Deck 15: Market Segmentation and Product Positioning

Question 1

Identify the correct statement about the benefit segmentation approach.

A) It divides markets on differences in consumer lifestyles.
B) Generally, benefit segmentation follows a post hoc model.
C) It combines not only the person and the situation but also other important segmentation bases.
D) It identifies specific households in a market by focusing on local neighborhood geography.
E) It attempts to measure consumer value systems and consumers' perceptions of various brands in a product class.

Answer 1

E

Question 2

The opposite of market segmentation is:

A) differentiated marketing.
B) target marketing.
C) niche marketing.
D) mass marketing.
E) selected marketing.

Answer 2

D

Question 3

Product positioning maps are NOT used for:

A) the repositioning of existing products/brands.
B) suggesting the positioning strategies.
C) ranking neighborhoods on their potential to purchase specific products and services.
D) evaluating how consumers perceive their brands relative to competitors.
E) spurring the development of new products/brands.

Answer 3

C

Question 4

Which of the following examples is NOT associated with positioning by attribute?

A) Hyundai emphasizes low price
B) Volvo stresses safety and durability
C) Caress soap, by Lever Brothers, stresses on bath oil product rather than a soap
D) BMW emphasizes handling and engineering efficiency
E) Fiat emphasizes European craftsmanship

Question 5

Comparative advertising is an example of positioning by:

A) attributes.
B) lifestyles.
C) use/application.
D) users.
E) competitors.

Question 6

The market segmentation process begins with the:

A) analysis of customer-product relationships.
B) investigation of segmentation bases.
C) development of a product positioning strategy.
D) selection of a segmentation strategy.
E) designing of a marketing mix strategy.

Question 7

A(n)_____ segment is one that can be reached and served profitably.

A) measurable
B) achievable
C) marketable
D) meaningful
E) relevant

Question 8

The key objective of a positioning strategy is to create a particular _____ in the consumer's mind.

A) purchase intention
B) consumption tendency
C) shopping behavior
D) consumption need
E) brand image

Question 9

From a marketing strategy view,selection of which of the following is most important to the development of successful marketing programs?

A) Product
B) Service
C) Target market
D) Segmentation model
E) Advertising appeal

Question 10

For many products,the initial breakdown in markets is between:

A) primary and secondary markets.
B) consumer and industrial markets.
C) prestige and mass markets.
D) free and currency markets.
E) stock and commodity markets.

Question 11

According to the text,which of the following is NOT an approach to positioning strategy?

A) Positioning by attribute
B) Positioning by use or application
C) Positioning by product user/class of users
D) Positioning by product price
E) Positioning by competitors

Question 12

Which of the following positioning approaches often represents a second or third position designed to expand a market?

A) Positioning by product attribute
B) Positioning by product user
C) Positioning by product use/application
D) Positioning by product class
E) Positioning by competitor

Question 13

Consumer-product relationships are most commonly analyzed through all of the following methods EXCEPT:

A) brainstorming.
B) focus groups.
C) secondary research.
D) psychoanalytic tests.
E) primary research.

Question 14

Which of the following is based on the understanding that no single product is likely to appeal to all customers?

A) Market segmentation
B) Market positioning
C) Market placement
D) Market customization
E) Market planning

Question 15

According to VALS,groups are arranged and based on two dimensions.The vertical dimension includes all of the following EXCEPT:

A) income.
B) education.
C) self-confidence.
D) leadership skills.
E) ideals.

Question 16

Which of the following is NOT a basic alternative of segmentation strategy?

A) A decision to market to multiple segments with similarly tailored strategies for each
B) A decision not to segment
C) A decision to market to only one segment
D) A decision not to segment but to be a mass marketer
E) A decision not to enter a market

Question 17

An expensive china designed for special occasion is an example of:

A) benefit segmentation.
B) psychographic segmentation.
C) person/situation segmentation.
D) geodemographic segmentation.
E) psychoanalytic segmentation.

Question 18

Johnson & Johnson repositioned its shampoo from a product used for babies to one used by people who wash their hair frequently and therefore need a mild shampoo.This example is associated with which of the following positioning approaches?

A) Positioning by product attribute
B) Positioning by product user
C) Positioning by product use/application
D) Positioning by product class
E) Positioning by competitor

Question 19

The AIO (activities,interests,opinions)questions are used for analyzing which of the following types of segmentation?

A) Benefit
B) Psychographic
C) Person/Situation
D) Psychoanalytic
E) Geodemographic

Question 20

Which of the following is NOT true about the PRIZM NE (Potential Ranking Index of ZIP Markets-New Evolution)system?

