Mini Case 9- 1
A group of investors are thinking of starting a for- profit institution to be called Heaven University. They have identified a small segment of society that is displeased with the high cost of HECS or upfront fees and is willing to forego all social and sporting extracurricular activities in order to get an inexpensive, quality education in three years. The university investors will advertise nationally. Its target audience is individuals between 18- 40 years of age, who have either never undertaken a University degree or who failed to complete a degree commenced within the last ten years. The investors want to attract students who are currently working at a job with which they are dissatisfied. Heaven will only offer three degree programmes, which cannot be modified to individual student needs. Research has shown that these are degrees that this market segment repeatedly seeks. Students can earn their degrees over the Internet and only have to attend a one- week seminar on campus twice a year.
-Refer to Mini Case 9- 1. Which of the following approaches BEST describes the university's approach to segmentation?
A) Mass marketing
B) Differentiated marketing
C) Local marketing
D) Micromarketing
E) Hyper- segmentation

Question

Quizplus · Accepted Answer

The university's approach to segmentation can be classified as micromarketing as they are targeting a specific and narrow market segment with unique and tailored offers. They are only offering three specific degree programs and are targeting individuals who are dissatisfied with their current job and want an inexpensive, quality education. They are also offering the option to earn their degree entirely online and attend campus only twice a year, which caters to the specific needs and preferences of this market segment.