3.5.1 and 3.5.2 - Customers and segmentation

Which of following best describes the term segmentation?

• The elements which influence whether a customer buys a product

• The proportion of total market sales sold by one business

• Dividing the market into different groups based on needs and wants

• The process of gathering and analysing data from the market

  place

Which of the following is a disadvantage to a business of segmentation?

• Costly mistakes are avoided

• Customer segments, once identified, can be hard to reach

• Sales can be increased

• Helps to select the correct marketing mix

Which of the following is a type of segmentation based on how much a customer earns?

• Gender

• Age

• Location

• Income

Which of the following are possible benefits of identifying and satisfying customer needs?

• Decrease in sales and increase in competitiveness

• Increase in sales and decrease in competitiveness

• Decrease in sales and decrease in competitiveness

• Increase in sales and increase in competitiveness

Which element of the marketing mix will a business be focussed upon if customer preferences in terms of colour and features of a product are successfully identified?

• Price

• Product

• Promotion

• Palce

The target market of a Caribbean cruise ship holiday is retired couples aged 65 years and over. This is an example of segmentation according to:

• Income and gender

• Age and location

• Occupation and age

• Gender and location

Which of the following is a benefit to a business of segmenting the market?

• Prices are more likely to be set that customers are prepared to pay

• Products may have to be withdrawn from the market

• Brand name may be damaged

• Profits may be reduced due to low sales

Which of the following is an example of a business segmenting the market based on income?

• A cake aimed at consumers with specific dietary requirements

• A fragrance aimed at male consumers

• A package holiday aimed at consumers under 30 years of age

• A car aimed at high earning consumers

M&S sells clothes aimed at males, females, adults and children. This is an example of segmentation according to:

• Income and personality

• Age and income

• Location and income

• Age and gender

Discount supermarkets, such as Aldi and Lidl, are most likely to segment the market according to:

• Gender

• Age

• Income

• Personality