Deck 4: Targeting and the Marketing Mix

Question 1

Purchase occasion is a psychographic variable used to segment consumer markets.

Answer 1

False

Question 2

A challenge of market segmentation is estimating a firm's potential profits if it focuses on the whole market or only on specific segments.

Answer 2

True

Question 3

In developing a marketing mix,marketers generally start with the consumption life cycle.

Answer 3

False

Question 4

The process of market segmentation is a three-step process that begins with planning,defining the product,and identifying the market.

Question 5

Differences between products that are readily apparent are called position differences.

Question 6

Exchange is the traditional trading of values between two entities.

Question 7

Brand equity is the totality of what consumers,distributors,dealers,and competitors feel and think about a brand over an extended period of time.

Question 8

To reach people who love to hunt,markets would most likely use psychographic segmentation.

Question 9

The important element in psychological pricing is that the price be consistent with the brand image; you can't charge a Rolex price for a Timex watch.

Question 10

Demographic segmentation would most likely be used to sell Fulla,a doll designed to embody the image of a proper Muslim woman.

Question 11

Psychographics are useful in the marketing of all products because psychographic systems,such as VALS,are easy to use.

Question 12

Advertisers use NAICS codes to obtain lists of companies for direct mailings.

Question 13

Primary demand refers to consumer demand for a specific brand within a product category.

Question 14

Distribution and promotion costs in selective distribution tend to increase as the number of outlets is limited.

Question 15

A target market can be classified into two types,namely,consumer markets and business markets.

Question 16

Communicating product utility is an essential component of marketing success.

Question 17

Network marketing is also called pyramid marketing.

Question 18

Advertising for a movie that describes the film as a "family-filled riot of fun" is relying on benefit segmentation.

Question 19

Market aggregation is a three-step process that involves (1)dividing groups based on different interests,(2)segmenting groups based on motivation,and (3)assigning each group psychographic motivations.

Question 20

An example of a private label brand is Costco's Kirkland brand.

Question 21

Market segmentation is a two-step strategic process,and the first step is to

A) conduct advertising research that determines consumers' reactions to various ad campaigns.
B) identify groups of people with certain shared characteristics within the broad product market.
C) locate as many market niches as possible that will be profitable for the firm.
D) develop place, time, service, and possession utility.
E) determine which personal influences will have the appropriate effect on consumers.

Question 22

Gary Silva,senior vice president of sales,U.S.Auto Parts Group at Genuine Parts,says NAPA doesn't have a cookie-cutter layout but builds stores based on market need,with each designed independently."It would be easier if all the stores had the exact same layout,but it's not the right thing to do for independent owners because some areas have more professional customers and others have more do-it-yourselfers," he explained.From this information,you know that NAPA targets both _____ markets.

A) domestic and international
B) internal and external
C) demographic and psychographic
D) business and consumer
E) non-controllable and controllable

Question 23

With an administered vertical marketing system,one company owns multiple levels of the distribution or production channel.

Question 24

Manufacturers' representatives,distributors,and retailers are considered resellers.

Question 25

Hard apple cider is making a comeback.Cider consumption is expected to hit 15 million cases annually this decade.Early adopters of cider are the same group that first gravitated to the microbreweries.Apple cider's drinkers like the notion that it is basically a fruit drink.It conjures up healthy associations and appeals to people who do not view themselves as serious connoisseurs.What segmentation variable would you recommend Woodchuck Draft Cider use to define its market?

A) usage rate
B) geographic
C) demographic
D) psychographic
E) purchase occasion

Question 26

With _____,marketers group people by their values,attitudes,personality,and lifestyle.

A) demographics
B) psychographics
C) geodemographics
D) attitudinal positioning
E) lifestyle positioning

Question 27

Intensive distribution involves limiting the number of wholesalers who can sell a product in order to gain a prestige image or maintain premium prices.

