67) Which of the following psychographic segmentation tools uses ZIP codes to identify
geographic clusters of lifestyle segments?
A) MindBase
B) PRIZM
C) VALS
D) SRI
E) DMA
68) In targeting and profiling consumers, a traditional retailer’s first strategic concern is
________.
A) diffusion
B) attitudes
C) fads
D) trends
E) geography
69) ________ refers to the quantity of a purchase.
A) Adoption rate
B) Brand relationship
C) Diffusion
D) Trend rate
E) Usage rate
70) Which of the following is referred to as a designated market area?
A) niche market
B) micromarket
C) media market
D) cultural cohort
E) brand community
71) Which of the following is NOT considered a consumer category of brand relationship?
A) innovators
B) ex-users
C) first-timers
D) switchers
E) regulars
72) Which of the following describes people with low levels of brand loyalty who may be
willing to try a new brand?
A) switchers
B) light users
C) early adopters
D) innovators
E) laggards
73) The ________ process refers to the speed with which people are willing to try a new product.
A) need recognition
B) adoption
C) risk
D) trial
E) usage
74) Which of the following categories in Rogers’ Diffusion of Innovation model represents the
2.5 percent of the population willing to try something new?
A) innovators
B) early adopters
C) early majority
D) late majority
E) laggards
75) ________ is your view of the relationship between what you gain by trying something new
and what you have to lose if it doesn’t work out.
A) Adoption
B) Adaptation
C) Perceived risk
D) Selective exposure
E) Selective distortion
76) According to SRI International, early adopters ________.
A) have stronger social networks than innovators do
B) cannot be identified by demographics alone
C) are low-volume media users
D) are less technologically savvy than laggards are
E) are heavily influenced by others in their social circles
77) ________ are professional researchers hired by advertisers to identify trends that may affect
consumer behavior.
A) Profilers
B) Seekers
C) Trend spotters
D) Demographers
E) Buzz marketers
78) ________ specialize in identifying trendy fads that appeal to young people.
A) Cool hunters
B) Buzz marketers
C) Seekers
D) Innovators
E) Early adopters
79) ________ are people who search, share, and initiate marketing communication and brand
relationships.
A) Cool hunters
B) Buzz marketers
C) Seekers
D) Innovators
E) Early adopters
80) Which of the following refers to the rate at which new ideas are spread?
A) word-of-mouth
B) innovation
C) usage
D) diffusion
E) adoption
81) Older consumers with sophisticated tastes and generally affluent lifestyles are identified as
belonging to the demographic and lifestyle segment called ________.
A) dinkies
B) yuppies
C) skippies
D) ruppies
E) guppies
82) The phenomenon of trends and fads is most closely related to which of the following?
A) psychographic factors
B) geographic factors
C) cross-cultural factors
D) gender
E) corporate culture
83) Which of the following involves matching online ads to interests indicated by consumers’
online activities?
A) data mining
B) behavioral targeting
C) geofencing
D) niche marketing
E) mass marketing
84) ________ age is how old we feel we are rather than how old we actually are.
A) Psychological
B) Chronological
C) Cognitive
D) Demographic
E) Discretionary
85) If baby boomers are predictors of where product and service demand will be, increased
demands will most likely be evident in ________ in the upcoming years.
A) university enrollment
B) beer and wine
C) health care
D) the apparel industry
E) the automobile industry
86) To communicate with and build relationships with the growing Hispanic market, marketers
will likely focus on how to do which of the following?
A) Advertise to a homogeneous group.
B) Advertise to a group with widely diverse backgrounds.
C) Use standardized marketing.
D) Use traditional mass media.
E) Use tiered marketing.
87) Wholesome Soups, a maker of organic soups, is starting a new marketing campaign
emphasizing the ease of preparing and eating Wholesome Soups on the go. Print, television, and
Internet ads feature college-aged students enjoying Wholesome Soups between classes and
during study breaks. Wholesome Soups’ new marketing campaign is most likely aimed at which
of the following?
A) baby boomers
B) baby busters
C) Gen Xers
D) echo boomers
E) Generation Jones
88) There is a trend in the United States toward rediscovering the flavor of regional cooking and
the use of locally grown ingredients. People are choosing to spend hours in the kitchen using
only the freshest ingredients to recreate local culinary traditions. This change in ________ is one
of the reasons the number of farmers markets in the United States has increased by 70 percent in
the last eight years.
A) needs
B) demographics
C) lifestyle
D) segmenting
E) life cycle
89) Cameron loves to know about and purchase the most up-to-date technological gadgets.
Among his friends, he is almost always the first to own the newest electronic product. Often the
products that Cameron buys become adopted by large groups of consumers, but occasionally
Cameron will purchase a product that is adopted by only a small portion of the population.
Cameron most likely belongs to which adopter group?
A) innovators
B) loyal users
C) early majority
D) late majority
E) laggards
90) After budgeting for the things that he has to pay for, such as his mortgage, car payments,
insurance, food, and so forth, Bob Smith figures that his family has $1,000 left each month to use
for whatever they want. This $1,000 represents the Smith’s ________ income.
A) net
B) gross
C) spendable
D) discretionary
E) left-over
91) The first step in the consumer decision process is information search.
92) A difference between the low- and high-involvement decision processes is the amount of
information needed to make a decision.
93) Making a purchase decision is the last step of the consumer decision process.
94) The path to a purchase decision varies depending on the type of product and the buying
situation.
95) Values are defined as rules that we learn through social interaction that specify or prohibit
certain behaviors.
96) Unlike a family, a household includes all those who occupy a dwelling, whether or not they
are related.
97) A need is an internal force that stimulates an individual to behave in a particular manner.
98) Acquired needs are those we learn in response to our culture and environment and may
include needs for esteem, prestige, affection, power, and learning.
