer perceptions of competing brands.

Question 10

What is the marketing term for a relatively small, well defined and very focused target market?
A) A customised market
B) A targeted market
C) A gap in the market
D) A niche market
E) A corner of the market

Accepted Answer

A niche market refers to a small, well-defined segment of the market that is specifically targeted by a business. It focuses on a specific group of customers with particular needs or preferences that are not fully addressed by the broader market.

Quiz 4: Market Segmentation, Targeting and Positioning

Festive Flowers have a number of shops, each of which serves a specific area. What type of market segmentation base are they using?

What is the term for segmentation systems such as ACORN and MOSAIC that have analysed the UK population by postcode?

Which of the following is an example of a behavioural segmentation base?

What does SIC stand for?

John and Joan are both 68 and retired. Their children have long since left home and now have families of their own. Which stage of the family life cycle are John and Joan likely to be in?

In the STP five-stage process, what follows on from stage two, identify market segments?

What is the marketing term for how a target market perceives a brand in relation to competing brands?

What is a perceptual map used to assess?

What is the marketing term for a relatively small, well defined and very focused target market?