1
Q
What is market?
A
- A group of people, who have needs for products and have the ability, willingness, and authority to purchase them
2
Q
What is target market?
A
- The market in which the organisation decides to serve
3
Q
What is a market segment?
A
- Individuals with one or more similar characteristics that cause them to have similar product needs
4
Q
What is market segmentation?
A
- The process of dividing a total market into groups with relatively similar product needs to design a marketing mix that matches those needs
- Appropriate for heterogenous markets where there are diverse needs and wants for products
5
Q
What are the three targeting strategies commonly used by marketers?
A
- Undifferentiated Strategy → Organisation designs a single marketing mix and directs it at the entire market
- Concentrated Strategy → Organisation designs a single marketing mix and directs it at a single market segment
- Differentiated Strategy → Organisation targets two or more segments by developing a marketing mix for each
6
Q
What are segmentation variables and what are the different types?
A
- Characteristics of individuals, groups or organisations used to divide a market into segments
- Geographic
- Demographic
- Psychographic
- Behaviouristic
7
Q
What is product positioning?
A
- Creating and maintaining a certain concept of a product in a customer’s mind
8
Q
What are the bases for positioning?
A
- Product feature (unique attributes)
- Product benefits/advantages
- Competitors
9
Q
What is perceptual mapping?
A
- A tool to visualise consumer’s perceptions of their brand compared to competitors on important buying dimesions
