Exam 7: Segmentation, Targeting, and Positioning

Explain the concept of positioning for competitive advantage.

A marketer focuses on several commonalities among all consumers. This marketer appears to be engaging in ________.

Apple says it makes its newest iPad has superior design and usability. Apple is referring to differentiation.

The answer to the customer's question, "Why should I buy your brand?" is found in the ________.

The markets you have chosen to serve in four western provinces can be effectively reached and served. You would tell the marketing manager that these segments are ________.

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. -How does the MAA differentiate its offering? How is this differentiation related to the position of the MAA?

When choosing a target marketing strategy, many factors need to be considered. Which of the following does your text mention as important?

Today, companies are ________ because they have the tools to interact on a one-to-one basis with masses of customers.

ByWay Ventures chose a differentiated marketing strategy. The company had to weigh ________ against ________ when selecting this strategy.

What is one way in which a marketer can attract non-loyal consumers?

It is considered socially irresponsible when the marketing of adult products spills over into the ________ segment.

Describe how marketers use multiple-segmenting bases to their advantage.

Why do international markets need to be segmented?

Jolene Enterprises mass-produces an all-purpose floor cleaner, mass-distributes it, and mass-promotes it. This firm uses ________ marketing.

A company or store gains a(n)________ by differentiating its products and delivering more value.

Which type of differentiation is used to gain competitive advantage through the way a firm designs its distribution coverage, expertise, and performance?

Because Cruise Ships International currently has limited financial and personnel resources, it should avoid concentrated or niche marketing until resources are again substantial.

Niche marketing offers smaller companies the opportunity to compete by focusing their limited resources on serving niches that may be ________ or ________ larger companies.

XYZ Computers, Inc., a business with limited resources, is a market nicher. How might XYZ benefit from this?

Explain the four major steps in designing a customer-driven marketing strategy.