Chapter 6.4

Question 1

2. Weighing factors to reflect their importance

Answer 1

The factors must now be weighted to reflect their relative importance

Question 2

3. Assessing the current position of each target market

Answer 2

After the weights have been assigned, the manager must rate the organisation on each of the critical factors

Question 3

4. Projecting the future position of each target market

Answer 3

The organisation must predict how the market attractiveness might change over the next 3-5 years

Question 4

Approaches to target marketing

Answer 4

D-U-N-C-C M

-Differentiated marketing (Multiple segment strategy)

-Undifferentiated marketing (Market aggregation)

-Niching

-Counter segmentation

-Concentrated marketing

-Mass Customisation

Question 5

Differentiated Marketing

Answer 5

-The business elects to target 2 or more target markets, developing a unique marketing strategy for each one

-It allows the business to cater for diverse needs but is costly

Question 6

Undifferentiated marketing

Answer 6

The business chooses to ignore the differences in the market and pursue the total market with one basic market offering

Question 7

Niching

Answer 7

-A business can carve out a niche within a segment and further customise its marketing efforts on the group of customers in that niche

-It offers a certain amount of security to smaller firms who try to compete against large or multinational organisations

Question 8

Mass customisation

Answer 8

Combines the advantages of a niche segment strategy while retaining the breadth of opportunity available with differentiated marketing

Question 9

Product positioning

Answer 9

-The way consumers perceive a product in terms of its characteristics and advantages and its competitive position

-It therefore involves the creation in the minds of targeted buyers of a distinctive position with regard to the organisation’s product relative to those of competing organisations

Question 10

Positioning statement

Answer 10

A written description of the objectives which states how the organisation identifies the target market , the benefits the product offers and which aspects of the product differentiate it from others in the same product category

Question 11

Product positioning maps

Answer 11

A multi-dimensional graphic image depicting consumer perception; they assist marketers in developing focused marketing strategies and also help assess the advantages of an organisation’s marketing programme

Question 12

Copy positioning

Answer 12

Using the communication elements to create distinctive images and associations of the product in the consumers mind

Question 13

The positioning process

Answer 13

1. Identify all major competing brands
2. Identify which variables are most relevant to consumer needs and wants
3. Determine the consumer’s perceptions of your brand and competing brands
4. Analyse the strength of major brands
5. Analyse the brand’s currrent position
6. Determine which variables consumers prefer
7. Develop a positioning strategy that best satisfies consumer preferences