Deck 10: Crafting the Brand Positioning

Question 1

All marketing strategy is built on segmentation, targeting, and positioning.

Answer 1

True

Question 2

The result of positioning is the successful creation of ________, which provides a cogent reason why the target market should buy the product.

A) an award-winning promotional campaign
B) a customer-focused value proposition
C) a demand channel
D) everyday low pricing
E) employee value proposition

Answer 2

B

Question 3

The ________ defines which other brands a brand competes with and therefore which brands should be the focus of competitive analysis.

A) consumer profitability analysis
B) competitor indexing
C) service blueprint
D) competitive frame of reference
E) cluster analysis

Answer 3

D

Question 4

Positioning is the act of designing the company's offering and image to occupy a distinctive place in the minds of the target market.

Question 5

Positioning requires that marketers define and communicate only the differences between their brand and its competitors.

Question 6

The goal of positioning is to ________.

A) locate the brand in the minds of consumers to maximize the potential benefit to the firm
B) discover the different needs and groups existing in the marketplace
C) target those customers marketers can satisfy in a superior way
D) collect information about competitors that will directly influence the firms' strategy
E) help the firm anticipate what the actions of its competitors will be

Question 7

Category membership is seen as the products that function as close substitutes of a brand.

Question 8

Perdue's cogent reason why a target market should buy its chicken is "More tender golden chicken at a moderate premium price," also known as its ________.

A) customer-focused value proposition
B) competitive frame of reference
C) points-of-parity
D) straddle positioning
E) perceptual map

Question 9

________ is the act of designing the company's offering and image to occupy a distinctive place in the minds of the target market.

A) Positioning
B) Valuation
C) Pricing
D) Commercialization
E) Launching

Question 10

A(n) ________ is a group of firms offering a product or class of products that are close substitutes for one another.

A) community
B) task force
C) industry
D) focus group
E) umbrella brand

Question 11

The competitive frame of reference defines which other brands that a brand competes with.

Question 12

When Coca-Cola determines the bottled-water competitors for its Dasani brand by identifying the products or sets of products with which a brand competes and which function as close substitutes, it is determining Dasani's ________.

A) customer-focused value proposition
B) points-of-parity
C) points-of-difference
D) category membership
E) brand mantra

Question 13

________ refers to the products or sets of products with which a brand competes and which function as close substitutes.

A) Consumer profitability analysis
B) Competitive frame of reference
C) Category membership
D) Value membership
E) Demand field

Question 14

The result of positioning is the successful creation of an employee-focused value proposition.

Question 15

________ are defined as companies that satisfy the same customer need.

A) Communities
B) Competitors
C) Trendsetters
D) Industries
E) Task groups

Question 16

Which of the following best describes BR Chicken's value proposition?

A) We sell chicken at most major malls.
B) We undertake home delivery services.
C) We target quality-conscious consumers of chicken.
D) We sell tender golden chicken at a moderate price.
E) We charge a 10 percent premium on our chicken.

Question 17

Which of the following best describes a car company's value proposition?

A) We charge a 20 percent premium on our cars.
B) We target safety-conscious upscale families.
C) We sell the safest, most durable wagon.
D) We are the market leader in the small car category.
E) We focus on expanding in faster-growing markets.

Question 18

What are the requirements for deciding on a positioning strategy?

Question 19

All marketing strategy is built on STP: segmentation, targeting, and ________.

A) positioning
B) product
C) planning
D) promotion
E) performance

Question 20

When Coca-Cola focused on developing its soft drink business but missed seeing the market for coffee bars and fresh-fruit-juice bars that eventually impinged on its soft-drink business, it was suffering from ________ because it defined competition in traditional category and industry terms.

A) factor elimination
B) marketing myopia
C) factor reduction
D) category points-of-parity
E) reliance on product description

Question 21

When BMW first made its strong competitive push into the US market in the early 1980s, it positioned the brand as the only automobile that offered both luxury (competing with Cadillac) and performance (competing with the Corvette), which is known as ________ because it uses points-of-difference and points-of-parity across categories.

A) a competitive frame of reference
B) zone of tolerance positioning
C) straddle positioning
D) red-ocean thinking
E) perceptual mapping

Question 22

Which of the following criteria relates to consumers seeing the brand association as distinctive and superior to relevant competitors?

