MKTG clep

Description:	Chap 3-Target markets
Category:	Marketing
Created by:	lili8 on 2008-12-17

Question	Answer
Personal demographics	Identifiable characteristics of individuals and groups of people. Includes age, sex, family size, income, occupation, and education.
Geographic demographics	Identifiable characteristics of towns, cities, states, regions, countries. Includes county size, city size, population density, climate.
bahavioral dimensions	Include purchase occasion, user status, user rate, brand loyalty.
Psychographics	Factors that influence consumers' patterns of lifestyle (activities, interests, opinions, social class, personality, values).
Conditions to identify market segments that will respond to marketing programs homogeneously	Market segments must be measurable, accessible (or reachable), and large enough to be profitable.
Single-variable Segmentation	Buyer behavior can be related to only one segmentation variable.
Mutliple-variable Segmentation	Buyer behavior can be related to more than one segmentation variable, reflecting the importance of interrelationships btw factors in defining market segments.
Single segment or concentration strategy	Managers decide to concentrate on one segment as a target market.
Multiple segmentation strategy or differentiated marketing	Managers decide to concentrate on more than one target market with corresponding mktg mixes for each.
Undifferentiated or mass marketing	Maagers decide to treat the total potential market as a whole.
Involvement	Importance that consumers attach to the purchase of a particular product. Primary determinant of how consumers reach purchase decisions.
High involvement	Product is perceived to be personnaly important, realtively expensive, lack of relevant information about product from consumer but offer potential great benefits.
Low involvement	For frequentely purchased, low-priced goods.
Five-stage process - high involvement decision making	Need recognition, Search for relevant information, identification/evaluation of alternatives, purchase decision, postpurchase behavior.
Cognitive dissonance	Mental anxiety sometimes caused by a consumer's uncertainty about a purchase he or she made: consumers continue to evaluate pros and cons of alternatives after the sale has been made.
Three-stage process - low involvement decision making	Need recognition, purchase decision, postpurchase behavior.
Three characteristics in segmenting non-consumer markets	Customer type, Customer size, buying situation.
Customer Type	Includes manufacturers, wholesalers, retailers, govt agencies, and non profit institutions.
Customer Size	Based on the purchasing power of buyers rather than the number of buyers.
Buying Situation	Characterized as three types: new-task buying, straight rebuy, or modified rebuy.
New-task Buying	The task requires greater effort in gathering information and evaluating alternatives. Employed in the purchase of high-cost products that the firm has not had previous experience with.
Straight Rebuy	Process used to purchase inexpensive, low risk products, when previous purchases are simply reordered to replace depleted inventory.
Modified Rebuy	Used when the purchase situation is less complex than new-task buying and more involved than a straight rebuy.
Buyers (organizational buying decisions)	Individuals who identify suppliers, arrange terms of sale, and carru out the purchasing procedures.
Users	People within the firm who will use the product.
Influencers	Those individuals who establish product rewuirements and specifications based on their technical expertise or authority within the organization.
Gatekeepers	People within the organization who control the flow of relevant purchase-related information.
Deciders	The individuals who makes the final purchase decision.
Buying center	All the people who participate in or influence the decision-making process. The number of people making up the buying center will vary between organizations.