Question 1

Beer marketers know that high school educated, working-class males from the ages of 25 to 40 make an attractive market for their products. This is a __________ segment of the beer market.
A) demographic
B) psychographic
C) behavioral
D) benefits
E) geographic

Accepted Answer

This segment is defined by its demographic characteristics such as education level, occupation, and age range.

Question 2

Differences in weather and climate create opportunities for
A) concentrated targeting.
B) geographic segmentation.
C) benefit segmentation.
D) psychographic segmentation.
E) demographic segmentation.

Accepted Answer

Geographic segmentation is the practice of dividing a market into smaller subgroups based on location or geography. Differences in weather and climate can create unique needs and preferences for consumers in different regions, making geographic segmentation an effective strategy for targeting these consumers.

Question 3

__________ is an extreme form of a targeting strategy.
A) Macromarketing
B) Micromarketing
C) Benefit marketing
D) Differentiated targeting
E) Concentrated targeting

Accepted Answer

The answer of __________ is an extreme form of a...

Question 4

One of the benefits of a differentiated targeting strategy is that it allows the firm to diversify its business and
A) decrease advertising spending.
B) focus on a single market segment.
C) lower overall risk.
D) use undifferentiated strategies in micro markets.
E) more widely market basic commodities.

Accepted Answer

Differentiating the target market allows a firm to spread its risk across multiple segments, rather than relying on a single market segment. This can lower overall risk for the firm.

Question 5

For products like clothespins, which provide the same benefit for all consumers, marketers should probably use a(n) ________ strategy.
A) concentrated targeting
B) lifestyle segmentation
C) benefit segmentation
D) undifferentiated targeting
E) differentiated segmentation

Accepted Answer

Undifferentiated targeting is appropriate for products like clothespins because they provide the same benefit for all consumers and there is no need to segment the market based on specific benefits or characteristics.

Question 6

When Penguin Catering Services first opened, the owner decided to target only events at resorts in its geographic region. Penguin Catering was using a(n) __________ targeting strategy.
A) concentrated
B) micromarketing
C) benefit-driven
D) differentiated
E) undifferentiated

Accepted Answer

The concentrated targeting strategy is focused on a single market segment, which in this case is events at resorts in a specific geographic region.

Question 7

Corporate pilot fish are former employees who start a new business based primarily on contacts and contracts with their old company. A corporate pilot fish would probably pursue a __________ targeting strategy.
A) macromarketing
B) micromarketing
C) benefit-based
D) differentiated
E) undifferentiated

Accepted Answer

The answer of Corporate pilot fish are former employees who...

Question 8

When Mr. How, a Pennsylvania-based discount lumber and hardware chain, sent snow blowers to its Augusta, Georgia, store in April, it was engaged in
A) concentrated segmentation.
B) geodemographic segmentation.
C) benefit segmentation.
D) psychographic segmentation.
E) misguided geographic segmentation.

Accepted Answer

Sending snow blowers to a store in Augusta, Georgia in April, a region that is not known for heavy snowfall or icy conditions, is an example of misguided geographic segmentation. The company failed to consider the weather patterns and geographic location before sending the product to the store.

Question 9

Adidas Group owns Reebok, Rockport, and TaylorMade brands. Adidas uses the different brands to pursue a(n) __________ strategy.
A) concentrated targeting
B) micromarketing
C) benefit targeting
D) differentiated targeting
E) undifferentiated targeting

Accepted Answer

Adidas Group uses differentiated targeting strategy by owning and promoting different brands to cater to different segments in the market. Reebok appeals to the fitness-oriented customers, Rockport focuses on the comfort and style of the casual footwear market, and TaylorMade is aimed at the golfing audience.

Question 10

Four frequently used targeting strategies are the micromarketing, undifferentiated, differentiated, and __________ targeting strategies.
A) geographic
B) benefit-based
C) economic
D) global
E) concentrated

Accepted Answer

The four frequently used targeting strategies are micromarketing, undifferentiated, differentiated, and concentrated targeting. The fifth option listed, global targeting, is not commonly used as a targeting strategy. Therefore, the correct answer is E, concentrated targeting.

