Exam 8: Segmenting and Targeting Markets

A Small World is a nonprofit retail store that sells gift items made by artisans from over 30 different countries.This store provides employment to craftspeople in developing nations and markets their handiwork at a fair price.The store defines its market segment as people who believe in helping others and who feel good about helping others whenever possible.The store uses _____ segmentation.

Turkey Hunting Equipment Around the beginning of fall each year,about 2.7 million turkey hunters all over the United States start looking at catalogs for the perfect item to guarantee that this year they will kill a wild turkey,the most elusive game bird in North America.The devoted turkey stalker can stock up on everything from camouflaged turkey hunting socks,turkey license plate holders,vests with huge pockets for toting dead birds,and hunting videos to turkey decoys,turkey earrings,and turkey callers.Neil Cost is considered the best manufacturer of turkey callers in the world.It is his only product,and each is highly prized by turkey hunters.It is not unusual for a turkey hunter to pay $5,000 for one of Cost's callers. -Refer to Turkey Hunting Equipment.Primos Hunting Calls is another company that manufactures wild turkey callers.It claims each of its callers is able to cluck,shriek,and kee-kee (three sounds that have been known to attract the wild turkey).If you buy one of Cost's callers,you are limited to one sound.In this way,Primos has implemented a(n)_____ strategy.

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

MyCokeRewards.com,which gives Coke drinkers points for each purchase that they can redeem for rewards such as downloadable ring tones,is an example of

When a firm serves two or more well-defined market segments with a distinct marketing mix for each,it is using a(n)_____ targeting strategy.

Marketers use demographic information to segment markets because it is widely available and often related to consumers' purchasing and consumption behavior.List five common bases used by marketers for demographic segmentation.For each base listed,give an example of a product specifically targeted to the needs and wants of the segment identified within the base.

Small firms often adopt a concentrated marketing strategy to compete effectively with larger firms.

The purpose of market segmentation is to:

When the Coca-Cola Company set out to create a product that would appeal to young Hispanic men,they were using ________ segmentation.

Turkey Hunting Equipment Around the beginning of fall each year,about 2.7 million turkey hunters all over the United States start looking at catalogs for the perfect item to guarantee that this year they will kill a wild turkey,the most elusive game bird in North America.The devoted turkey stalker can stock up on everything from camouflaged turkey hunting socks,turkey license plate holders,vests with huge pockets for toting dead birds,and hunting videos to turkey decoys,turkey earrings,and turkey callers.Neil Cost is considered the best manufacturer of turkey callers in the world.It is his only product,and each is highly prized by turkey hunters.It is not unusual for a turkey hunter to pay $5,000 for one of Cost's callers. -Refer to Turkey Hunting Equipment.Given that the wild turkey hunters number approximately 2.7 million,it meets the segmentation criterion of:

Explain what is meant by positioning.Describe the bases marketers use to position products and services.

Companies that adopt a concentrated marketing strategy violate which of the following old sayings?

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 United States.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 United States,the new offerings will not be going after the same consumers. -Refer to Mercedes-Benz.Which positioning base will Daimler be using if the company emphasizes the type of people who buy Mercedes-Benz automobiles in its promotional efforts?

Firms can be categorized by the type of purchasing strategy they use._____ usually contact familiar suppliers and place an order with the first that can meet product and delivery requirements.

One reason marketers use market segmentation as a tool is that once completed,the process need not be repeated.

Consumers' perceptions regarding a product's position cannot be changed.

The Green Earth,a landscaping company,finds that the most difficult firms to get business from are the _____,because this group considers numerous and even unfamiliar suppliers,solicits bids,and carefully analyzes options;therefore,it requires a higher levels of customer service.

_____ 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.

NASCAR racing fans are some of the most diverse and loyal fans in the world.They will stand in the pouring rain,the freezing cold,or the blistering heat for hours to shake the hand and get the autograph of a NASCAR driver.These fans are not concentrated in any one area but are dispersed throughout the United States.A Web site designed to market NASCAR memorabilia would be most likely to be successful if it used _____ segmentation to determine its target market.

Clorox saw sales of its bleach products suffer when it introduced laundry detergents with bleach as an added ingredient.This is an example of: