Question 1

Unilever used eye tracking marketing research to determine what draws a consumer to product packaging. As a result of the research, Unilever added the colour yellow to laundry detergent packaging to grab and hold consumers' attention. This is an example of which step in the market research process?

Accepted Answer

This is an example of making marketing decisions, as Unilever used the insights from the research to make a decision to change the packaging design by adding the color yellow.

Question 2

A marketing researcher is currently analyzing the information collected and determining what possible opportunities it has for management. Which stage of marketing research does this represent?

Accepted Answer

Interpreting information is the stage in marketing research where the researcher analyzes the data collected and makes sense of it in order to identify opportunities for management. The other stages are planning the research, making a preliminary investigation, and gathering factual information, which all come before the interpretation stage.

Question 3

Teenagers spend billions of dollars on smartphones, music downloads, and video games. They have the ability, willingness, and authority to purchase such products because of their perceived need. These teenagers are an example of what type of market?

Accepted Answer

Teenagers are buying products for their own personal use, making them consumers in the market. B) Producer markets refer to companies that produce and sell goods or services, so this does not apply to teenage spending. C) Governmental markets involve government agencies buying goods or services, which does not apply to teenage spending. D) Institutional markets refer to organizations or institutions buying products for their use, which also does not apply to teenage spending.

Question 4

When a company collects external marketing data, it looks at information about which of the following?

Accepted Answer

When a company collects external marketing data, it is looking at information about its customers. While its own sales figures, activities of its sales force, and its product and marketing costs are important internal data points, they are not considered external marketing data.

Question 5

What is the process of systematically gathering, recording, and analyzing data concerning a particular marketing problem called?

Accepted Answer

The process of systematically gathering, recording, and analyzing data concerning a particular marketing problem is called marketing research. Therefore, option A is the correct choice. Option B, target marketing, refers to the process of identifying and selecting specific groups of consumers to target with tailored marketing messages. Option C, market sampling, involves selecting a representative sample from a larger population for research purposes. Option D, decision research, focuses on identifying and evaluating potential courses of action to make informed decisions. None of these options accurately describe the process of systematically gathering, recording, and analyzing data concerning a particular marketing problem.

Question 6

Although Heinz had been making mustard for years, it just recently began selling it to consumers instead of only to restaurants and stadiums. Heinz advertisements showed its new mustard as a partner to Heinz Ketchup. This suggests that Heinz was segmenting the market based on which of the following?

Accepted Answer

The fact that Heinz advertised its new mustard as a partner to its ketchup suggests that the company is targeting consumers who are already loyal to the Heinz brand. This is an example of market segmentation based on brand loyalty.

Question 7

The Lincoln Motor Company places an advertisement for its 2017 Lincoln MKZ in Forbes and Inc. magazines as well as television spots featuring actor Matthew McConaughey. The vehicle is priced starting at $35,000 and is available at Lincoln dealerships nationwide. Which of the following is the likely target market for Lincoln?

Accepted Answer

The target market is likely 40- to 55-year-olds, married, professional jobs, living in suburban areas, and reading Time magazine. The magazines chosen, Forbes and Inc., are both geared towards business professionals, indicating that Lincoln is targeting this demographic. Additionally, the price point of $35,000 suggests that the target market has disposable income, which is often associated with middle-aged professionals. The television ads featuring Matthew McConaughey also have an upscale, sophisticated tone, which further supports the idea that Lincoln is targeting an affluent, professional demographic.

Question 8

Which of the following involves the process of dividing a market into smaller groups of consumers who share common characteristics and needs?

Accepted Answer

Market segmentation involves dividing a market into smaller groups of consumers who share common characteristics and needs. Market grouping is not a recognized marketing term. Market sampling and consumer sampling refer to different research techniques for collecting data on a subset of a population, but do not involve the process of dividing a market into segments.

Question 9

A hospital conducts a series of focus groups with patients who had recently had outpatient surgery in order to gauge their level of satisfaction with various aspects of their experience. Which step of the research process does this represent?

