Question 1

Ryder Company segmented the market based on the brand loyalty variable; what type of segmentation are they performing?
A) Psychographic
B) Lifestyle
C) Demographic
D) Behavioral

Accepted Answer

Segmenting the market based on brand loyalty falls under behavioral segmentation, as it involves categorizing consumers based on their behavior towards the brand, including their loyalty status.

Question 2

Tide segmented the market based on customer lifestyles; what type of segmentation are they performing?
A) Psychographic
B) Lifestyle
C) Demographic
D) Behavioral

Accepted Answer

Tide is using psychographic segmentation, which involves dividing the market based on consumer personalities, lifestyles, interests, attitudes, and values. Lifestyle is a component of psychographic segmentation.

Question 3

Apple segmented the market based on whether customers were millennials; what type of segmentation are they performing?
A) Psychographic
B) Lifestyle
C) Demographic
D) Behavioral

Accepted Answer

Segmenting the market based on whether customers are millennials is an example of demographic segmentation, which involves dividing a market into segments based on variables such as age, gender, income, occupation, education, or family size.

Question 4

Nike segmented the market based on whether customers considered themselves pessimistic; what type of segmentation are they performing?
A) Psychographic
B) Lifestyle
C) Demographic
D) Behavioral

Accepted Answer

Psychographic segmentation involves dividing a market into segments based upon different personality traits, values, attitudes, interests, or lifestyles of consumers. Nike's approach of segmenting the market based on whether customers considered themselves pessimistic falls under psychographic segmentation, as it is based on personality traits and attitudes.

Question 5

Vineyard Vines segmented the market by dividing customers between those who make over $100,000 and those who don't; what type of segmentation are they performing?
A) Psychographic
B) Lifestyle
C) Demographic
D) Behavioral

Accepted Answer

Vineyard Vines is using demographic segmentation, which involves dividing the market based on variables such as age, gender, income, education level, and family size. In this case, they are segmenting the market based on income levels.

Question 6

In which step of the segmentation process would a SWOT analysis be most useful?
A) Define the broad market
B) Narrow the market
C) Select general variable category(ies) for segmentation
D) Choose specific segmentation variables within a selected category

Accepted Answer

A SWOT analysis, which examines strengths, weaknesses, opportunities, and threats, is most useful in the step of narrowing the market. This analysis helps in understanding the internal and external factors that could affect the success of targeting a specific market segment, thus aiding in making informed decisions about which segments to pursue.

Question 7

Adidas is currently trying to decide if segmentation based on demographics or psychographics makes the most sense. In which step of the segmentation process are they?
A) Define the broad market
B) Narrow the market
C) Select general variable category(ies) for segmentation
D) Choose specific segmentation variables within a selected category

Accepted Answer

Adidas is in the step of selecting general variable categories for segmentation, such as demographics (age, gender, income, etc.) or psychographics (lifestyle, values, attitudes, etc.). This step involves deciding on the broad approach to segmenting the market before moving on to more specific variables within those categories.

Question 8

Microsoft has decided to that behavioral segmentation makes the most sense. Which step of the segmentation process is next?
A) Narrow the market
B) Select general variable category(ies) for segmentation
C) Define the broad market
D) Choose specific segmentation variables within a selected category

Accepted Answer

After deciding on a segmentation strategy like behavioral segmentation, the next step is to choose specific segmentation variables within the selected category to effectively target different customer segments based on their behaviors.

Question 9

Able Co. is a brand-new clothing company. They've decided they want to make clothes. Specifically, they want to make clothes for out-door recreation. Which steps of the segmentation process have they completed?
A) 1) Define the broad market
B) 1) Define the broad market, 2) Narrow the market
C) 1) Define the broad market, 2) Narrow the market, 3) Select general variable category(ies) for segmentation
D) 1) Define the broad market, 2) Narrow the market, 3) Select general variable category(ies) for segmentation, 4) Choose specific segmentation variables within a selected category

Accepted Answer

Able Co. has defined the broad market by deciding to make clothes (step 1) and narrowed the market by focusing on outdoor recreation clothing (step 2). There is no information provided about selecting variable categories or specific segmentation variables, which are steps 3 and 4, respectively.

