Chapter 7

Question 1

Dividing a market into distinct groups of buyers who have different needs, characteristics, or behaviors and who might require separate marketing strategies or mixes.

Answer 1

Market segmentation

Question 2

Evaluating each market segment’s attractiveness and selecting one or more segments to serve.

Answer 2

Market targeting (targeting)

Question 3

Actually differentiating the market offering to create superior customer value.

Answer 3

Differentiation

Question 4

Dividing a market into different geographical units, such as nations, states, regions, counties, cities, or even neighborhoods.

Answer 4

Geographic segmentation

Question 5

Dividing the market into segments based on variables such as age, life-cycle stage, gender, income, occupation, education, religion, ethnicity, and generation.

Answer 5

Demographic segmentation

Question 6

Dividing a market into different age and life-cycle groups.

Answer 6

Age and life-cycle segmentation

Question 7

Dividing a market into different segments based on gender.

Answer 7

Gender segmentation

Question 8

Dividing a market into different income segments.

Answer 8

income segmentation

Question 9

Dividing a market into segments based on consumer knowledge, attitudes, uses of a product, or responses to a product.

Answer 9

Behavioral segmentation

Question 10

Dividing the market into segments according to occasions when buyers get the idea to buy, actually make their purchase, or use the purchased item.

Answer 10

Occasion segmentation

Question 11

Dividing the market into segments according to the different benefits that consumers seek from the product.

Answer 11

benefit segmentation

Question 12

Forming segments of consumers who have similar needs and buying behaviors even though they are located in different countries.

Answer 12

Intermarket (cross-market) segmentation

Question 13

A set of buyers who share common needs or characteristics that a company decides to serve.

Answer 13

target market

Question 14

A market-coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer.

Answer 14

Undifferentiated (mass) marketing

Question 15

A market-coverage strategy in which a firm targets several market segments and designs separate offers for each.

Answer 15

Differentiated (segmented) marketing

Question 16

A market-coverage strategy in which a firm goes after a large share of one or a few segments or niches.

Answer 16

Concentrated (niche) marketing

Question 17

Tailoring products and marketing programs to the needs and wants of specific individuals and local customer segments; it includes local marketing and individual marketing.

Answer 17

micromarketing

Question 18

Tailoring brands and marketing to the needs and wants of local customer segments—cities, neighborhoods, and even specific stores.

Answer 18

local marketing

Question 19

Tailoring products and marketing programs to the needs and preferences of individual customers.

Answer 19

individual marketing

Question 20

The way a product is defined by consumers on important attributes—the place it occupies in consumers’ minds relative to competing products.

Answer 20

product position

Question 21

The full positioning of a brand—the full mix of benefits on which it is positioned.

Answer 21

value proposition