A) It is based on the assumptions that consumers in particular neighborhoods are similar in many respects.
B) It is based on the assumptions that the best prospects are those who actually use a product or other consumers like them.
C) Marketers use it to better understand consumers in various markets.
D) It is arranged horizontally by three primary motivations and vertically by high or low resources.
E) It includes maps of different areas that rank neighborhoods on their potential to purchase specific products and services.

Question 21

In the analysis of consumer-product relationships,focus groups and other types of primary research can be used for identifying differences in attributes,benefits,and values of various potential markets.

Question 22

The person/situation segmentation attempts to measure consumer value systems and consumers' perceptions of various brands in a product class.

Question 23

Benefit segmentation is based on the idea that "the more you know and understand about consumers,the more effectively you can communicate and market to them."

Question 24

According to the person/situation segmentation,a firm should first position its offerings within the matrix and then position its competitors' offering within the matrix on the same criteria.

Question 25

The prestige market seeks only the highest-priced product available.

Question 26

Forming a particular brand image in consumers' minds is accomplished by developing a coherent strategy that may involve all of the marketing mix elements.

Question 27

Person/situation segmentation combines important segmentation bases such as benefits sought,product and attribute perceptions,and marketplace behavior.

Question 28

A marketable segment is one that can be reached and served profitably.

Question 29

Psychographic segmentation follows a post hoc model; that is,consumers first are asked a variety of questions about their lifestyles and then are grouped on the basis of the similarity of their responses.

Question 30

Since person/situation segmentation incorporates affect and cognition,behavior,environment,and marketing strategy,it offers a more comprehensive analysis than many other approaches.

Question 31

An examination of a positioning map by a company can indicate the need for a new product.

Question 32

A new product can be positioned with respect to an attribute that competitors have ignored.

Question 33

Positioning of soap as a bath oil product rather than soap is an example of positioning by product user.

Question 34

Products can have multiple positioning strategies,as increasing the number minimizes the difficulties and risks associated with positioning.

Question 35

A product cannot be positioned in terms of two or more attributes simultaneously.

Question 36

The price/quality attribute dimension is rarely used for positioning products.

Question 37

Brands such as Hartmann luggage and Gucci handbags are targeted toward the mass market consumers.

Question 38

While determining the best bases for segmenting markets,marketing managers may brainstorm the product concept and consider what types of consumers are likely to purchase and use the product and how they differ from those less likely to buy.

Question 39

A positioning map is used to investigate how to position a product.

Question 40

Today's technology has helped marketers to target a product's best customers and the stores where they are most likely to shop.

Question 41

_____ segmentation divides markets on differences in consumer lifestyles.

Question 42

_____ is the process of dividing a market into groups of similar consumers and selecting
the most appropriate group(s)and individuals for the firm to serve.

Question 43

The belief underlying the _____ segmentation approach is that the benefits people seek in consuming a given product are the basic reasons for the existence of true market segments.__

Question 44

In positioning by _____,an explicit or implicit frame of reference is the competition.

Question 45

Briefly describe market segmentation along the lines of VALSᵀᴹ.

Question 46

_____ segmentation identifies specific households in a market by focusing on local neighborhood geography to create classifications of actual,addressable,mappable neighborhoods where consumers live and shop.

Question 47

Briefly describe the four basic types of segmentation mentioned in your text.

Question 48

A _____ segment is one that is large enough to have sufficient sales and growth potential to offer long-run profits.

Question 49

A _____ is a visual depiction of consumers' perceptions of competitive products,brands,or models.

Question 50

Explain the task of analyzing consumer-product relationships in market segmentation.

Question 51

What are the basic alternatives involved during the consideration of a segmentation strategy? What are the three important criteria that a viable market must have?

Question 52

Positioning the product relative to competing products in the minds of consumers is known as _____.

Question 53

What is the key objective of product positioning? How might this be accomplished? What role(s)might positioning maps play?

Question 54

Markets can often be divided on the basis of the usage situation in conjunction with individual differences among consumers.This approach is known as _____ segmentation.

Question 55

List the steps involved in the person/situation segmentation.

Question 56

Explain the task of designing a marketing mix strategy in market segmentation.

Question 57

What is PRIZM NE? How does it benefit marketers?

Question 58

Probably the most frequently used positioning strategy is positioning by _____.

Question 59

Explain the three important criteria that a viable market must have.

Question 60

Why is market segmentation of vital concern to the modern marketer?