Question 10

Able Co. is a brand-new clothing company. They've decided they want to make clothes and divide the market between individuals who make more than $80,000 a year and those who make less. Which steps of the segmentation process have they completed?
A) 1) Define the broad market
B) 1) Define the broad market, 2) Narrow the market
C) 1) Define the broad market, 2) Narrow the market, 3) Select general variable category(ies) for segmentation
D) 1) Define the broad market, 2) Narrow the market, 3) Select general variable category(ies) for segmentation, 4) Choose specific segmentation variables within a selected category

Accepted Answer

The answer of Able Co. is a brand-new clothing company....

Question 11

There are five criteria for effective marketing segmentation: 1) identifiable, 2) measurable, 3) substantial, 4) accessible, and 5) responsive. Which of the following segmentation variables best meets the "identifiable" criterion?
A) Customers who live somewhere with an average temperature of at least 60 degrees.
B) Customers who typically vote republican.
C) Customers who are socially responsible.
D) Customers who are pessimistic.

Accepted Answer

The "identifiable" criterion refers to the ability to clearly define and distinguish the segment based on certain characteristics. Option A, customers who live somewhere with an average temperature of at least 60 degrees, is the most clearly identifiable and quantifiable among the choices, making it easier to identify and target.

Question 12

There are five criteria for effective marketing segmentation: 1) identifiable, 2) measurable, 3) substantial, 4) accessible, and 5) responsive. Which of the following segmentation variables best meets the "substantial" criterion?
A) Members of the segment typically vote democrat.
B) The segment represents $100 million in potential revenue and requires a roughly $10 million investment into the marketing mix.
C) All members of the segment are active on popular social media.
D) The segment represents approximately 200 million people.

Accepted Answer

The "substantial" criterion refers to the size of the segment being large enough to be profitable. Option B, indicating a segment with $100 million in potential revenue against a $10 million marketing mix investment, directly addresses the profitability and substantial size of the segment, making it the best fit for this criterion.

Question 13

There are five criteria for effective marketing segmentation: 1) identifiable, 2) measurable, 3) substantial, 4) accessible, and 5) responsive. Which of the following segmentation variables best meets the "measurable" criterion?
A) Members of the segment typically vote democrat.
B) All members of the segment use cellphones.
C) All members of the segment are active on popular social media.
D) The segment represents approximately 200 million people.

Accepted Answer

The "measurable" criterion refers to the ability to determine the size, purchasing power, and profiles of the segments. Option D, indicating a specific number of people (200 million), directly relates to the ability to measure the segment's size, making it the best fit for the "measurable" criterion.

Question 14

There are five criteria for effective marketing segmentation: 1) identifiable, 2) measurable, 3) substantial, 4) accessible, and 5) responsive. Which of the following segmentation variables best meets the "accessible" criterion?
A) Members of the segment typically vote democrat.
B) The segment represents $100 million in potential revenue and requires a roughly $10 million investment into the marketing mix.
C) All members of the segment are active on popular social media and the Company primarily advertises on social media.
D) The segment represents approximately 200 million people.

Accepted Answer

The "accessible" criterion refers to the ability of a company to effectively reach and serve the segment. Since all members of the segment in option C are active on popular social media platforms, and the company primarily advertises on social media, this segment is the most accessible for the company's marketing efforts.

Question 15

Marketing segments should be internally ________ and externally ________.
A) diverse; fragmented
B) accessible; consistent
C) fragmented; different
D) consistent; different

Accepted Answer

Marketing segments should be internally consistent, meaning that consumers within the segment should have similar needs and characteristics. Externally, segments should be different from one another to ensure clear differentiation in the marketplace.

Question 16

What is the general rule for how many segments to focus on at a time?
A) Companies should focus on all segments for which the required return on investment can be made.
B) Companies should focus on the most attractive segment.
C) Companies should focus on the three most attractive segments.
D) Companies should eliminate half of the segments by focusing on the most attractive 50%.

Accepted Answer

Focusing on the most attractive segment allows a company to tailor its products, services, and marketing strategies to meet the specific needs and preferences of that segment, potentially leading to a stronger market position and better financial performance.

