Segmenting the Market
Dividing a market based on age, income, race, religion, or family size.
What is demographic segmentation?
A goal that guides a business in setting the cost of a product or service to potential consumers.
What is a pricing objective?
This is when the company provides products in convenient locations.
What is place utility?
The unauthorized use, reproduction, distribution of materials in advertising, social media, or branding.
What is copyright infringement?
This takes place in high competition in a seller's market and low demand in a buyer's market. This is when buyers are attempting to secure the deal.
What is negotiation?
A company selling snow shovels would use this type of segmentation in the Northeast.
What is geographic segmentation?
Exchange of a product or service for another product or service, without the use of money. This is oldest form of pricing.
What is Bartering?
When ________ exceeds supply, then scarcity results.
What is demand?
Formal document outlining an organization's expectations are regarding behaviors and ethics ensuring compliance, safety, and a positive culture.
What is a code of conduct?
A market where the demand for a product exceeds supply.
What is a seller's market?
This demographic variable divides the market based upon how much money a household makes.
What is income?
When a customer will not buy a substitute product over a brand name of their choice.
What is brand loyalty?
The value and benefit from consuming a good or service, directly influencing demand and price?
What is economic utility?
Involves false statements, omissions, or misleading claims about a product's features, price, or benefit that influence consumer decisions.
What is deceptive advertising?
A car dealership having too many models on the lot or the housing market having too many homes in inventory.
What is considered a buyer's market?
A company that uses data about a customer's personality and attitude toward risk is using this type of segmenting.
What is psychographics?
This is used to determine when your business will be able to cover all its expenses and begin to make a profit.
What is breakeven analysis?
The additional satisfaction gained from consuming on additional unit of a good or service.
What is marginal utility?
This takes place when an individual's personal interests interfere with or could cause bias in decision-making and affect job performance.
What is conflict of interest?
If homes sell quickly, which is considered under thirty days, this is considered what type of market.
What is a seller's market?
This type of segmentation targets heavy users with loyalty programs and promote seasonal items for "occasion-based" buyers to increase conversion rates.
What is behavioral segmentation?
The organization sets an initial high price and then slowly lowers the price to make the product available to a wider market.
What is price skimming?
When demand increases for a product and supply remains the same or diminishes, what happens to price.
What is the price usually increases?
This is issuing loans without truly knowing the lender's ability to repay.
What is predatory lending?
What is a real estate contract?