BPMM1013 QUIZ 2 11JUNE 2021 SIR ZAINOL

Companies know they cannot appeal to all buyers in the marketplace because of the following reasons.

i. buyers are too numerous.

ii. companies vary widely in their abilities to serve different market segments.

iii. buyers are varied in their needs and buying practices.

iv. companies need more information to offer the right products to the right customers.

• i, ii and iii

• ii, iii and iv

• i, iii and iv

• ii and iv only

The following person is considered as the potential user when segmenting consumers according to behavioral segmentation?

• Salleh, who recently changed his career.

• Fatimah, who recently had a baby boy

• Indrah, who enrolled as a diploma student in a university last year.

• Badrul, who opened a Pharmacy shop in Kuala Lumpur City.

A recent study conducted by Laura Cosmetics Company showed that heavy users of Laura's products comprise a small percentage of the market. The study indicated that less than 8 percent of all shoppers buy nearly 75 percent Laura's products in Malaysia. This is an example of ________.

• benefit segmentation

• segmentation by loyalty status

• segmentation by usage rate

• psychographic segmentation

The following statements are FALSE about multivariable segmentation systems?

i. Marketers using multiple segmentation bases tend to ignore smaller markets.

ii. Marketers often use multiple segmentation bases to control inflation.

iii. Multiple segmentation rarely involves the use of demographic data.

iv. Multiple segmentation bases help identify smaller, better-defined target groups.

• i, ii and iii

• ii, iii and iv

• i, iii and iv

• i, ii and iv

The following is TRUE about behavioral segmentation on the basis of the loyalty variable?

i. Consumers tend to pay more for products that are targeted at their respective age group or generation.

ii. 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.

iii. Highly loyal customers of a brand are less likely to engage in word-of-mouth publicity than those who are not.

iv. Completely loyal customers of a brand are typically loyal to two or three brands of a given product.

• i and iii

• ii and iv

• ii only

• iii only

Which of the following are common variables used by consumer marketers while segmenting markets?

i. operating characteristics

ii. loyalty status

iii. usage rate

iv. geographic location

• i, ii and iii

• ii, iii and iv

• i and ii only

• All option are commonly used.

Through market targeting, companies divide large, diverse markets into smaller segments that can be reached more efficiently and effectively with products and services that match their unique needs.

• TRUE

• FALSE

Several structural factors affect long-run segment attractiveness. These include all of the following EXCEPT ________.

• easy entry by new competitors

• the segment does not match the company's long-run objectives.

• strong and aggressive competitors

• many substitute products.

Always Perfect Services is a small company that uses a marketing strategy in which its limited resources are employed to target a large share of two small market segments. Always Perfect most likely uses which of the following marketing strategies?

• individual marketing

• mass marketing

• behavioral marketing

• concentrated marketing

Which of the following is NOT TRUE about the concentrated marketing strategy?

i. Companies that rely on a few segments for all of their business will suffer if a segment turns sour.

ii. Concentrated marketing is not profitable for most firms.

iii. Niche marketing involves few risks for most firms.

iv. Concentrated marketing involves going after a small share of a large market.

• i, ii and iii

• ii, iii and iv

• i iii and iv

• All statements are NOT true