Exam 7: Segmentation, Targeting, and Positioning

When Burger King targets children, teens, adults, and seniors with different ads and media, it is practicing ________ segmentation.

The Montreal Athletic Association (MAA) is an upscale club and fitness facility in downtown Montreal. The club offers comprehensive fitness services that include a state-of-the-art weight room, squash courts, handball court, boxing ring, Olympic-sized swimming pool, zumba dance classes, yoga rooms, spinning classes, and a gymnasium for volleyball, badminton, basketball, and floor hockey. Several of the classes and personal training services are headed by fitness celebrities and former Olympic athletes. Beyond fitness, the MAA offers a world-class sports clinic that serves its members and many professional athletes. The clinic includes sports doctors, physiotherapists, and dietician services; and massage services and a restaurant are also part of the MAA offering. The restaurant, affectionately known by its members as "the Captain's Pub," has daily changes to its menu. Members routinely gather at the restaurant for drinks, holiday parties, Mother's Day brunches, and special events such as whiskey tastings. The staff likes to surprise its MAA "family members" by handing out roses to mothers on Mother's Day and having recognized experts lead the wine tasting sessions. Some members have belonged to the MAA for over 70 years! Not surprisingly, MAA is a favourite of celebrities when they shoot movies or perform concerts in Montreal. It is not uncommon for members to invite an A-lister movie star to join in a game of basketball or see a member have a game of squash with a rock-star. A few years ago, Reader's Digest voted MAA the best club in the country. The MAA likes to pamper its members. Change rooms are equipped with luxury towels and full amenities (e.g., shaving cream, razors, lotions, and shampoos). Laundry services and a pro shop with dedicated pros offering lessons are additional services that members can purchase. The MAA is not an inexpensive club. Each new member enters with an initiation fee of $250. Base monthly memberships on a 1-year contract start at $99 for those under 30, $109 for those between 30-35, and $125 for those over 35. The longstanding members who capture the "the spirit of the Club" are awarded Gold Memberships, which give the gold members access to special club privileges. -Discuss some of the different approaches that the MAA could use to segment the market. Be specific.

In evaluating different market segments, a firm must look at three factors: segment size and growth, segment structural attractiveness, and company objectives and resources.

Explain the four major segmenting variables for consumer markets.

What characteristics would interest a marketer who focuses on psychographic segmentation?

The majority of North America-based companies have developed the resources and the will to operate in multiple foreign countries.

Which of the segmenting strategies makes the most sense when a company introduces a new product?

Lexus targets wealthy consumers with similar needs and buying behaviours, even though the consumers are located in different countries. This is an example of ________.

It is most accurate to say that successful niche marketing relies on a firm's ________ and its ________.

Though the use of mass marketing has been widespread in the past 100 years, for centuries consumers were served as individuals as businesses practiced individual marketing.

Which of the following statements illustrates why stereotypes should be avoided when using age and life cycle segmentation?

Under what circumstances would local marketing likely be the most effective?

In target marketing, the issue is not really who is targeted, but rather ________ and for ________.

Target marketing sometimes generates controversy and concern. Issues usually involve the targeting of ________ consumers with ________ products.

Not every brand difference is worth establishing and promoting. A difference is worth promoting to the extent that it satisfies which of the following criteria?

Many firms make an effort to identify smaller, better-defined target groups by using ________.

When firms use symbols, colors, or characters to convey their personalities, they are using ________ differentiation.

"Because the Internet has no borders, it is useless for firms offering goods and services over the Internet to use geographical segmentation." Discuss this statement.

The 55-year-old baby boomers share common needs in music and performers. When a music company decides to serve this group, the group is called a(n)________.

MTV targets the world's teenagers, who have similar needs and buying behaviour even though they are located in different countries. This is called ________ segmentation.