Accepted Answer

Conducting focus groups with patients who have recently had outpatient surgery is a method of gathering information in the research process. It allows the hospital to collect direct feedback from patients in order to better understand their experience and areas for improvement.

Question 10

All of the following are ways to collect useful marketing research information EXCEPT which one?

Accepted Answer

Randomly stopping individuals on the street to inquire about their buying habits can lead to biased or unreliable responses, and may not accurately represent the target market. This method may also be perceived as invasive or annoying to individuals, potentially negatively affecting the company's image. The other options (sending questionnaires by mail, conducting telephone polls, and conducting personal interviews) are more widely accepted and effective methods for collecting marketing research information.

Question 11

Kellogg's is setting up a marketing information system to keep track of marketing trends. External sources of marketing data include all of the following EXCEPT which one?

Accepted Answer

The company's historical sales data is an internal source of marketing data, not an external source. External sources include forecasts about general economic conditions, customers, and competitors' activities.

Question 12

For every pair of shoes purchased, TOMS donates a pair to someone in need based on the area that they live in. The TOMS website and promotional materials all feature this "one for one" philosophy. TOMS is segmenting the shoe market based on which of the following?

Accepted Answer

TOMS is segmenting the shoe market based on geography, as they donate a pair of shoes to someone in need based on the area they live in.

Question 13

IRI, a marketing research firm, has been contracted by T-Fal to evaluate the market performance of a new line of cookware. Which of the following is NOT likely to be a step in IRI's research process?

Accepted Answer

IRI's role is to collect and interpret data related to the new line of cookware. Implementing a new marketing mix would be the responsibility of T-Fal based on the research findings. Therefore, implementing a new marketing mix is not likely to be a step in IRI's research process.

Question 14

Julie owns a frozen yogurt shop. She has decided to focus her marketing efforts on health-conscious customers. Based upon this information, which approach to market segmentation is she using?

Accepted Answer

Julie is segmenting her market based on the lifestyle and behaviour of her customers, specifically targeting those who prioritize health in their choices of food and beverages.

Question 15

When determining the most appropriate marketing mix to reach its target market, a company should consider all of the following questions EXCEPT which one?

Accepted Answer

All of the other questions are important considerations when determining the marketing mix for a target market. However, whether or not competitors are currently serving the target group does not directly impact the choice of marketing mix. Nonetheless, the company should still monitor its competitors and adjust its marketing mix accordingly if necessary.

Question 16

What is the first step in the market research process?

Accepted Answer

Defining the research goal is the first step in the market research process as it helps in determining the purpose of the research and what information is needed to achieve the goals.

Question 17

A marketing manager tells her assistant that she wants to use only primary data in her market research. Which of the following data would be most applicable for this research?

Accepted Answer

The answer of A marketing manager tells her assistant that...

Question 18

The vice president of marketing is assimilating data from published sources and from customer focus groups the company has conducted regarding the feasibility of a new product. Which stage of the market research process does this illustrate?

Accepted Answer

The answer of The vice president of marketing is assimilating...

Question 19

General Foods Corporation uses data such as sales figures, product and marketing costs, inventory levels, and activities of its sales force to make marketing decisions. What type of data is the company using?

Accepted Answer

The company is using internal data, which comes from sources within the company, including sales figures, product and marketing costs, inventory levels, and activities of its sales force.

Question 20

Jack Link's beef jerky advertises in outdoor magazines and has a successful television advertisement campaign, "Messin' with Sasquatch." Affordably priced, Jack Link's products are sold at grocery stores, convenience stores, and gas stations across the country. Which of the following is likely the target market for Jack Link's beef jerky products?

Accepted Answer

Jack Link's beef jerky products are affordable and sold at convenient locations such as grocery stores, convenience stores, and gas stations. This suggests that the target market is likely to be consumers who are on-the-go and looking for a convenient snack. The "Messin' with Sasquatch" advertisement campaign appeals to the sense of humor of young adults, indicating that the target market is likely to be 18- to 25-year-olds who live in rural areas and watch Nascar.

Quiz 12: Building Customer Relationships Through Effective Marketing