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WorksheetsSegmentation, targeting, positioning
Total questions: 10
Worksheet time: 5mins
A key requirement for successful product differentiation is that:
The points of differentiation are easily copied by competitors
The product delivers things that are important to customers
Target customers cannot afford the product
The product does not have a USP
The following are all potential benefits of effective product differentiation – except which one?
Source of competitive advantage
Lowers the selling price
Protects and builds a brand
Adds more value
A potential drawback of deciding to target a niche market is that:
The gross profit margin on each sale is likely to be much lower
Economies of scale are less likely to be achieved
Customers are more likely to demand an undifferentiated product
Customers loyalty will fall
Which of the following businesses has a market positioning strategy of offering "more for less "?
Mercedes-Benz
Aldi
Waitrose
Next
Positioning map should be used with some caution because:
Competitors will also be using them
Customers are not influenced by market positioning
They cannot be supported by market research
The existence of a gap in the market does not guarantee demand
Market positioning should always be considered from the perspective of:
Analysts
Competitors
Suppliers
Customers
Which of these is an example of behavioural segmentation
A tour operator launches a new brochure targeting retired couples
And retail introduces a generous loyalty scheme for frequent customers
A fast-food chain expands by opening new outlets in three nearby towns
I luxury brand introduces it's most expensive product to date
Are useful framework for determining an appropriate position in a target market is a:
Positioning map
Segment report
Market research matrix
Swot analysis
A common feature of mass market is that:
Customers have very specific needs and wants
There are many similar products offered by customers
Mass-market advertising is not effective
Brands find it difficult to survive
In the STP model the targeting stage involves:
Deciding which segments to enter
Analysing the strength of potential competition
Calculating the size of each segment
Launch a new product into the segment