Question 28

Harris Teeter Inc.is a chain of supermarkets in the Atlanta area.In one of its stores in a predominantly Jewish neighborhood,the store has three rabbis on staff who make sure the foods sold at the store are kosher.Every Harris Teeter store has distinct characteristics that align it with the neighborhood in which it is located.The chain is using _____ segmentation.

A) geodemographic
B) psychographic
C) behavioristic
D) geographic
E) psychological

Question 29

Fast-food companies like Hardee's create advertising campaigns to appeal to "heavy fast-food users," the people who already eat fast food most days of the week,in order to encourage them to buy at their chain.Hardee's is using

A) purchase-occasion segmentation.
B) psychographic positioning.
C) demographic segmentation.
D) lifestyle segmentation.
E) volume segmentation.

Question 30

Home builders are using _____ segmentation to target people over 55 with homes that have wheelchair-friendly door widths,lever door handles,roll-out shelves,raised toilets,and direct 911 wiring.

A) demographic
B) psychographic
C) diffused
D) geographic
E) psychological

Question 31

In the United States,more than 40 percent of all retail sales are made through franchise outlets.

Question 32

The Values and Lifestyles (VALS)typology uses a two-dimensional structure based on

A) geographic variables and consumer perceptions.
B) consumer behavior and product characteristics.
C) primary motivation and resources.
D) self-orientation and product differentiation.
E) target marketing strategy and product positioning strategy.

Question 33

_____ is the product's ability to satisfy both functional needs and symbolic wants.

A) Market position
B) Product satisfaction
C) Product equity
D) Product utility
E) Market satisfaction

Question 34

An ad for Crest's whitening strips shows a woman with white teeth and several boxes with possible ages,suggesting her white teeth make her look younger.Crest is using

A) demographic segmentation.
B) behavioristic segmentation.
C) temporal segmentation.
D) psychographic positioning.
E) lifestyle segmentation.

Question 35

The Visitors Bureau of Greenville,Mississippi,uses an ad with the following headline: "Join some others who got inspired here" and then lists the famous authors that came from that part of the state.The message in this headline indicates the city is using _____ to attract tourists.

A) psychographic positioning
B) benefit segmentation
C) demographic segmentation
D) geodemographic segmentation
E) volume segmentation

Question 36

Customers who might buy Muir Glen brand organic soups are people who like soup,want to try something different,don't have time to cook,worry about putting chemicals in their bodies,and are vegetarians.These various groups who may be in the market for Muir Glen soups are all examples of

A) innovators.
B) market segments.
C) market aggregations.
D) diffusers.
E) buying centers.

Question 37

According to the research of Stephan and Tannenholz,_____ are the most brand loyal group and require the least amount of promotion.

A) early adopters
B) innovators
C) sole users
D) early majority
E) laggards

Question 38

Exclusive distribution is a strategy commonly used in the high fashion apparel industry.

Question 39

Over the past decade,brands that were once available only to the wealthy have created more affordable product extensions,giving a far broader range of consumers a taste of the good life.Jaguar,for instance,launched its X-type sedan,which starts at $30,000 and is meant for the "almost rich" consumer who aspires to live in luxury.By marketing to people who desire a luxurious lifestyle,Jaguar is using

A) demographic segmentation.
B) psychographic segmentation.
C) geodemographic segmentation.
D) attitudinal positioning.
E) lifestyle positioning.

Question 40

The Japan Weather Association tracked buying patterns on 20,000 items and correlated them to the outside temperature.When the temperature goes up,people buy more sunshades,air conditioners,watermelons,and swimwear.When there's a chill in the air,sales of suits,sweaters,and heaters take off.This would be an example of

A) purchase-occasion segmentation.
B) psychographic positioning.
C) demographic segmentation.
D) lifestyle segmentation.
E) volume segmentation.

Question 41

The _____ for Axe Excite body wash is most likely young men interested in feeling that they have sex appeal.

