Target Markets
What is the specific group of consumers a business wants to reach?
What is a target market?
What is the process of dividing a large market into smaller groups of consumers?
What is market segmentation?
Which marketing function involves deciding how much a product should cost?
What is pricing?
What are the four P's of the marketing mix?
Product, Price, Place, Promotion
Which utility is created when raw materials are formed into a product that is useful to consumers?
What is Form Utility?
A company discovers that most of its customers are high school students who play video games. Who would be an appropriate target market?
Who are high school gamers?
A company creates an advertisement specifically for teenagers ages 14–18. What type of segmentation is this?
What is demographic segmentation?
A company conducts customer surveys to find out what people think about its new product. Which function is this?
What is marketing information management?
A restaurant introduces a new spicy chicken sandwich. Which P is being changed?
What is Product?
A convenience store stays open 24 hours so customers can shop whenever they need to. What utility is this?
What is Time Utility?
Why do businesses identify target markets?
To make their marketing efforts more effective.
A restaurant sends coupons only to people who live within 10 miles of the restaurant. What type of segmentation is this?
What is geographic segmentation?
Which marketing function involves getting products from producers to consumers?
What is distribution?
A company lowers the price of its sneakers from $80 to $60. Which P is this?
What is Price?
A new shoe store opens in a town where residents previously had to drive 50 miles to buy shoes. What utility is created?
What is Place Utility?
A company makes one advertisement for everyone rather than tailoring its marketing to a specific group. What important marketing strategy is it failing to use?
What is target marketing?
A clothing brand targets people who love hiking, camping, and spending time outdoors. What type of segmentation is this?
What is psychographic segmentation?
A customer doesn't have enough money to purchase a new phone upfront, so the company offers a monthly payment plan. Which marketing function is involved?
What is financing?
A company decides to start selling its products at Walmart, Target, and Amazon. Which P is this?
What is Place?
A company offers customers a payment plan that allows them to purchase a product and pay for it over time. What utility is this?
What is Possession Utility?
A company wants to sell luxury watches. Which target market would make the most sense?
A. Elementary school students
B. People with high incomes who are interested in luxury products
C. People who don't wear watches
D. Everyone
B. People with high incomes who are interested in luxury products
A coffee company gives rewards to customers who purchase coffee at least four times a week. What type of segmentation is the company using?
What is behavioral segmentation?
Name all seven functions of marketing.
A company pays a popular TikTok creator to promote its new product. Which P is this?
What is Promotion?
A salesperson explains the features and benefits of a product to help a customer decide whether to purchase it. What utility is being created?
What is Information Utility?