Question 17

When a company is deciding on a target market, their first step is to rank the segments in order of ___________ based on attributes such as __________ and ____________.
A) attractiveness; size; growth
B) size; growth; attractiveness.
C) competition; size; ethics
D) growth; size; competition

Accepted Answer

Attractiveness is the primary factor companies consider when ranking market segments, which includes evaluating the size of the segment and its growth potential.

Question 18

Carrie's Convenience offers the Cincinnati community premium groceries at discount prices with more convenience and friendlier service than large chain grocery stores. This is an example of
A) a targeting statement.
B) a value proposition.
C) a positioning statement.
D) a target market proposition.

Accepted Answer

The answer of Carrie's Convenience offers the Cincinnati community premium...

Question 19

How many positioning statements does a company typically have?
A) None, since a "positioning statement" isn't a real thing.
B) Companies only have one positioning statement since its essentially a mission statement.
C) Companies typically have a positioning statement for each target market.
D) Companies usually have a positioning statement for their 3 primary sustainable markets.

Accepted Answer

Companies typically develop a positioning statement for each target market because different markets may perceive the value of a product or service differently. This allows a company to tailor its messaging to meet the specific needs and preferences of each segment, ensuring more effective communication and marketing strategies.

Question 20

Cover Co. is a new company with two employees: the husband and wife that founded the company. Cover makes trash can covers that help keep outdoor trash cans secure. Which segmentation method would Cover be least likely to use and why?
A) Demographic segmentation because nearly every household utilizes trash cans.
B) Behavioral segmentation because behavioral variables have little effect on the use and need for a trash can cover.
C) Psychographic segmentation because the variables are difficult for marketers to measure
D) Geographic segmentation because the use of trash cans isn't dependent upon geography.

Accepted Answer

The answer of Cover Co. is a new company with...

Quiz 6: Segmentation, Targeting, and Positioning

Ryder Company segmented the market based on the brand loyalty variable; what type of segmentation are they performing?

Tide segmented the market based on customer lifestyles; what type of segmentation are they performing?

Apple segmented the market based on whether customers were millennials; what type of segmentation are they performing?

Nike segmented the market based on whether customers considered themselves pessimistic; what type of segmentation are they performing?

Vineyard Vines segmented the market by dividing customers between those who make over $100,000 and those who don't; what type of segmentation are they performing?

In which step of the segmentation process would a SWOT analysis be most useful?

Adidas is currently trying to decide if segmentation based on demographics or psychographics makes the most sense. In which step of the segmentation process are they?

Microsoft has decided to that behavioral segmentation makes the most sense. Which step of the segmentation process is next?

Able Co. is a brand-new clothing company. They've decided they want to make clothes. Specifically, they want to make clothes for out-door recreation. Which steps of the segmentation process have they completed?

Able Co. is a brand-new clothing company. They've decided they want to make clothes and divide the market between individuals who make more than $80,000 a year and those who make less. Which steps of the segmentation process have they completed?

There are five criteria for effective marketing segmentation: 1) identifiable, 2) measurable, 3) substantial, 4) accessible, and 5) responsive. Which of the following segmentation variables best meets the "identifiable" criterion?

There are five criteria for effective marketing segmentation: 1) identifiable, 2) measurable, 3) substantial, 4) accessible, and 5) responsive. Which of the following segmentation variables best meets the "substantial" criterion?

There are five criteria for effective marketing segmentation: 1) identifiable, 2) measurable, 3) substantial, 4) accessible, and 5) responsive. Which of the following segmentation variables best meets the "measurable" criterion?

There are five criteria for effective marketing segmentation: 1) identifiable, 2) measurable, 3) substantial, 4) accessible, and 5) responsive. Which of the following segmentation variables best meets the "accessible" criterion?

Marketing segments should be internally and externally .

What is the general rule for how many segments to focus on at a time?

When a company is deciding on a target market, their first step is to rank the segments in order of _ based on attributes such as and ____.

Carrie's Convenience offers the Cincinnati community premium groceries at discount prices with more convenience and friendlier service than large chain grocery stores. This is an example of

How many positioning statements does a company typically have?

Cover Co. is a new company with two employees: the husband and wife that founded the company. Cover makes trash can covers that help keep outdoor trash cans secure. Which segmentation method would Cover be least likely to use and why?