A) product utility
B) trial/rejectors
C) target market
D) market aggregate
E) marketing mix

Question 42

In order to get the iPad ordered at retailers like Best Buy,Apple drove up demand through advanced advertising to consumers.Apple knew that consumer demand influences which products the tech retailers would carry.This was an example of

A) indirect consumer marketing.
B) promotion equity.
C) scrambled promotion.
D) a push strategy.
E) a pull strategy.

Question 43

What is the next step for a marketer once market segmentation has been done?

A) target marketing process
B) budgeting process
C) mission statement
D) SWOT analysis
E) competitive assessment

Question 44

In the health care industries,strategies that target women are becoming increasingly prevalent because capturing the female patient means influencing the vast majority of health care decisions made for families.Plus,women use health services more frequently than men.If you are a health care provider,you would want to use _____ segmentation.

A) demographic
B) psychographic
C) diffused
D) geographic
E) psychological

Question 45

Which of the following marketing activities most likely takes place in the business market?

A) the sale of a Black & Decker hammer to a do-it-yourselfer
B) the rental of an apartment by a college student
C) the purchase of babysitting services for a small child
D) the purchase of a case of Campbell's brand soups by a supermarket
E) the payment of a fee to a divorce lawyer

Question 46

In order to reach a new target market,Old Spice has changed its products' package design,reformulated the scent of its products,arranged to have its products carried at hair salons at a higher mark-up,and begun running new ads aimed at women.What has been changed?

A) perceptual value
B) marketing mix
C) niche market
D) product line
E) product utility

Question 47

The _____ element of the marketing mix includes the way the product is designed and classified,positioned,branded,and packaged.

A) utility
B) communication
C) distribution
D) product
E) customer

Question 48

The North American Industry Classification System (NAICS)

A) will soon be replaced by the strategic industrial classification (SIC).
B) is published by the North American Treaty Alliance.
C) organizes all industries in the economy into 20 broad sectors.
D) has little relevance for marketers that use direct mail.
E) is top secret and cannot be shared with outsiders.

Question 49

Before starting Pedigree Pajamas,the owner of the company realized that he was treating his dog as if it were a child and that a lot of his friends did the same thing.So in what he perceived as a dog-friendly environment,he launched a line of doggie pajamas-available from size 6 for Chihuahuas to size 30 for Great Danes.The ads for Pedigree Pajamas had to convince people that dogs slept better in pajamas.A product that has to create primary demand is more than likely in the _____ stage of the product life cycle.

A) pioneering
B) introductory
C) maturity
D) growth
E) revitalization

Question 50

Many book publishers,such as Penguin Books,provide resellers with elaborate point-of-purchase displays to encourage resellers to stock and promote the publisher's lead books.In this example,Penguin is using a

A) penetration strategy.
B) diversification strategy.
C) divestiture strategy.
D) push strategy.
E) pull strategy.

Question 51

The sale of traditional brands of chocolate candy bars is declining.The manufacturers of candy have noticed that the demand for energy-boosters is up.As a result,they have introduced a new type of candy bar called "buzz bars." The new candy bars have 60 milligrams of caffeine,with taurine and B vitamins.The candy industry had to create _____ for buzz bars.

A) primary demand
B) par value
C) secondary demand
D) utilitarian worth
E) market value

Question 52

The _____ refers to the bundle of values built into a product aimed at satisfying various functional,social,psychological,economic,and other consumer needs and wants.

A) total product concept
B) marketing mix
C) targeted product
D) product attribution
E) product utility

Question 53

Which of the following is most likely a target market for a manufacturer that is licensed by World Wrestling Entertainment (WWE)to make Halloween costumes based on characters seen in WWE matches?

A) older men and women who enjoy watching Olympic wrestling
B) preteen males who wish to emulate one of the WWE wrestlers
C) people who believe the WWE promotes violence
D) children of parents who are sports enthusiasts
E) anyone who has attended a WWE match

Question 54

Which of the following is one of the bases for making purchase decisions in the business market and should be emphasized in promotional appeals?

A) product demonstrations
B) brand equity
C) wholesaler
D) retailer
E) market concentration

Question 55

In a(n)_____,promotional efforts are aimed at retailers and other distributors in order to encourage them to stock,display,and advertise the product.