A) desirability
B) differentiability
C) believability
D) deliverability
E) deviance

Question 23

Using the industry approach, competitors are defined as companies that satisfy the same customer need.

Question 24

A brand must demonstrate ________, for it to function as a true point-of-difference.

A) clear superiority of an attribute or benefit
B) clear profitability to the company
C) clear similarity to the attributes of other brands
D) technological advances for an attribute or benefit
E) exploitation of competitors' weakness

Question 25

Which of the following criteria relates to the company having the internal resources and commitment to feasibly and profitably create and maintain the brand association in the minds of consumers?

A) differentiability
B) peculiarity
C) desirability
D) believability
E) deliverability

Question 26

A company is more likely to be hurt by current competitors than by emerging competitors or new technologies.

Question 27

Which of the following criteria relates to consumers seeing the brand association as personally relevant to them?

A) deliverability
B) authenticity
C) desirability
D) differentiability
E) feasibility

Question 28

________ are attributes or benefits that consumers view as essential to a legitimate and credible offering within a certain product or service class.

A) Category points-of-difference
B) Conceptual points-of-parity
C) Competitive points-of-parity
D) Category points-of-parity
E) Competitive points-of-difference

Question 29

Consumers might not consider a hand sanitizer truly a hand sanitizer unless they are gels designed to apply topically, contain alcohol that kills the germs present on the skin, and developed for use after washing hands or for those times when soap and water are not available. These service elements are considered ________.

A) competitive points-of-difference
B) competitive points-of-parity
C) category points-of-difference
D) category points-of-parity
E) conceptual points-of-parity

Question 30

Belling is a chain of coffee shops. List possible competitors first from an industry point of view and then from the market point of view.

Question 31

Points-of-________ are product associations that are not necessarily unique to the brand but may in fact be shared with other brands.

A) parity
B) difference
C) inflection
D) presence
E) divergence

Question 32

With the help of an example, explain why a company's competition may not be from companies in the same category.

Question 33

Which of the following terms is most closely associated with the statement: "attributes or benefits consumers strongly associate with a brand, positively evaluate, and believe that they could not find to the same extent with a competitive brand"?

A) points-of-inflection
B) points-of-difference
C) points-of-parity
D) points-of-value
E) points-of-presence

Question 34

The two basic forms of points-of-parity are ________ points-of-parity and ________ points-of-parity.

A) conceptual; competitive
B) strategic; conceptual
C) category; deliverable
D) competitive; peculiar
E) category; competitive

Question 35

The three criteria that determine whether a brand association can truly function as a point-of-difference are ________.

A) comparability, authenticity, deliverability
B) desirability, peculiarity, deliverability
C) deviance, peculiarity, deformity
D) desirability, deliverability, differentiability
E) differentiability, authenticity, desirability

Question 36

The industry concept of competition reveals a broader set of actual and potential competitors than competition defined in just the market concept.

Question 37

To analyze its competitors, a company needs to gather information about both the real and the perceived strengths and weaknesses of each competitor.

Question 38

Philip Morris bought Miller Brewing and launched low-calorie beer, at a time when consumers had the impression that low-calorie beer does not taste as good as normal beer. What does the company assure by stating that the beer tastes good?

A) points-of-difference
B) points-of-presence
C) points-of-parity
D) points-of-conflict
E) points-of-inflection

Question 39

The three criteria that determine whether a brand association can truly function as a point-of-difference include desirability, ________, and differentiability.

A) discrimination
B) customerization
C) implementation
D) deliverability
E) demand

Question 40

Philip Morris bought Miller Brewing and launched low-calorie beer, at a time when consumers had the impression that low-calorie beer does not taste as good as normal beer. What did the company try to build when they conveyed the fact that the beer contained one third less calories and hence it is less filling?

A) points-of-difference
B) points-of-conflict
C) points-of-parity
D) points-of-presence
E) points-of-inflection

Question 41

________ is a company's ability to perform in one or more ways that competitors cannot or will not match.

A) Brand positioning
B) Market research
C) Competitive advantage
D) Competitor analysis
E) Competitive intelligence

Question 42

Which of the following statements about brand mantras is true?

A) They guide only major decisions, they have no influence on mundane decisions.
B) Their influence does not extend beyond tactical concerns.
C) They must economically communicate what the brand is and avoid communicating what it is not.
D) They can provide guidance about what ad campaigns to run and where and how to sell the brand.
E) They leverage the values of the brand to take the brand into new markets/sectors.

