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CHAPTER EIGHT
SEGMENTATION, TARGETING, DIFFERENTIATION, AND POSITIONING STRATEGIES
Multiple Choice
1. ________ is the process of aggregating individuals or businesses along similar
characteristics that pertain to the use, consumption, or benefits of a product or service.
a. Marketing segmentation
b. Targeting
c. Geodemographics
d. Value positioning
2. Marketers commonly base their segmentation of consumer markets on ________.
a. demographics
b. geographic location
c. psychographics
d. all of the above
3. Which of the following are the top three languages used on most Web pages and online
bulletin boards?
a. English, Spanish, and German
b. English, Chinese, and Spanish,
c. English, Spanish, and Japanese
d. English, Japanese, and Chinese
4. User psychographics include all of the following except _________.
a. personality
b. lifestyle
c. geographic location
d. values
5. Marketers using ________ often form groups of consumers based on the outcomes they
desire from the product.
a. behavioral segmentation
b. benefit segmentation
c. online selling
d. usage segmentation
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6. While marketers will probably use a variety of segmentation methods, _____ is relied
upon as the key driver of marketing mix strategy?
a. benefits sought
b. behavior
c. identifying target markets
d. product usage
7. All of the following are used as bases for segmenting usage except ________.
a. home versus work access
b. mobile access
c. brand loyalty
d. online engagement level
8. According to Forrester Research consumer technographic segments, ________ are
technophiles and technology laggards, being least receptive audience for new
technologies.
a. techno strivers
b. sidelined citizens
c. fast forwards
d. surfers
9. According to Forrester Research’s scheme of technographic segments, which of the
following is most likely to be a receptive audience of new technologies.
a. fast followers
b. sidelined citizens
c. cautious onlookers
d. handshakers
10. Demographics include all the following except ________.
a. ethnicity
b. age
c. education
d. lifestyle
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11. ________ represent an important group for e-marketers to target to develop strong buzz
or word of mouth.
a. Influentials
b. Market Leaders
c. Hispanics
d. Millennials
12. Social networking pertains to ________.
a. specialized chat room for online dating
b. expanding the number of one’s business and/or contacts by making connections
through individuals online
c. form of tying together a number of e-mail accounts
d. an internet tool for building databases
13. ________ are internal evaluations about people, products, and objects, while ________
refers to what a person physically does.
a. Lifestyles; behaviors
b. Behaviors; attitudes
c. Attitudes; behavior
d. Attitudes; lifestyle
14. According to the text, ________ are the most ignored group of technology consumers.
a. Mouse Potatoes
b. Techno-Strivers
c. New Age Nurturers
d. Traditionalists
15. ________ occurs when a company tailors all or part of the marketing mix to a small group
of consumers/users..
a. Undifferentiated marketing
b. Micromarketing
c. Niche marketing
d. Direct marketing
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16. All of the following are criteria for targeting except ________.
a. reliability
b. accessibility
c. profitability
d. growth
17. To be an attractive online segment the segment must be all the following except ________.
a. be sizable
b. hold great potential for profit
c. be technically savvy
d. have access to the Internet
18. ________ is what a company does to the product, as opposed to ________, which is what a
company does to the mind.
a. Differentiation; Positioning
b. Positioning; Differentiation
c. Differentiation; Commercialization
d. Positioning; Commercialization
19. ________ is the process of adding a set of meaningful and valued differences to distinguish
the company’s offering from competitors’ offerings.
a. Positioning
b. Differentiation
c. Marketing
d. Customization
20. According to the text, market offerings can be differentiated along many dimensions,
except ________.
a. product
b. service
c. personnel
d. price
21. Which of the following is the biggest problem with price differentiation?
a. difficult to market
b. lowers value proposition
c. easily duplicated
d. quality is more important to buyers on the Internet
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True/False
22. Targeting is the process of selecting the market segments that are most attractive to the
firm and selecting an appropriate segment coverage strategy.
a. True
b. False
23. Product distribution is a critical driving force in geographic segmentation.
a. True
24. Many Asian and Middle Eastern countries have an easier time setting up databases in their
local languages than western countries, since their language often require double-byte
character sets.
a. True
b. False
25. Chinese is the second most popular Internet language.
a. True
26. Most marketers believe that demographics are useful for finding targets for
communication but are less than ideal for predicting online purchase behavior.
a. True
b. False
27. Social networking is based on the idea of six degrees of separation.
a. True
b. False
28. Psychographics include consumer lifecycles, ethnicity, and income.
a. True
b. False
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29. Individuals belonging to the Millennials segment number about 60 million and were born
between 1979 and 1994.
a. True
b. False
30. In developing countries a greater percentage of companies versus consumers are
connected to the internet.
a. True
b. False
31. C2C is the commonly accepted abbreviation for consumer-to-consumer marketing.
a. True
b. False
32. B2B is the commonly accepted abbreviation for business-to-business marketing.
a. True
b. False
Essay Questions
33. Clearly define segmentation and targeting. What are the differences in how these two
marketing tools are used and how are they interrelated?
34. Explain how psychographics can be used to segment markets. What useful information is
gathered by focusing on this kind of information?
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35. What are the ways to target online communities? If you were making a recommendation
to the e-marketing officer of Amazon.com which one or ones would you recommend the
firm to use?
36. The text presented Forrester Research’s Consumer Technographics Segments for
describing online user segments. Identify 3-4 of these segments and provide a brief
description of each.
37. Discuss the issues surrounding global Facebook and internet adoption, as well as their
implications for e-marketers.
38. Find an example of a Web site that is using integrator positioning to market their
products. Your answer should include a definition of integrator positioning.