A) indirect consumer marketing
B) promotion equity
C) scrambled promotion
D) push strategy
E) pull strategy

Question 56

When compared to consumer markets,business markets

A) contain many more buyers.
B) have more systematic purchasing procedures.
C) can be segmented using psychological variables.
D) have more dispersed markets.
E) cannot be segmented by end users.

Question 57

A pizza restaurant buys fountain Coca-Cola,which it sells to its customers.The pizza restaurant is an example of a(n)

A) consumer market.
B) VALS market.
C) reseller.
D) wholesaler.
E) business-to-business market.

Question 58

Which of the following is a limit of consumer segmentation methods?

A) For some products psychographics may offer little real value, as it oversimplifies consumer personalities and purchasing behavior.
B) Psychographics help address the emotional factors that motivate consumers, thereby fulfilling their needs and decreasing the likelihood of successive sales.
C) Psychographics rely too heavily on reciprocal activation, making them unlikely to create secondary sales.
D) Psychographics do not effectively employ Connectors, Mavens, and Salesmen in reaching consumers.
E) Psychographics encourage social epidemics such as racial profiling and stigmas against immigrants according to Malcolm Gladwell.

Question 59

Consumer demand for a whole product category such as DVD players,pickles,or laptop computers is called _____ demand.

A) primary
B) selective
C) positioned
D) category
E) introductory

Question 60

What is the first step in target marketing?

A) The target marketing process first determines the content, look, and feel of a company's advertising in relation to the specific segments generated in the market segmentation process.
B) The first step in the target marketing process is to develop primary demand in a target market by creating a unique selling proposition.
C) To perform the target marketing process correctly, an advertiser must first select a comprehensive staff of suppliers, media, managers, and clients.
D) From the view of a marketer, the target marketing process begins with setting the advertising budget.
E) The first step in target marketing is to assess which of the newly created segments offer the greatest profit potential and which can be most successfully penetrated.

Question 61

Bose manufactures and markets home theater systems,surround sound stereos,and audio accessories.The company prices its products higher than most other brands on the market to make its products seem more valuable and of a higher quality.In other words,Bose uses

A) exclusive distribution.
B) psychographic pricing.
C) psychological pricing.
D) intensive distribution.
E) price branding.

Question 62

The differences between Golden Harvest brand canning jars and Mason brand canning jars is not readily visible.Both are made of heavy glass that will not break easily.Through its advertising,Golden Harvest advertises that its jars are made with a glass that is 100 percent free of all impurities.In this way,Golden Harvest is using _____ to differentiate its product from those of the Mason brand.

A) hidden differences
B) differentiation cues
C) imperceptible differences
D) sensory cues
E) perceptual filters

Question 63

Proctor & Gamble is a global manufacturer that markets products such as detergents under the Tide,Gain,Cheer,and Era brand names.Which branding strategy does Proctor & Gamble use?

A) individual branding
B) regional branding
C) psychological branding
D) private labeling
E) family branding

Question 64

Another name for manufacturer's brands is

A) private brands.
B) umbrella brands.
C) national brands.
D) family brands.
E) individual brands.

Question 65

Which product would most likely involve intensive distribution?

A) Waterford crystal
B) Harry Potter books
C) Wrigley's chewing gum
D) Whirlpool refrigerators
E) Pepperidge Farm turnovers

Question 66

Unlike other ice cream brands,when it was introduced Ben and Jerry's ice cream was the only product that had unusual flavors with interesting ingredients.This is most likely an example of a(n)

A) perceptible difference.
B) differentiation cue.
C) imperceptible difference.
D) sensory cue.
E) perceptual filter.

Question 67

A(n)_____ comprises all the firms and individuals that take responsibility for the product as it moves from the producer to the consumer.

