MKT1001 Topic 3 Segmentation

________ is the process of dividing a market into distinct groups of buyers who have different needs, characteristics, or behavior.

• Differentiation

• Mass marketing

• Market targeting

• Market segmentation

Harry's caters to the clothing needs of men, manufacturing two different lines of fashion based on the purchasing power of its customers. One product line caters to the needs of affluent, middle-aged men, and the other line targets younger, up-and-coming professionals. Harry's most likely segments the consumer market based on ________ variables.

• geographic

• psychographic

• demographic

• behavioral

________ consists of arranging for a market offering to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers.

• Differentiation

• Positioning

• Market targeting

• Market segmentation

Which of the following is the right order of the steps that companies generally follow in designing a customer-driven marketing strategy?

• market segmentation, differentiation, positioning, and market targeting

• positioning, market segmentation, mass marketing, and market targeting

• market segmentation, market targeting, differentiation, and positioning

• market alignment, market segmentation, differentiation, and market positioning

Companies today are moving away from target marketing and toward mass marketing.

• True

• False

While designing a customer-driven marketing strategy, marketers are likely to divide the market into smaller segments.

• True

• False

Lilly's, a furniture retailer, sells low-end furniture and accent pieces that are targeted toward lower-income consumer groups. Lilly's most likely segments the consumer market based on ________ variables.

• demographic

• psychographic

• geographic

• behavioral

Gulf Coast, a wholesale shrimp distributor, groups its customers by regions in the United States, such as Midwest, Northeast, and Southwest. For each region, Gulf Coast tailors a different set of advertisements and promotions. The supplier is segmenting its market according to ________.

• behavioral factors

• personality characteristics

• geographic location

• benefits sought

Pediacertain Pet Supplies, a pet-food company, divides the pet market according to the pet owners' gender, occupation, income, and family life cycle. In this case, which of the following variables has the company used for market segmentation?

• geographic

• psychographic

• benefit

• demographic

One reason demographic variables are the most popular bases for segmenting customer groups is because they ________.

• create smaller segments

• create more easily accessible segments

• do not involve stereotypes

• are easier to measure than other variables