Question 43

BMW's "The ultimate driving machine," American Express' "Don't leave home without it," New York Times' "All the news that's fit to print," and AT&T's "Reach out and touch someone" are all examples of brand ________.

A) slogan
B) personality
C) mission
D) architecture
E) vision

Question 44

American Express' "World-Class Service, Personal Recognition," Mary Kay's "Enriching women's lives," Hallmark's "Caring Shared," and Starbucks' "Rewarding Everyday Moments" are examples of brand ________.

A) mantras
B) parity
C) identity
D) architecture
E) extension

Question 45

Straddle positions ________.

A) help firms to analyze who their competitors are
B) allow brands to expand their market coverage and potential customer base
C) are a necessity while creating a firm's vision and mission statement
D) assist firms in collecting information on competitors that will directly influence their strategy
E) are ambiguous moral principles behind the operation and regulation of marketing

Question 46

One common difficulty in creating a strong, competitive brand positioning is that many of the attributes or benefits that make up the points-of-parity and points-of-difference are ________.

A) negatively correlated
B) always correlated
C) directly proportional
D) never correlated
E) positively correlated

Question 47

Nivea became the leader in the skin cream class on the "gentle," "protective," and "caring" platform. The company further moved into classes such as deodorants, shampoos, and cosmetics. Attributes like gentle and caring were of no value unless consumers believed that its deodorant was strong enough, its shampoo would cleanse, and its cosmetics would be colorful enough. This is an example of ________.

A) competitive points-of-parity
B) competitive points-of-difference
C) category points-of-parity
D) category points-of-difference
E) competitive points-of-presence

Question 48

As a marketing manager, which of the following would be the best purpose for your organization's competitive points-of-parity?

A) to point out competitors' points-of-difference
B) to emphasize competitors' points-of-difference
C) to rationalize competitors' perceived points-of-difference
D) to globalize competitors' perceived points-of-difference
E) to negate competitors' perceived points-of-difference

Question 49

Marketers typically focus on brand ________ in choosing the points-of-parity and points-of-difference that make up their brand positioning.

A) equity
B) awareness
C) benefits
D) architecture
E) extensions

Question 50

________ are associations designed to overcome perceived weaknesses of the brand.

A) Conceptual points-of-parity
B) Category points-of-difference
C) Competitive points-of-parity
D) Competitive points-of-difference
E) Category points-of-parity

Question 51

A marketer that wants to anchor a point-of-difference for Dove soap on brand benefits might emphasize which of the following?

A) The soap is one-quarter cleansing cream.
B) Dove products include bar soaps and shampoos.
C) Dove soap helps users have softer skin.
D) The soap brand has global presence.
E) The brand has recently launched soap for men.

Question 52

For brands in more stable categories where extensions into more distinct categories are less likely to occur, the brand mantra may focus more exclusively on points-of-________.

A) difference
B) presence
C) inflection
D) parity
E) conflict

Question 53

Brand ________ are short, three- to five-word phrases that capture the irrefutable essence or spirit of the brand positioning and ensure that the company's own employees understand what the brand represents.

A) mantras
B) symbols
C) logos
D) alliances
E) extensions

Question 54

Points-of-parity are important while designing brand mantras for brands facing ________.

A) rapid growth
B) market saturation
C) slow and steady growth
D) rapid decline
E) stability in sales volume

Question 55

Which of the following types of differentiation relates to companies having better-trained personnel who provide superior customer service?

A) channel differentiation
B) services differentiation
C) employee differentiation
D) image differentiation
E) product differentiation

Question 56

A brand mantra should be ________.

A) original, ambiguous, and straightforward
B) unique, complex, and inspirational
C) communicative, simple, and inspirational
D) competitive, sensitive, and simple
E) unique, sensitive, and explanatory

Question 57

________ are visual representations of consumer perceptions and preferences.

A) Brand narratives
B) Share of mind variables
C) Perceptual maps
D) Exemplars
E) Points-of-parity

Question 58

A ________ advantage is one that a company can use as a springboard to new advantages.

A) sustainable
B) leverageable
C) realistic
D) rational
E) distinct

Question 59

A brand ________ is a translation of the brand mantra that attempts to creatively engage consumers and others external to the company.