A) distribution channel
B) communication channel
C) intermediating continuum
D) marketing channel
E) connectivity channel

Question 68

Mike Rowe is an actor and television host who is known for promoting individual initiative and the importance of blue-collar work.One of his business assets is his name.Royal Bobbles pays a fee to use Rowe's name and likeness on a bobblehead doll.The Mike Rowe Bobblehead is an example of

A) licensed branding.
B) national positioning.
C) family branding.
D) private branding.
E) intensive branding.

Question 69

The basic goal of a positioning strategy is to

A) own a concept that establishes the product in the prospect's mind.
B) create a long-term market for a product category.
C) correlate the total product concept with the product's position in the product life cycle.
D) minimize product differentiation.
E) create and maintain primary demand for a product.

Question 70

With the common usage of laptops and tablets,large,bulky desktop computers have entered the _____ stage of the product life cycle and are being phased out by many computer firms.

A) utility
B) laggard
C) late adopter
D) decline
E) growth

Question 71

In the _____ stage of the product life cycle,the marketplace becomes saturated with competing products and the number of new customers dwindles and industry sales reach a plateau.

A) saturation
B) introductory
C) maturity
D) growth
E) revitalization

Question 72

There are many brands of energy drinks available at gas stations.The manufacturer of Red Bull energy drink heavily associates it with extreme sports through sponsorships and ads aimed at extreme sports enthusiasts.By putting its sponsors on cans,Red Bull hopes to create _____ so that customers will perceive why it is a better brand of sports drink than all the rest in the gas station.

A) secondary demand
B) selective demand
C) primary demand
D) pioneering demand
E) utility of demand

Question 73

While you cannot find televisions at every retail outlet,you can find them at discount stores,electronic stores,appliance stores,and department stores.What kind of distribution is used for televisions?

A) exclusive
B) pioneering
C) selective
D) intensive
E) direct

Question 74

Maidenform Brands is a global intimate apparel company that designs,sources,and markets intimate apparel products under the Maidenform,Flexees,and Lilyette brand names.Maidenform is able to use a multiple brand strategy that provides access to the faster-growing mass market channel without diluting the strong positive opinions and feelings that its consumers,distributors,dealers,and competitors have for the Maidenform,Flexees,and Lilyette brands.In other words,Maidenform and its major brands have strong

A) market share.
B) market value.
C) brand commitment.
D) brand equity.
E) market utility.

Question 75

Joe Boxer products can be found only at Kmart and Sears.Joe Boxer is best described as a(n)

A) aggregated brand.
B) private label.
C) manufacturer's brand.
D) indirect consumer promotion.
E) demographic brand.

Question 76

_____ is the totality of what consumers,distributors,dealers,and competitors feel and think about a brand over an extended period of time.

A) Brand acceptance
B) Market value
C) Brand commitment
D) Brand equity
E) Product loyalty

Question 77

If you look at an organically grown tomato and one that has been chemically enhanced,you can easily see the difference-the latter is perfectly formed and uniformly red while the organic tomato is not.In terms of product differentiation,this is an example of a

A) hidden difference.
B) differentiation cue.
C) perceptible difference.
D) sensory cue.
E) perceptual filter.

Question 78

A promotion was launched to position French's mustard as a fun line of condiments for a variety of everyday occasions.Its promotions showed vignettes of families,children,and older Americans enjoying foods flavored with French's Deli Style,Dijon Style,and Honey Mustard flavors as well as its Classic Yellow mustard.The fact that all of these mustards have the French's brand is an example of

A) individual branding.
B) regional branding.
C) psychological branding.
D) private labeling.
E) family branding.

Question 79

When Hannah buys almond soap from a vendor at an arts and crafts show,and the vendor who sells the soap is actually the person who made the soap from scratch,that is an example of

A) selective distribution.
B) indirect distribution.
C) direct distribution.
D) unbranded distribution.
E) differentiated distribution.

Question 80

The _____ stage of the product life cycle is characterized by rapid market expansion,more and more customers,and a decrease in total advertising expenditures as a percentage of total sales.

A) pioneering
B) introductory
C) maturity
D) growth
E) revitalization