Question 1

Karen has identified four potential market segments for her Rent-A-Chef home meal catering service.She will now evaluate whether or not each segment is attractive relative to all of the following except
A) substantial.
B) responsive.
C) profitable.
D) reachable.
E) realistic.

Accepted Answer

The question states that Karen will evaluate whether or not each segment is attractive relative to all of the following except for one option. The option that is excluded is "realistic." Therefore, Karen will evaluate whether or not each segment is substantial, responsive, profitable, and reachable, but not necessarily realistic.

Question 2

Marketers often employ a combination of segmentation methods,using __________ to identify and target their customers,and __________ to design products and messages to appeal to them.
A) loyalty segmentation; demographics
B) undifferentiated targeting; differentiated targeting
C) loyalty segmentation; geodemographics
D) demographics and geography; lifestyle or benefit segmentation
E) lifestyle segmentation; geographic segmentation

Accepted Answer

The question is asking for the combination of segmentation methods used by marketers. Loyalty segmentation (A and C) and undifferentiated targeting (B) are not commonly used segmentation methods. While geodemographics (C) and geographic segmentation (E) are forms of segmentation, they are not typically used in isolation, but rather in conjunction with other methods. The most commonly used combination includes demographics and geography (D) to identify and target customers, and lifestyle or benefit segmentation to design products and messages to appeal to them.

Question 3

Carlos has identified four potential market segments for his Rent-A-Nurse service.He will now compare the segments to see if they are distinct from each other.Carlos is evaluating whether or not each segment is
A) identifiable.
B) responsive.
C) profitable.
D) reachable.
E) substantial.

Accepted Answer

The answer of Carlos has identified four potential market segments...

Question 4

College students can be a less __________ market segment because students' media habits are quite diverse and firms might have to use a wide variety of media to attract this segment.
A) substantial
B) perceptive
C) identifiable
D) reachable
E) quantifiable

Accepted Answer

The best choice is "reachable" because it emphasizes that college students may be difficult to reach with advertising. Their media habits are diverse, and they may not consume traditional forms of media (like TV or print) in the same way as other market segments. As a result, firms may need to use a wider variety of media channels to connect with college students. The other answer choices (substantial, perceptive, identifiable, quantifiable) do not accurately reflect the challenge of reaching college students with advertising.

Question 5

When Starbucks first opened,many critics suggested,"No one will pay $4 for a cup of coffee." Starbucks's critics suggested consumers would not be __________ to the company's offerings.
A) responsive
B) perceptive
C) identifiable
D) reachable
E) quantifiable

Accepted Answer

The sentence states that critics believed that consumers would not be willing to pay $4 for a cup of coffee, which implies that they believed consumers would not be responsive to Starbucks' offerings.

Question 6

Marketers often create a special marketing mix for loyalty segments because these segments are
A) too large to service with ordinary targeting.
B) difficult to identify.
C) costly to acquire.
D) generally profitable.
E) constantly changing.

Accepted Answer

Loyalty segments typically consist of customers who have a high level of affinity and repeat purchase behavior towards a particular brand or company. These customers tend to be very valuable to marketers as they are generally more profitable than other customer segments. Therefore, marketers often create a special marketing mix that caters specifically to these loyal customers in order to encourage repeat purchases and foster long-term relationships.

Question 7

Greta is concerned that one of the potential market segments she has identified for her dog grooming service is too small and has too little income to have sufficient buying power.Greta is concerned with whether the segment is
A) substantial.
B) responsive.
C) profitable.
D) reachable.
E) identifiable.

Accepted Answer

Greta's concern about the market segment being too small and having too little income to have sufficient buying power directly relates to whether the segment is substantial. A substantial market segment is one that is large enough and has enough purchasing power to be profitable.

Question 8

Retail store chains often use __________ data to tailor each store's assortment to the preferences of the local community.
A) geodemographic
B) benefit
C) psychographic
D) loyalty
E) geographic

Accepted Answer

Geodemographic data is based on demographic and geographic characteristics of a particular area or community. By analyzing this data, retail store chains can understand the preferences, needs, and behaviors of the people living in that area. This helps them determine which products to stock in each store to appeal to the local community's preferences. Therefore, A) Geodemographic is the best choice for this question.

Question 9

Ryan wants to sell personal website services to American soldiers in Afghanistan.Because of the difficulty of communicating with people in a war zone,Ryan may have trouble with this segment not being
A) substantial.
B) perceptive.
C) identifiable.
D) reachable.
E) quantifiable.