Question 11

The first step in the STP process is to
A) identify the segmentation methods to be used.
B) produce a list of strengths and weaknesses of the firm's past marketing strategies.
C) clearly articulate the firm's vision or marketing strategy objectives.
D) select target markets.
E) develop a marketing mix, so that an appropriate segment can later be identified.

Accepted Answer

The first step in the STP (Segmentation, Targeting, and Positioning) process is to clearly articulate the firm's vision or marketing strategy objectives. This step sets the foundation for understanding the target market and how the marketing mix can be developed and positioned to meet the needs and wants of that market. Without a clear understanding of the firm's vision or marketing strategy objectives, the rest of the STP process may be misguided or ineffective. Therefore, choice C is the best answer.

Question 12

Firms use a differentiated targeting strategy because
A) it is easier than mass marketing.
B) it helps to obtain a bigger share of the market.
C) it is better than focusing on individual or small groups of potential customers.
D) most market segments are too small to be profitable.
E) banks are more willing to extend credit to companies with this strategic approach.

Accepted Answer

A differentiated targeting strategy allows firms to target multiple market segments with different products or services, which can help to obtain a bigger share of the overall market. This strategy is often more effective than mass marketing, where a single product is promoted to the entire market, as it allows firms to tailor their offerings to the specific needs and preferences of different customer groups. Additionally, focusing on individual or small groups of potential customers may limit a company's growth potential, while most market segments are actually large enough to be profitable through targeted marketing efforts. The availability of credit from banks is not directly related to a company's targeting strategy.

Question 13

Many companies use the Internet to allow consumers to design customized products; for example, Nike allows customers to order shoes with custom color combinations. This is a form of
A) micromarketing.
B) concentrated targeting.
C) psychographic segmentation.
D) differentiated targeting.
E) undifferentiated targeting.

Accepted Answer

Micromarketing is the practice of tailoring products or services to suit an individual customer's wants or needs. Allowing customers to design their own customized products, such as Nike's custom shoes, is a prime example of micromarketing.

Question 14

NASCAR redirected its marketing efforts when a survey indicated that almost 50 percent of race fans were female. This is an example of __________ segmentation.
A) geographic
B) psychographic
C) demographic
D) benefits
E) behavioral

Accepted Answer

The survey indicates that the segmentation is based on demographic factors, specifically gender.

Question 15

A differentiated targeting strategy can allow a firm to obtain a bigger share of the overall market; this strategy
A) is the cheapest option.
B) requires the use of advanced advertising techniques.
C) rarely works.
D) is likely more costly than an undifferentiated strategy.
E) is ineffective without multiple brand names.

Accepted Answer

A differentiated targeting strategy requires a company to develop and market different products to different segments of the market, which can be more costly than an undifferentiated strategy. However, it can allow a firm to obtain a bigger share of the overall market by catering to multiple segments with specialized products and messages.

Question 16

Alex has found that both commercial and residential real estate buyers respond positively to his marketing communication message. Alex has identified __________ that respond similarly to his marketing efforts.
A) mass customization consumers
B) geographic segments
C) market segments
D) self-concept customers
E) geodemographic segments

Accepted Answer

Alex has identified market segments that respond similarly to his marketing efforts, indicating that he has grouped potential buyers based on shared characteristics such as needs, behaviors, and preferences.

Question 17

For each target market, General Imaging Corporation, a manufacturer of imaging equipment, will engage in positioning, adjusting its marketing mix variables to give customers
A) a more flexible supply chain strategy.
B) a perceptual map of the imaging landscape.
C) more product features than the competition offers.
D) lower prices than the competition offers.
E) a clear, distinctive, and desirable understanding of its products relative to competing products.

