Exam 9: Segmentation, Targeting, and Positioning

You are the marketing manager of a company that sells indoor lighting fixtures. When developing the company's positioning strategy, you choose to position the company's offerings against the offerings of your competitors. What would you expect your competitors to do?

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Question 1

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Students should identify the dynamic nature of competition and expect the competition will respond accordingly. Some competitors will retaliate. Others may simply choose a different position. Others might engage in legal action if they feel sufficiently threatened.

After assessing the market growth potential in Canada for his company's biking gear, Owen wanted to evaluate market competitiveness. To do this, Owen would consider

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Question 2

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Collin wants to expand his lawn-care business and wants to evaluate the profitability of a potential new market. The area he is looking at has 400 homes and Collin estimates that 10 percent of them would be likely to use his service. He charges $25 per lawn and on average customers want their lawns taken care of 20 times a year. Collin estimates the variable costs to expand his business will be $5 per service call and his fixed costs are $2,000. How much profit would Collin make on this new segment?

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Question 3

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Segment profitability = (Segment size × Segment adoption percentage × Purchase behavior × Profit margin percentage)- Fixed costsSegment size = Number of people in the segmentSegment adoption percentage = Percentage of customers in the segment who are likely to adopt the product\servicePurchase behavior = Purchase price × Number of times the customer would buy the product\service in a yearProfit margin percentage = (Selling price - Variable costs)÷ Selling priceFixed costs = Advertising expenditure, rent, utilities, insurance, and administrative salaries for managersCalculations based on our example are as follows:Segment profitability = (400 × 10% × (25 × 20)× (25 - 5)÷ 25)- $2,000Segment profitability = (40 × (500)× (20 ÷ 25))- $2,000Segment profitability = (20,000 × $0.8)- $2,000Segment profitability = $16,000 - $2,000Segment profitability = $14,000

Giant Food Stores in suburban Washington, DC, adjusts its ethnic food aisle offerings based on the ethnic groups living near each store. Giant Foods is using geodemographic segmentation.

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Question 4

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

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Question 5

The light beer commercial with the slogan "less filling, tastes great" was based on ________ segmentation.

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Question 6

When Ron complained to his bank's branch manager about the unprofessional behavior of one teller, the branch manager added a code into his accounts alerting all tellers that Ron was a valued, long-time customer and to provide whatever service he requests. The branch manager is using ________ segmentation to retain Ron as a customer.

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Question 7

Baby Boomers represent a huge demographic segment for travel marketers. Baby Boomers are also heavily motivated by self-fulfillment, which creates the possibility of ________ segmentation.

(Multiple Choice)

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Question 8

________ is an extreme form of a targeting strategy.

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Question 9

Within a perceptual map, a(n)________ represents where a particular market segment's desired product would lie.

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Question 10

Assume you are the marketing consultant for your university, which wants to focus its marketing efforts on recruiting new students. You have a choice of segmenting the undergraduate student market on either a demographic or benefit basis. What is the difference between the two? Which would you recommend, and why?

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Question 11

Imagine that you are a marketing executive at a hairbrush manufacturing company. How would you create and use a perceptual map? What positioning criteria might you use in creating it?

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Question 12

Adidas Group owns Reebok and Rockport-both of which offer different types of shoes. Having a variety of brands allows Adidas to use a differentiated targeting strategy to

(Multiple Choice)

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Question 13

Social networking sites that compete directly with Facebook have a difficult time surviving; however, LinkedIn has survived by focusing on the needs of business professionals, who seek to network with colleagues, share their expertise, post online résumés, and look for new jobs. What segmentation method is LinkedIn using?

(Multiple Choice)

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Question 14

Psychographics is the segmentation method that delves into how consumers

(Multiple Choice)

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Question 15

Meredith is assessing market growth, market competitiveness, and market access for each segment she has identified. Meredith is assessing the ________ of each potential market segment.

(Multiple Choice)

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Question 16

To develop psychographic segments, the marketer must understand consumers'

(Multiple Choice)

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Question 17

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

(Multiple Choice)

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Question 18

Shampoos sold in supermarkets and pharmacies promise various results, such as less frizz, more shine, less breakage, or more body. Shampoo marketers are using ________ segmentation.

(Multiple Choice)

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Question 19

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 represents a ________ segment of the beer market.

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Question 20

Showing 1 - 20 of 142

You are the marketing manager of a company that sells indoor lighting fixtures. When developing the company's positioning strategy, you choose to position the company's offerings against the offerings of your competitors. What would you expect your competitors to do?

After assessing the market growth potential in Canada for his company's biking gear, Owen wanted to evaluate market competitiveness. To do this, Owen would consider

Giant Food Stores in suburban Washington, DC, adjusts its ethnic food aisle offerings based on the ethnic groups living near each store. Giant Foods is using geodemographic segmentation.

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

The light beer commercial with the slogan "less filling, tastes great" was based on ________ segmentation.

Baby Boomers represent a huge demographic segment for travel marketers. Baby Boomers are also heavily motivated by self-fulfillment, which creates the possibility of ________ segmentation.

________ is an extreme form of a targeting strategy.

Within a perceptual map, a(n)________ represents where a particular market segment's desired product would lie.

Imagine that you are a marketing executive at a hairbrush manufacturing company. How would you create and use a perceptual map? What positioning criteria might you use in creating it?

Adidas Group owns Reebok and Rockport-both of which offer different types of shoes. Having a variety of brands allows Adidas to use a differentiated targeting strategy to

Psychographics is the segmentation method that delves into how consumers

Meredith is assessing market growth, market competitiveness, and market access for each segment she has identified. Meredith is assessing the ________ of each potential market segment.

To develop psychographic segments, the marketer must understand consumers'

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

Shampoos sold in supermarkets and pharmacies promise various results, such as less frizz, more shine, less breakage, or more body. Shampoo marketers are using ________ segmentation.

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 represents a ________ segment of the beer market.

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