Exam 6: Market Segmentation, Positioning, and the Value Proposition

Climate, topography, community size, and national region have been found to make dramatic differences in consumption, including habits involving eating and food preparation, entertainment, and recreation.This is an example of ____ segmentation.

Spending advertising dollars to get "switchers" to buy your brand may seem like a good idea, but it often results in only one-time or random purchases.

The success seen from applying the STP framework is often long-term.

Scenario 6-5 Madison State University has a reputation for having a powerful intercollegiate coed bowling team.Seating in the campus bowling alley only allows for 400 fans to attend their matches.Long lines for seats have formed in the past, with many fans leaving disappointed because they could not get a ticket.As a result, the school's administrators decided to institute a "priority seating" plan in which fans would be given access to advance tickets based on the following schedule: • "Lanemaster Club" - $10,000 annual donation to the bowling program - guaranteed free box seats to any match (100 seats total) • "Strike Club" - $1,000 annual donation to the bowling program - guaranteed free bleacher seats to any match (100 seats total) • "Kingpin Club" - participants in local recreation bowling leagues - guaranteed bleacher seats for $10.00 to any match (100 seats total) • "Alleycat Club" - students who have maintained a 3.9 GPA or better - guaranteed bleacher seats for $1.00 to any match (100 seats total) -(Scenario 6-5) In marketing materials created to target fans, the slogan "Two hours of wholesome fun for all ages" is used to attract ticket-buyers.This philosophy is an example of ____ segmentation.

A brand's value proposition is a statement of the benefits of the brand that provide value to its target consumers and includes functional, emotional, and self-expressive benefits.

As a segment, variety seekers tend to

Scenario 6-1 Headquartered in Boston, The Gillette Company is the world leader in male grooming, a category that includes blades, razors, and shaving preparations.Several years ago, Gillette announced the launch of two new high-performance women's razors, broadening the portfolio of the top-selling Venus brand, the world's most successful franchise in female shaving.The two new razors were Venus Vibrance the first power wet shaving system for women, and Venus Disposable, a premium-performing disposable razor.Both razors incorporated technological and design enhancements to better address the specific shaving needs of women, and will build on current market segments.More recently the company has launched Venus Embrace, the first five-blade women's razor, with the tagline, "Reveal the Goddess in You." According to its website, nearly 40 million women now use Venus products.(http://www.gillettevenus.com/en_US/products/index.jsp) -(Scenario 6-1) The philosophy behind Gillette's efforts is based on

A firm hires an agency to attract barbers, spas, and hair salons with its line of hair care products, grooming equipment, and professional tools.The agency will be specifically involved in

Companies can do well by spending advertising dollars to target nonusers over other user groups, since they offer the highest level of opportunity.

If General Mills decides to use the STP framework, it can divide its resources to reach a number of separate and distinct market segments.

Think about a product that you have used in the past week.Using this as an example, explain the differences between segmenting, targeting, and positioning in the STP approach to marketing.

Scenario 6-4 Jay and Carrie Garrett operate a small retail store in a college town that sells only house plants and accessories, which they named The Plantatarium.Their initial feeling when they went into business was that virtually everyone was a potential customer for house plants.Subsequent market research conducted for them painted a different picture.This research identified three particularly strong market segments.The first was college students ages 18-24.The next segment was retired seniors ages 65-80.The third segment was professional offices for doctors, accountants, and lawyers.The college students liked houseplants because they dressed up their living spaces.The senior liked them because they became the focus of a hobby.The professionals did not buy them for any reason other than décor. -(Scenario 6-4) To attract the ____ in the market, the Plantatarium offers a punch card that rewards buyers with a $10 discount each time they have purchased $150 worth of plants and other goods from the store.

A gourmet ice cream franchise advertises itself as offering thick, creamy, gooey treats, calling them delectable, desirous, and decadent-the richest and sweetest desserts found anywhere in America.The owner of the local shop buys ads focusing on extended hours and friendly service.This is an example of internal consistency.

Scenario 6-1 Headquartered in Boston, The Gillette Company is the world leader in male grooming, a category that includes blades, razors, and shaving preparations.Several years ago, Gillette announced the launch of two new high-performance women's razors, broadening the portfolio of the top-selling Venus brand, the world's most successful franchise in female shaving.The two new razors were Venus Vibrance the first power wet shaving system for women, and Venus Disposable, a premium-performing disposable razor.Both razors incorporated technological and design enhancements to better address the specific shaving needs of women, and will build on current market segments.More recently the company has launched Venus Embrace, the first five-blade women's razor, with the tagline, "Reveal the Goddess in You." According to its website, nearly 40 million women now use Venus products.(http://www.gillettevenus.com/en_US/products/index.jsp) -(Scenario 6-1) According to the information provided here, Gillette has identified market segments along _____ lines.

An ad agency marketing a line of office products segments a consumer market using PRIZM data and then segments a business market using SIC data.These two systems have one thing in common, in that they both involve

Today, advertising tends to be used almost exclusively by businesses targeting consumer markets, and only in very rare circumstances by businesses trying to sell products to other businesses.

Which segment type of consumer specifically offers marketers an important opportunity to build future business by luring first-time buyers?

What are the three fundamental options that advertisers have when choosing a positioning theme?

STP marketing includes three factors-identifying, positioning, and informing.

The model designed by Esther Thorson and Jeri Moore features which element as the starting point to strategic advertising, located at its paramount apex?