Exam 5: Target Market Segmentation and Evaluation

The producers of C & H Cane Sugar sell the product in five-pound bags, one-pound bags, and one-pound boxes. When developing its advertising strategy, C & H will most likely use a(n) ____ approach in defining a target market.

The marketing manager for Gillette razors is attempting to determine a sales estimate for the line of products that provide men with the ability to maintain their facial hair using a traditional razor or an electric razor. The marketing manager estimates that Gillette has a strong level of loyalty and brand name appeal and will garner 20% of the overall market. This amount is known as the _______. In addition, the marketing manager believes the total sales for the category to be $30 million annually for razors and razor blades for men. This is known as the ______________.

In developing a company sales forecast, the forecasting methods are limited to surveys and correlation methods.

A firm ordinarily uses the same sales forecasting method for determining short-range and long-range sales forecasts.

A company sales forecast is the amount of a product that a company expects to sell during a specific time period at a specified level of marketing activities.

Population density and city size are ____ variables used for market segmentation.

A market segment profile may cover such aspects as demographic characteristics, geographic factors, product benefits sought, lifestyles, brand preferences, and usage rates.

When the needs of individual consumers in a target market for a specific product are similar and the organization can satisfy most customers with a single marketing mix, the best approach to use may be the ____ strategy.

If Baskin-Robbins calculates that it could sell up to 25 percent of all ice cream cones sold in the United States, this percentage would represent the ice cream marketer's

The five-step process usually used for target market selection includes identifying the appropriate targeting strategy, determining which segmentation variables to use, developing market segment profiles, evaluating relevant market segments, and deciding which targeting strategy to use.

Which of the following statements about the undifferentiated targeting strategy is false ?

What is the main problem with using a market test as a forecasting tool?

A disadvantage of the concentrated targeting strategy is that

The concentrated targeting strategy is one in which an organization directs its marketing efforts toward a single market segment through one marketing mix.

Many companies today employ a sales forecasting manager or sales planner to determine the sales forecasts for individual products. Forecasting managers may utilize Excel to perform _______________ where sales is the dependent variable and a variety of other factors such as company size, annual purchases, and number of years as a customer are the independent variables. Fastenal, a reseller of tools, fasteners and other items required for manufacturers relies on this sophisticated and mathematical approach to forecasting sales by first utilizing historical sales data incorporating a 10-year history of sales for each product category such as different brands of tools and supplies-nuts, bolts, screws, etc. The sales forecasting manager is then able to identify the relationship between the independent variables and the dependent variables to determine an accurate sales forecast.

Through market tests, a forecaster gains data regarding consumers' intended purchases.

The total volume of a product, for all firms in an industry, that would be purchased by specific customer groups within a specified time period at a given level of industry-wide marketing activity, is the

After a firm has identified an appropriate targeting strategy, the next step in the target market selection process is

Compare and contrast the concentrated and differentiated targeting strategies of market segmentation.

The types of surveys used to forecast sales are customer, executive, and competitor surveys.