Accepted Answer

Ryan may have trouble reaching soldiers in a war zone due to communication difficulties, which may make it challenging for him to sell his personal website services to them. The other options do not apply to this situation; the soldiers are a clearly identifiable group, and their presence in Afghanistan means that they are quantifiable. It is also likely that this is a substantial segment of the market, given the number of soldiers currently serving there. However, their ability to perceive or understand Ryan's offer may also be a challenge, but this is not the primary difficulty identified in the question.

Question 10

Geodemographic segmentation can be particularly useful for __________,because customers typically patronize stores close to their neighborhood.
A) Internet marketers
B) wholesalers
C) retailers
D) consumer goods manufacturers
E) cable TV networks

Accepted Answer

Geodemographic segmentation is most useful for retailers because customers usually prefer to shop at stores closest to where they live. By analyzing demographic and geographic data, retailers can better understand the preferences and needs of their local customers and tailor their marketing strategies accordingly. This can lead to increased customer loyalty and sales for the retailer.

Question 11

When Talbots,an upscale women's clothing store,tries to portray an image of "traditional,conservative,and with good taste," it is appealing to its target market's
A) lifestyle.
B) geodemographics.
C) demographics.
D) loyalty.
E) PRIZM segment.

Accepted Answer

Talbots is appealing to its target market's lifestyle by portraying an image that aligns with traditional, conservative values and good taste, which are aspects of a consumer's lifestyle preferences.

Question 12

One of the reasons marketers use loyalty segmentation is
A) the high cost of finding new customers.
B) government tax incentives.
C) accounting difficulties associated with identifying new customers.
D) rapid population increases.
E) the failure of micromarketing as a workable strategy.

Accepted Answer

Loyalty segmentation focuses on identifying and targeting customers who have shown loyalty and repeat business with the company. It is a cost-effective strategy as it is typically more expensive to acquire new customers than to retain existing ones. Therefore, choice A, the high cost of finding new customers, is the best answer.

Question 13

While demographic and geographic segmentation of retail customers are relatively easy,these characteristics do not help marketers determine
A) how old their customers are.
B) what their customers need.
C) where their customers live.
D) which customers have young children.
E) what income brackets their customers are in.

Accepted Answer

While demographic and geographic segmentation can provide information about customers' age, location, and income, they do not provide insight into what their customers actually need. This requires additional research and analysis through methods such as surveys, focus groups, and customer feedback.

Question 14

When Ron complained to his bank about the unprofessional behavior of one teller,the branch manager added a code into his accounts alerting all tellers that Ron was a valued customer and to provide whatever service he requests.The branch management included Ron in its __________ segmentation.
A) benefit
B) geodemographic
C) psychographic
D) loyalty
E) geographic

Accepted Answer

The branch manager included Ron in the loyalty segmentation, as a way to acknowledge and reward his loyalty to the bank by providing him with extra attention and service. This type of segmentation is typically used to identify and target high-value customers who have demonstrated a long-standing commitment to the brand.

Question 15

With access to the Internet nearly universal in the United States,many potential market segments have become more
A) substantial.
B) perceptive.
C) identifiable.
D) reachable.
E) quantifiable.

Accepted Answer

With access to the internet being nearly universal in the United States, it has become much easier for businesses to reach potential market segments that were previously out of reach.

Question 16

Kim's Kayak Tours initially identified active retirees living in the retirement community nearby as one of its target markets.Kim then tailored her service and marketing message to the interests and schedules of that audience.Kim initially used __________ segmentation and then used __________ segmentation.
A) micromarketing; loyalty
B) lifestyle; macromarketing
C) geodemographic; lifestyle
D) geographic; loyalty
E) behavioral; geodemographic

Accepted Answer

Kim initially used geodemographic segmentation to identify the retirees living in the nearby retirement community as a target market. Geodemographic segmentation is based on demographic and geographic characteristics and is useful in identifying specific neighborhoods or communities. Kim then tailored her service and marketing message to the interests and schedules of the retirees, which suggests that she used lifestyle segmentation to further segment her target market based on their interests and behaviors.

Question 17

Airlines were among the first retailers to embrace loyalty segmentation when they created
A) business-class seating.
B) 30-day advance pricing.
C) fuel surcharges.
D) in-flight movies.
E) frequent-flyer programs.

