Exam 8: Segmenting and Targeting Markets

Wesley Electronics Inc. is a company that manufactures electronic gadgets. The marketing team of the company spends a great deal of money on advertising in order to create awareness about the company's products among potential customers. It employs various methods of advertising, such as print, broadcast, and online advertising. According to the steps of market segmentation, Wesley Electronics Inc. is most likely:

Market segmentation helps decision makers to more accurately define marketing objectives and better allocate resources.

Nalpas Inc., an apparel company, manufactures clothes for men, women, and children. It further divides its core customers on the basis of demographic variables such as income, ethnic background, and family life cycle. In this context, these demographic variables are examples of _____.

Pine Groove, a cosmetics brand that primarily caters to women, wants to reach out to the less-traditional male market. It conducts research and develops a new product especially for men. In this context, Pine Groove uses _____.

Explain product differentiation as a positioning strategy used by marketers to distinguish their products from competitors.

_____ is a common base of demographic segmentation.

How do marketers use customer relationship management (CRM) as a targeting tool?

In the context of age segmentation, baby boomers expect everything to be instantaneous because they have never been introduced to a world without the Internet.

_____ is a means of displaying or graphing, in two or more dimensions, the location of products, brands, or groups of products in customers' minds.

A market segment is a subgroup of people or organizations having different characteristics that cause them to have distinct product needs.

A firm using a(n) _____ essentially adopts a mass-market philosophy, viewing the market as one big market with no individual segments.

Which of the following statements is true of a concentrated targeting strategy?

Which of the following statements is true of lifestyle segmentation?

Cannibalization occurs when the sales of a firm's existing product increase with the introduction of a new product.

Companies that successfully implement customer relationship management (CRM) tend to:

A concentrated targeting strategy differs from an undifferentiated targeting strategy in that a concentrated targeting strategy:

Wester Helix, a watch manufacturing company, is a brand most associated with men. They also manufacture products for women, but these products are less popular. In order to increase the sale of these products, Wester Helix opens a sister company that caters solely to women. In this scenario, Wester Helix uses age segmentation.

Promotion is one of the components that forms a marketing mix.

In the context of age segmentation, the tween and teenage cohort following the Millennials is sometimes called _____.

Customers looking for luxury want products that exhibit careful craftsmanship, timeless design, prestige, and exclusivity. This type of market is segmented by ethnicity.