A) vision
B) extension
C) architecture
D) slogan
E) alliance

Question 60

Brand mantras typically are designed to capture the brand's points-of-________, that is, what is unique about the brand.

A) conflict
B) parity
C) inflection
D) difference
E) presence

Question 61

If Starbucks considers quick-serve restaurants and convenience shops in its competitive frame of reference, then intended ________ might be quality, image, experience and variety, while intended ________ might be convenience and value.

A) PODs; POPs
B) POPs; PODs
C) substantiators; image variables
D) design variables; personality variables
E) image variables; personality variables

Question 62

A competitive point-of-parity negates competitors' perceived points-of-difference.

Question 63

Dayton, Ohio-based Iams found success selling premium pet food through regional veterinarians, breeders, and pet stores. This is an example of ________ differentiation.

A) service
B) employee
C) image
D) product
E) channel

Question 64

Category points-of-parity are unique to a brand.

Question 65

Which of the following is an example of image differentiation?

A) Berry's has an intensive training program for its customer-facing staff, to ensure a consistent service standard.
B) The Swan Hotels use a distinctive signature fragrance in all outlets so that customers can associate the fragrance with the hotel.
C) JEK's sophisticated customer database allows the company to handle queries and product returns much faster than competitors.
D) RTZ shifted its products from supermarket aisles to exclusive stores as it realized that customers were willing to pay more in stores.
E) Hayley's found success by allowing buyers to customize the color and some features of its appliances before buying them.

Question 66

If a brand is developing an offering with multiple frames of reference, which of the following is NOT advisable?

A) create a combined positioning that addresses all competitors
B) prioritize competitors
C) choose the most important set of competitors to serve as the competitive frame
D) adopt lowest common denominator positioning
E) develop the best possible positioning for each type or class of competitors

Question 67

Trying to be all things to all people leads to highest-common-denominator positioning, which is typically effective.

Question 68

Straddle positioning refers to a brand using different positioning with different categories of competitors.

Question 69

Points-of-parity are attributes or benefits consumers strongly associate with a brand and believe that they could not find to the same extent with a competitive brand.

Question 70

Which of the following types of differentiation refers to companies effectively designing their distribution medium's coverage, expertise, and performance to make buying the product easier and more enjoyable and rewarding?

A) services differentiation
B) channel differentiation
C) image differentiation
D) product differentiation
E) employee differentiation

Question 71

Category points-of-parity may change over time due to technological advances, legal developments, or consumer trends.

Question 72

Suppliers who are dependable in their on-time delivery, order completeness, and order-cycle time are most likely to be differentiated based on ________.

A) resilience
B) innovativeness
C) insensitivity
D) reliability
E) expertise

Question 73

Category points-of-parity are associations designed to overcome perceived weaknesses of the brand.

Question 74

Which of the following is an example of channel differentiation?

A) Berry's has an intensive training program for its customer-facing employees, to ensure a consistent service standard.
B) The Swan Hotels use a distinctive signature fragrance in all outlets so that customers can associate the fragrance with the hotel.
C) JEK's sophisticated customer database allows the company to handle queries and product returns much faster than competitors.
D) RTZ shifted its products from supermarket aisles to exclusive stores as it realized that customers were willing to pay more in stores.
E) Hayley's found success by allowing buyers to customize the color and some features of its appliances before buying them.

Question 75

Suppliers who are better at handling emergencies, product recalls, and inquiries are most likely to be differentiated based on their ________.

A) innovativeness
B) thoroughness
C) resilience
D) insensitivity
E) reliability

Question 76

A supplier creates better information systems, and introduces barcoding, mixed pallets, and other methods of helping the consumer. The supplier is most likely to be differentiated on its ________.

A) innovativeness
B) reliability
C) insensitivity
D) resilience
E) accuracy

Question 77

Subway restaurants are positioned as offering healthy, good-tasting sandwiches. When the competitive frame of reference is quick-serve restaurants like McDonald's, what is the POD?

A) health
B) taste
C) convenience
D) price
E) brand

Question 78

Associations that make up points-of-difference are based exclusively on product features.

Question 79

Singapore Airlines is well regarded in large part because of the excellence of its flight attendants. This is an example of ________ differentiation.

A) image
B) services
C) product
D) employee
E) channel

Question 80

Points-of-parity may be shared among two or more brands.