Accepted Answer

Positioning involves creating a clear, distinctive, and desirable understanding of a product in the minds of the target market relative to competing products. This requires adjusting the marketing mix variables (product, price, promotion, and place) to meet the needs and preferences of the target market. A more flexible supply chain strategy (A) may be beneficial, but it is not directly related to positioning. Similarly, creating a perceptual map of the imaging landscape (B), offering more product features than the competition (C), or offering lower prices than the competition (D) may be important marketing tactics, but they do not necessarily create a clear, distinctive, and desirable understanding of the product relative to competing products.

Question 18

Adidas Group owns Reebok, Rockport, and TaylorMade brands. Having a variety of brands allows Adidas to
A) engage in micromarketing for hard-to-fit shoe customers.
B) obtain a bigger share of the shoe market.
C) use mass marketing techniques.
D) use geographic segmentation.
E) generate economies of scale in advertising expenditures.

Accepted Answer

Owning multiple brands allows Adidas to diversify and capture a bigger share of the shoe market. Each brand can target different consumer segments and have its own marketing strategies. This can increase overall revenue for Adidas Group.

Question 19

In a classic example of segmentation strategy, years ago Swift Meat Company transformed turkey meat into Butterball turkeys. In the process, the company
A) differentiated its product.
B) streamlined its delivery process.
C) created a new class of micromarketing.
D) defined consumers' basic needs.
E) redefined mass customization.

Accepted Answer

By transforming turkey meat into Butterball turkeys, Swift Meat Company differentiated its product from other turkey meats in the market. This allowed them to target a specific segment of consumers who wanted a premium, high-quality turkey product.

Question 20

__________ segmentation is the most common basis of consumer market segmentation because these segments are easy to define and usually easy to reach.
A) Geographic
B) Psychographic
C) Behavioral
D) Benefits
E) Demographic

Accepted Answer

Demographic segmentation categorizes consumers based on characteristics such as age, gender, income, education, family size, and occupation. It is the most common segmentation because it is easier to define and reach these segments. Demographic information is readily available and can be obtained from various sources, such as census data and customer databases.

Quiz 9: Segmentation, Targeting, and Positioning

Beer marketers know that high school educated, working-class males from the ages of 25 to 40 make an attractive market for their products. This is a __________ segment of the beer market.

Differences in weather and climate create opportunities for

__________ is an extreme form of a targeting strategy.

One of the benefits of a differentiated targeting strategy is that it allows the firm to diversify its business and

For products like clothespins, which provide the same benefit for all consumers, marketers should probably use a(n) ________ strategy.

When Penguin Catering Services first opened, the owner decided to target only events at resorts in its geographic region. Penguin Catering was using a(n) __________ targeting strategy.

Corporate pilot fish are former employees who start a new business based primarily on contacts and contracts with their old company. A corporate pilot fish would probably pursue a __________ targeting strategy.

When Mr. How, a Pennsylvania-based discount lumber and hardware chain, sent snow blowers to its Augusta, Georgia, store in April, it was engaged in

Adidas Group owns Reebok, Rockport, and TaylorMade brands. Adidas uses the different brands to pursue a(n) __________ strategy.

Four frequently used targeting strategies are the micromarketing, undifferentiated, differentiated, and __________ targeting strategies.

The first step in the STP process is to

Firms use a differentiated targeting strategy because

Many companies use the Internet to allow consumers to design customized products; for example, Nike allows customers to order shoes with custom color combinations. This is a form of

NASCAR redirected its marketing efforts when a survey indicated that almost 50 percent of race fans were female. This is an example of __________ segmentation.

A differentiated targeting strategy can allow a firm to obtain a bigger share of the overall market; this strategy

Alex has found that both commercial and residential real estate buyers respond positively to his marketing communication message. Alex has identified __________ that respond similarly to his marketing efforts.

For each target market, General Imaging Corporation, a manufacturer of imaging equipment, will engage in positioning, adjusting its marketing mix variables to give customers

Adidas Group owns Reebok, Rockport, and TaylorMade brands. Having a variety of brands allows Adidas to

In a classic example of segmentation strategy, years ago Swift Meat Company transformed turkey meat into Butterball turkeys. In the process, the company

__________ segmentation is the most common basis of consumer market segmentation because these segments are easy to define and usually easy to reach.