This document contains 10 learning questions about market segmentation from Chapter 8. It discusses the four levels of micromarketing - segments, niches, local areas, and individuals. Question 1 asks about niches, which are more narrowly defined customer groups. Question 2 asks about life stage defining a person's major concern in demographic segmentation. Question 3 asks about the exception to target markets. Question 4 asks about the criteria market segments must be, with the exception being flexible. Question 5 asks about a false statement in demographic segmentation. Question 6 asks about the exception in criteria for useful market segments. Question 7 asks about Manila Beer's local area marketing strategy. Question 8 asks about life stage segmentation in RunRio's marketing. Question 9 asks

1. TOP 10 Learning Questions for Chapter 8: Identifying Market Segments and Targets Allan Ray C. Enriquez September 24, 2010

2. Segment Niche Local area Individual Firm 2 Question 1. is a more narrowly defined customer group seeking a distinctive mix of benefits.

3. There are four levels of Micromarketing 3 Concept Segments Niches Local areas Individuals

4. Markets can be targeted at four (4) levels: segments, niches, local areas and individuals. 4 Segments: large and identifiable groups Niche: more narrowly defined group with distinctive mix of benefits Local area: local customer groups (i.e. neighborhoods, individual stores) Individuals: particular customers with their customized needs and wants. Segments Niches Local areas Individuals Explanation of Concept

5. Answer 1. is a more narrowly defined customer group seeking a distinctive mix of benefits. Segment Niche Local area Individual Firm 5

6. Age Family size Social class Life stage Race 6 Question 2. defines a person’s major concern.

7. Demographic Segmentation 7 Concept Age and Life Cycle Life Stage Gender Income Generation Social Class

8. Life stage defines a person’s major concern. 8 Life stage may mean going through a divorce, going into a second marriage, taking care of an older parent, deciding to cohabit with another person, deciding to buy a new home and others. Age and Life Cycle Life Stage Gender Income Generation Social Class Explanation of Concept

9. Answer 2. defines a person’s major concern. Age Family size Social class Life stage Race 9

10. Segments Groups Niches Local Areas Individuals 10 Question 3. Target markets are the following except:

11. There are four levels of Micromarketing 11 Concept Segments Niches Local areas Individuals

12. Four levels of Micromarketing 12 Segments Niches As Kotler defined, there are four (4) levels of marketing. Local areas Individuals Explanation of Concept

13. Answer 3. Target markets are the following except: Segments Groups Niches Local Areas Individuals 13

14. measurable differentiable accessible flexible actionable 14 Question 4. Market segments, to be useful, must be ALL except:

15. Effective Segmentation Criteria 15 Concept Measurable Substantial Accessible Differentiable Actionable

16. To be useful, market segments must rate on five (5) key criteria: 16 Measurable: size, purchasing power and other characteristics should be measured. Substantial: should be large and profitable to serve. Accessible: can be effectively reached and served. Differentiable: should be conceptually distinguishable. Actionable: effective programs can be formulated. Measurable Substantial Accessible Differentiable Actionable Explanation of Concept

17. Answer 4. Market segments, to be useful, must be ALL except: measurable differentiable accessible flexible actionable 17

18. Men and women have different attitudes based partly on genetic makeup and socialization. People in the same part of the life cycle may differ in their life stage. Income always predict the best customers for a given product. Each generation is influenced by the times in which it grows up. Social class has a strong influence on preferences. 18 Question 5. Which of the following is FALSE?

19. Demographic Segmentation 19 Concept Age and Life Cycle Life Stage Gender Income Generation Social Class

20. In demographic segmentation, we divide market into groups and variables: 20 Age, family size, family life cycle, gender income, occupation, education, religion, race, generation, nationality and social class. Income segmentation is a long-standing practice in such categories such as automobiles, clothing, cosmetics, etc. However, income does not always predict the best customers for a given product. Age and Life Cycle Life Stage Gender Income Generation Social Class Explanation of Concept

21. Answer 5. Which of the following is FALSE? Men and women have different attitudes based partly on genetic makeup and socialization. People in the same part of the life cycle may differ in their life stage. Income always predict the best customers for a given product. Each generation is influenced by the times in which it grows up. Social class has a strong influence on preferences. 21

22. Segments can be served when available. The segments should be targeted to small groups for tailored marketing. Segments are conceptually similar to each other. Size and characteristics of the segments cannot be quantified. Effective programs can be formulated for attracting and serving the segments. 22 Question 6. All statements for market segments to be useful are FALSE except:

23. Effective Segmentation Criteria 23 Concept Measurable Substantial Accessible Differentiable Actionable

24. To be useful, market segments must rate on five (5) key criteria: 24 Measurable: size, purchasing power and other characteristics should be measured. Substantial: should be large and profitable to serve. Accessible: can be effectively reached and served. Differentiable: should be conceptually distinguishable. Actionable: effective programs can be formulated. Measurable Substantial Accessible Differentiable Actionable Explanation of Concept

25. Answer 6. All statements for market segments to be useful are FALSE except: Segments can be served when available. The segments should be targeted to small groups for tailored marketing. Segments are conceptually similar to each other. Size and characteristics of the segments cannot be quantified. Effective programs can be formulated for attracting and serving the segments. 25

26. Segment Niche Local Individual Global 26 Question 7. Manila Beer’s strategy is an example way of marketing.

27. There are four levels of Micromarketing 27 Concept Segments Niches Local areas Individuals

28. Manila Beer repackaged itself and reintroduced last June 2010*. 28 Target marketing leads to marketing programs tailored to the needs and wants of local customer groups. Manila Beer was relaunched June 25, 2010 in celebration of Manila Day as well. Source:http://recyclebinofamiddlechild.blogspot.com/2010/06/manila-beer-rocks-manila-day.html Explanation of Concept

29. Answer 7. Manila Beer’s strategy is an example way of marketing. Segment Niche Local Individual Global 29

30. Age and Life-Cycle Life Gender Social Class Generation 30 Question 8. RunRio’s marketing is focused to runners. This type of segmentation is focused primarily to stage.

31. Demographic Segmentation 31 Concept Age and Life Cycle Life Stage Gender Income Generation Social Class

32. Running has been dubbed as the “new badminton.” From merely 2,000 participants, races has increased to 10,000 this year.* 32 Generations are influenced by the times in which it grows up but at times different generations influence other generations because of relationship (i.e., family). Source: Rudy Biscocho, Runner’s World Philippines 2nd Issue, July 2010 Explanation of Concept

33. Answer 8. RunRio’s marketing is focused to runners. This type of segmentation is focused primarily to stage. Age and Life-Cycle Life Gender Social Class Generation 33

34. Local marketing Hypermarketing Megamarketing Mass marketing Niche marketing 34 Question 9. Colgate’s strategy of including sensitive teeth consumers in their market is a way of .

35. Markets can be targeted at four (4) levels: segments, niches, local areas and individuals. 35 Segments: large and identifiable groups Niche: more narrowly defined group with distinctive mix of benefits Local area: local customer groups (i.e. neighborhoods, individual stores) Individuals: particular customers with their customized needs and wants. Segments Niches Local areas Individuals Explanation of Concept

36. Sensodyne has been known for its toothpaste customized for sensitive teeth until Colgate released its product this year.* 36 Colgate, being a toothpaste company, added its product, Sensitive Pro-Relief to well understand its customers’ needs. Source: http://www.123jump.com/market-update/Colgate-Palmolive-Q4-Earnings-Call-Transcript/36333/21 Explanation of Concept

37. Answer 9. Colgate’s strategy of including sensitive teeth consumers in their market is a way of . Local marketing Hypermarketing Megamarketing Mass marketing Niche marketing 37

38. Segment Niche Local Individual Mass 38 Question 10. Sunsilk’s Co-creations’ strategy is this kind of marketing.

39. Markets can be targeted at four (4) levels: segments, niches, local areas and individuals. 39 Segments: large and identifiable groups Niche: more narrowly defined group with distinctive mix of benefits Local area: local customer groups (i.e. neighborhoods, individual stores) Individuals: particular customers with their customized needs and wants. Segments Niches Local areas Individuals Explanation of Concept

40. This year Sunsilk created Co-Creations by world-renowned international experts when it comes to haircare.* 40 Customized marketing is empowering consumers by designing products and services of their choice. Source http://mrsmartinezravesandrants.blogspot.com/2010/07/sunsilk-co-creations-media-launch.html Explanation of Concept

41. Answer 10. Sunsilk’s Co-creations’ strategy is this kind of marketing. Segment Niche Local Individual Mass 41

42. TOP 10 Learning Questions for Chapter 8: Identifying Market Segments and Targets Allan Ray C. Enriquez September 24, 2010