Which of the following is true about behavioral segmentation on the basis of the loyalty variable?
A) Consumers tend to pay more for products that are targeted at their respective age group or generation.
B) By looking at customers who are shifting away from its brand, a company can learn about its marketing weaknesses and take actions to correct them.
C) Highly loyal customers of a brand are less likely to engage in word-of-mouth publicity than those who are not.
D) Completely loyal customers of a brand are typically loyal to two or three brands of a given product.
E) Only consumers who seek premium or luxury services are subjected to behavioral segmentation based on the loyalty variable.

Question

Quizplus · Accepted Answer

Behavioral segmentation on the basis of the loyalty variable involves studying the behavior of customers who are loyal to a brand as well as those who are not. By looking at customers who are shifting away from its brand, a company can learn about its marketing weaknesses and take actions to correct them. Option A is incorrect because it refers to age/generational segmentation. Option C is false as loyal customers can be effective in word-of-mouth marketing. Option D is also incorrect as completely loyal customers would typically only be loyal to one brand. Option E is false as all types of consumers can be segmented based on loyalty.

Which of the Following Is True About Behavioral Segmentation on the Basis