99) Physiological needs include the need for water, food, and sleep.
100) An acquired need can also be called a secondary need.
101) The theory of cognitive dissonance refers to an internal conflict between two different
thoughts.
102) Business buyers and individual consumers are equally influenced by emotional factors.
103) In postpurchase evaluation, satisfaction is defined as the “gap” between the customer’s
expectations of a product or experience and the customer’s actual experience with it.
104) A belief that your family is more important than your job is an example of a value.
105) Because people are able to move between social classes, these classes are relatively
impermanent and disordered divisions composed of members without shared values, interests, or
behaviors.
106) When an insurance company tailors its promotional messages to show how its products
protect people from being devastated by a natural disaster or an accident, the company is
appealing to a secondary need on Maslow’s Hierarchy of Needs.
107) A company launching a global marketing program can expect messages that speak to the
values of taking initiative and rugged individualism will appeal equally to audiences in all
cultures.
108) Using an undifferentiated strategy, marketers treat the market as homogeneous, purposely
ignoring differences in the market and using one marketing strategy that will appeal to as many
people as possible.
109) Psychographic segmentation is primarily based on studies of how people spend their
money, their patterns of work and leisure, their interests and opinions, and their views of
themselves.
110) After segmenting a market, the marketer uses targeting to design specific communication
strategies for the product’s audience.
111) A cultural cohort is a segment of customers from multiple countries who share common
characteristics that create common wants and needs.
112) Market segmentation refers to using vast computer databases of personal consumer
information to direct highly individualized messages to narrow slices of a segment.
113) Profiles are descriptions of the target audience that read like a description of someone you
know.
114) Consumers with higher education tend to prefer print media, the Internet, and selected radio
and cable stations.
115) In the United States, ethnicity is a major factor for segmenting markets.
116) Psychographics refers to lifestyle and psychological characteristics such as activities,
interests, and opinions.
117) Women account for the majority of all consumer purchases in the United States.
118) Yuppies are young urban professionals who do not have children.
119) “I am Devoted” and “I Measure Twice” are two general consumer groups identified by
MONITOR’s MindBase.
120) Heavy users and brand-loyal buyers are usually a brand’s most important customers, and
they are the most difficult for competitors to switch away from a brand.
121) According to the Pareto rule, 20 percent of the market buys 80 percent of the products.
122) People who search, share, and initiate marketing communication and brand relationships are
referred to as Seekers.
123) Laggards are people with low brand loyalty who may be willing to try a new product.
124) Seekers tend to conduct three types of searches: associations, experiences, and interaction.
125) Ed purchases new technological devices such as PDAs, DVRs, and MP3 players after many
people he knows already own the devices. However, Ed is rarely among the last people he knows
to purchase a new technology. Ed is part of the late majority adopter group.
126) Name the stages of the consumer decision process. What role does marketing
communication play in each?
127) Explain the role of marketers in the information search step of the consumer decision-
making process. Give an example of how the marketer might execute this role.
128) Kim, who is an avid cyclist, decided to buy a new bicycle. She searched the Web for
information on bikes and visited some bike shops. What is involved in the next step in her
decision process if she follows the sequence in the text?
129) Roger has decided to purchase a personal computer for his household’s use, but he doesn’t
know much about computers and he really doesn’t want to spend more than $1,000. How many
stages of the consumer decision process is Roger likely to go through in making the decision
regarding which computer to purchase? Why?
130) Name and describe four social and cultural influences on consumer decisions. Why are they
important for advertisers?
131) Describe the psychological influences of needs, wants, and motivations and explain why
they are important to advertisers.
132) Describe the three functions of reference groups.
133) Many students in a junior high school wear the same style of shoes to school each day.
From the marketing perspective, why are these students conforming to a similar style?
134) Compare and contrast the terms family and household.
135) What is the difference between a consumer’s need and a want?
136) For years, the U.S. Army used an advertising campaign stressing that you can “Be all you
can be.” What type of need was addressed by this campaign?
137) Miriam purchased a new car last month, but she continues to look at advertising for cars
and notes how many other cars like hers are on the road. When a news article came out
indicating problems with the transmission noted by owners of her make of car, Miriam took that
to mean that all types of cars in that class can have those problems, not just hers. She even
sought out a Consumer Reports article that pointed out that the car she purchased was rated
highly on reliability. What is Miriam experiencing, and why?
138) Explain how marketers may be able to reduce postpurchase cognitive dissonance.
139) Define segmenting and then name and describe typical approaches to segmentation.
140) Describe and explain a purchasing situation in which the purchaser and user of a product
might have different wants.
141) Explain one advantage and one disadvantage of adding variables to a target audience
definition.
142) By treating the diet soda market as relatively homogeneous, what marketing strategy is
Pepsi using?
143) Which segmentation variables is Pepsi using when it narrows its marketing efforts for
regular Pepsi-Cola to “soda drinkers younger than 25, Latinos, African-Americans, and sports
fans”?
144) The article noted that a substantial portion of young people don’t consider diet sodas cool,
particularly men. What is Pepsi trying to accomplish with its increased effort to reach these
consumers?
145) Describe how an understanding of brand usage patterns and innovation and adoption
patterns helps marketers target consumers.
146) Explain why U.S. marketers are interested in the Latino market.
147) How do geographic shifts in population impact marketers?
148) Why might marketers want to target segments of the population based on lifestyles rather
than age groups?
149) Explain how the concept of cognitive age influences how marketers address both older and
younger consumers.
150) Ron is single and not a very good cook, so he eats a lot of pizza. In fact, he orders it
sometimes five nights per week from his favorite pizza place, Pizza Hut. Why is Ron an
important customer for Pizza Hut?