Exam 8: Segmenting and Targeting Markets

Home Cookin' Catering would like to improve customer satisfaction and increase repeat business.When you ask the owners to describe a typical customer,they say it is impossible and explain that with corporate functions,family affairs,and fund-raisers,they do not have a typical customer.You suggest it is time for market segmentation because:

Company characteristics,such as geographic location,type of company,company size,and product use,can be important segmentation variables.

A(n)_____ is a subgroup of individuals or organizations sharing one or more characteristics that cause them to have relatively similar product needs.

Product differentiation is a positioning strategy.

Marketers who hope to sell to baby boomers need to avoid appeals to boomers':

_____ is the segmenting of markets based on the region of the country or the world,market size,market density (number of people within a certain unit of land),or climate.

Which type of segmentation divides a market by the amount of product bought or consumed?

Products such as bleaches,aspirin,unleaded regular gasoline,and some soaps are distinguished by differences,such as brand names,packaging,color,smell,or "secret" additives.With these products,marketers attempt to convince customers their product is significantly different from the others and should therefore be demanded over competing brands.These marketers are using:

A manufacturer of lenses used in microscopes,binoculars,and telescopes has segmented its market into scientific equipment manufacturers,sporting equipment manufacturers,and retailers who sell replacement lenses.In order for this segmentation scheme to be successful,all of the following criteria must be met EXCEPT:

Mercedes-Benz Daimler AG,the maker of Mercedes-Benz automobiles,is planning to launch a new line of downsized luxury vehicles in the United States by 2012.Daimler has experienced a recent drop in global sales attributed to its product mix that focuses on larger luxury automobiles.With increasing fuel prices and stricter U.S.fuel-economy standards coming down the pipeline,Daimler doesn't want to be left behind.Daimler is behind its competition,though.Its German rivals,Audi and BMW,have been relatively successful in the U.S.BMW's Mini Cooper,demanding as much as $34,000,has already driven away with some of Daimler's potential sales.While Daimler already offers the Smart car in the U.S. ,the new offerings will not be going after the same consumer -Refer to Mercedes-Benz.Baby boomers have money to burn and will be the primary target for the downsized,luxury vehicles offered by Mercedes.Many of them will want this type of car to feel young again.This group is considered a(n)_____.

If a market segment is especially motivated by coupons in newspapers,which segmentation success criterion is most influential in the success of this program?

A(n)_____ is a group of people or organizations for whom an organization designs,implements,and maintains a marketing mix intended to meet the needs of that group,resulting in mutually satisfying exchanges.

_____ is the process of grouping customers into market segments according to what is sought from the product.

Firms can be categorized by the type of purchasing strategy used._____ consider numerous,even unfamiliar suppliers and solicit and analyze options.

Compare and contrast traditional mass marketing and one-to-one marketing.What is the primary goal for companies that adopt the one-to-one marketing approach?

With multisegment targeting,a company could benefit from all of the following EXCEPT:

Pharmaceutical firms market many brands of cold remedies with highly similar ingredients.The primary difference among the brands is their promotions that emphasize that various brands will treat different symptoms,such as runny noses,headaches,and fever.This is one way to practice:

Product positioning is the process of:

_____ are characteristics of individuals,groups,or organizations that marketers use to divide a total market into segments.

Procter & Gamble markets several different brands of laundry detergent,such as Tide,ERA,Gain,and Dreft,each targeting a different market segment.This is an example of concentrated targeting.