Marketing - Target Marketing

Question 1

Name 4 purposes of target marketing

Answer 1

• To raise awarness of products and services
• To raise the organisations profile
• To encourage customers to purchase products
• Retain existing customers

Question 2

What is market segmentation?

Answer 2

Process of dividing a broad consumer market into sub-groups based on shared characteristics

Question 3

Name 5 examples of how a business can segment their market

Answer 3

• Age
• Gender
• Religion
• Lifestyle
• Socio-economic grouping

Question 4

Describe 4 benefits of target marketing

Answer 4

1. Products can be tailored to meet the needs of particular groups.
2. Products can be sold in places that reach the chosen target → maximises sales
3. Pricing is set to reflect what the target market will be willing to pay → maximises profits
4. Promotion techniques can be tailored to attract a company’s target market → saves money

Question 5

• What is a market?
• What is marketing?

Answer 5

• Place where buyers and sellers come together
• The act of satisfying and retaining customers.