Accepted Answer

Airlines were one of the first retailers to create frequent-flyer programs to encourage repeat business and loyalty among their customers. These programs offered perks such as free upgrades, bonus miles, and access to airport lounges to those who flew with a particular airline regularly.

Question 18

Karen has identified four potential market segments for her Rent-A-Chef home meal catering service.The next step is to
A) categorize each market segment by consumer demographics.
B) establish her overall objectives.
C) decide on a targeting strategy.
D) develop a positioning strategy.
E) evaluate the attractiveness of each segment.

Accepted Answer

Karen needs to evaluate the attractiveness of each segment before deciding on a targeting or positioning strategy. This will involve analyzing factors such as market size, growth potential, competition, and profitability, and selecting the most promising segment(s) to focus on for her business. Once she has evaluated the attractiveness of each segment, she can then decide on a targeting strategy and develop a positioning strategy that effectively communicates the unique benefits of her Rent-A-Chef service to her target customers.

Question 19

For a segmentation strategy to be successful,the customers in the segment must react similarly and positively to the firm's marketing mix.In other words,the market segment must be
A) substantial.
B) perceptive.
C) identifiable.
D) reachable.
E) responsive.

Accepted Answer

A market segment must be responsive to the firm's marketing mix in order for a segmentation strategy to be successful. This means that the customers in the segment must react similarly and positively to the firm's marketing efforts, such as advertising, pricing, product features, and distribution channels. If the segment is not responsive, the firm's marketing efforts will not have a significant impact on sales and profits. Therefore, responsiveness is a critical characteristic of a successful market segment.

Question 20

Talbots,an upscale women's clothing store,targets college-educated women between 35 and 55 years old with average household income of $75,000 or more.This is a form of __________ segmentation.
A) benefit
B) geodemographic
C) psychographic
D) demographic
E) geographic

Accepted Answer

The given segmentation is based on demographic factors such as age, education, and income. Therefore, the correct choice is demographic segmentation.

Quiz 9: Segmentation, Targeting, and Positioning

Karen has identified four potential market segments for her Rent-A-Chef home meal catering service.She will now evaluate whether or not each segment is attractive relative to all of the following except

Marketers often employ a combination of segmentation methods,using to identify and target their customers,and to design products and messages to appeal to them.

Carlos has identified four potential market segments for his Rent-A-Nurse service.He will now compare the segments to see if they are distinct from each other.Carlos is evaluating whether or not each segment is

College students can be a less __________ market segment because students' media habits are quite diverse and firms might have to use a wide variety of media to attract this segment.

When Starbucks first opened,many critics suggested,"No one will pay $4 for a cup of coffee." Starbucks's critics suggested consumers would not be __________ to the company's offerings.

Marketers often create a special marketing mix for loyalty segments because these segments are

Greta is concerned that one of the potential market segments she has identified for her dog grooming service is too small and has too little income to have sufficient buying power.Greta is concerned with whether the segment is

Retail store chains often use __________ data to tailor each store's assortment to the preferences of the local community.

Ryan wants to sell personal website services to American soldiers in Afghanistan.Because of the difficulty of communicating with people in a war zone,Ryan may have trouble with this segment not being

Geodemographic segmentation can be particularly useful for __________,because customers typically patronize stores close to their neighborhood.

When Talbots,an upscale women's clothing store,tries to portray an image of "traditional,conservative,and with good taste," it is appealing to its target market's

One of the reasons marketers use loyalty segmentation is

While demographic and geographic segmentation of retail customers are relatively easy,these characteristics do not help marketers determine

When Ron complained to his bank about the unprofessional behavior of one teller,the branch manager added a code into his accounts alerting all tellers that Ron was a valued customer and to provide whatever service he requests.The branch management included Ron in its __________ segmentation.

With access to the Internet nearly universal in the United States,many potential market segments have become more

Kim's Kayak Tours initially identified active retirees living in the retirement community nearby as one of its target markets.Kim then tailored her service and marketing message to the interests and schedules of that audience.Kim initially used segmentation and then used segmentation.

Airlines were among the first retailers to embrace loyalty segmentation when they created

Karen has identified four potential market segments for her Rent-A-Chef home meal catering service.The next step is to

For a segmentation strategy to be successful,the customers in the segment must react similarly and positively to the firm's marketing mix.In other words,the market segment must be

Talbots,an upscale women's clothing store,targets college-educated women between 35 and 55 years old with average household income of $75,000 or more.This is a form of __________ segmentation.