1. Segmentation, targeting and Positioning

Question 1

Marketing Mix

Answer 1

Geographic, promotional and price segmentation can help a business to understand its customers’ needs and wants.

Question 2

Promotion

Answer 2

Segmenting a market can give businesses ideas about how best to promote their products.

Question 3

Market Mapping

Answer 3

Market mapping is a process to identify a gap in the market by looking at what competitors offer.

Question 4

Mass Market

Answer 4

The mass market tries to make products and/or services for all consumers.

Question 5

Niche Market

Answer 5

The niche market provides products and/or services which focus on a specialist want or need.

Question 6

Benefits of the Mass Market (x3)

Answer 6

Having more customers.

Benefiting from economies of scale

Can build a strong market presence.

Question 7

Drawbacks of Mass Market (x2)

Answer 7

Higher levels of competition.

Lower profit margins

Question 8

Benefits of Niche Market (x5)

Answer 8

Less competition.

Specific market.

Can develop specific expertise.

Higher profit margins.

Customer loyalty.

Question 9

Drawbacks of Niche Market (x2)

Answer 9

No economies of scale.

Vulnerability because they have an undiverse product portfolio.