Chapter 6

Question 1

Consumer’s AIO (Acronym)

Answer 1

Activities
Interests
Opinions

Question 2

What are the five steps in the Segmentation-Targeting-Positioning Process? Which of the three categories are they each under (S,T,P)?

Answer 2

Segmentation:
1) Strategy or Objectives
2) Segmentation Bases

Targeting:
3) Evaluate Segment Attractiveness
4) Select Target Market

Positioning:
5) Identify and Develop Positioning Strategy

Question 3

Psychographics (T)
What are some things looked at in psychographic segmentation? (3)
What is the survey called that is used to test some of these psychographic characteristics?

Answer 3

Studies how people self-select based on characteristics that help them choose how to occupy their time and what underlying psychological reasons determine those choices

Self-Values
Self-Concept
Lifestyle

Values and Lifestyle Survey (VALS)

Question 4

What questions does behavioral segmentation answer?

Answer 4

Where do they buy?
How often do they buy?
How do they plan to use the products?

Question 5

Occasion Segmentation (T)

Answer 5

A type of behavioral segmentation based on when a product or service is purchased or used

Question 6

Benefit Segmentation (T)

Answer 6

A type of behavioral segmentation that considers the benefits costumers are looking for from products or services

Question 7

Loyalty Segmentation (T)

Answer 7

A type of behavioral segmentation that invests in loyalty initiatives to retain the most profitable customers

Question 8

What four criteria must a segment satisfy to be considered a target market worth pursuing? What does each mean?

Answer 8

IDENTIFIABLE - distinct and firm is able to know who is in it
REACHABLE - can be accessed through persuasive communications and product distribution
RESPONSIVE - customers must react by purchasing. Ex. introducing chocolate at the a lingerie store may check all the other criteria, but shoppers won’t respond to the purchase because they aren’t in the mindset to buy chocolate when thinking about looking good
SUBSTANTIAL AND PROFITABLE

Question 9

What are the four targeting strategies?

Answer 9

Mass / Undifferentiated
Differentiated
Concentrated
Micromarketing One-to-One

Question 10

Positioning (T)

Answer 10

The perception that people have about a company and its products and brands relative to competing products, brands, or companies