Chapter 2 The Role of IMC in the Marketing Process

Market opportunities are areas where the company believes that customer needs and opportunities are being satisfied
A market can rarely be viewed as one large, homogeneous group of customers; rather, it consists of many heterogenous groups or segments
Dominating channels of distribution is one way of creating a competitive advantage
Marketers often go after the entire market with one product, brand, or service offering to create the maximum impact
In a typical target marketing process, the stage of segmenting the market is immediately followed by positioning one’s product or service through effective marketing strategies
Target market identification isolates consumers with similar lifestyles, needs, and the like, and increases the knowledge of their specific requirements
The more marketers segment the market, the less precise is their understanding of it
In the geographic segmentation approach, markets are divided into units based on consumers’ occupations and lifestyles
When a market is segmented bases on how aware and informed the consumers are, the variable used to choose a marketing approach is product knowledge
In the psychographic approach to segmentation, determination of lifestyles is usually babies on an analysis of the activities, interests and opinions (AIOs) of consumers
Segmenting the market based on consumers’ product or brand usage and the degree of use is an example of behavioristic segmentation
differentiated marketing is used when the firm selects one segment and attempts to capture a large share of this market
The consumer approach positions a product by comparing it and the benefit it offers against those offered by competitors
Premium brands positioned at the high end of the market usually use the price/quality approach to positioning
While positioning a product class, marketers only position against brands and not against other product categories
Repositioning of a product usually occurs because of declining or stagnant sales
Strong symbolic features and social and psychological meaning may be more important than functional utility for many products
Brand equity refers to the tangible assets earned through a product’s functional purpose
A marketer with an integrated marketing communications (IMC) perspective is likely to link high relative ad expenditures with premium prices, and low relative ad expenditures with low prices
Trade advertising focuses on sales promotion efforts directed toward the ultimate consumer
According to he marketing and promotions process model, the marketing process begins with the:
Development of a marketing strategy
According to the marketing and promotions process model, in which of the following stages does the company decide the product or service areas and particular markets where it wants to compete?
Development of a marketing strategy and analysis
____ is a detailed assessment of the current marketing conditions facing the company, its product lines or its individuals brands
Situation analysis
Which of the following is best defined as areas where there are favorable marketing trends, consumer needs and wants are not being satisfied, and where a company thinks its can compete effectively?
Market opportunities
A situational analysis:
Includes an assessment of individual brands
During a routine market study conducted by CL foods, it was noted that Chinese and Indian food products were in high demand in American society. In order to take advantage of such a demand, CL foods manufactured and sold these food items locally. In this scenario, the company is taking advantage of a ____
Market opportunity
FunZone Inc identified and developed a SmartCard that can be used at fair grounds to make the ticketing process easier. The company found that the existing system was complicated and highly time-consuming. The SmartCard was easy to operate and each swipe would deduct the cost of a ride automatically. According to the given scenario, FunZone has recognized a:
Market opportunity
There are several medicines that relive allergy related symptoms by only Sensitine comes in a quick dissolving form that can be easily swallowed without water. The manufacturer of Sensitine hopes the fact that it dissolved and enters the system quicker than other brands will create a:
Competitive advantage
Offering quality products that command a premium price, providing superior customer service, having the lowest production costs and lower prices, or dominating channels of distribution are ways of:
Achieving competitive advantage
_____ is defined as something unique or special a firm possesses or does that gives it an edge over other firms in a similar industry
Competitive advantage
John & Bauer Inc, manufacturers of health drugs, are the manufacturers of a painkiller called JB Revive. The painkiller is unique as it contains calcium, and it is quite unlike any other painkiller in the market. The addition of calcium led to an increase in the sales of the medicine as well. In the scenarios, the addition of calcium gives the company a:
Competitive advantage
The first step in the the target marketing process is to:
Identify markets with unfulfilled needs
The market segmentation process:
Divided a market into distinct groups that will respond similarly to marketing actions
Directing a company’s efforts toward one or more groups of customers who share common needs is known as:
Market segmentation
Dividing the market into units such as nation, states, town, counties, or even neighborhoods is known as:
Geographic segmentation
Which of the following is a primary variable of demographic segmentation?
Social class
Division of the market based on age, sex, family size, income and other measure able characteristics is known as :
Demographic segmentation
Enliven, a sports drink manufacturer, has identified its preferred target market as men between the ages of 18 and 22 who are currently in high school or college and active in sports. Which of the following types of segmentation is Enliven using in their scenario?
Demographic and Socioeconomic
Diving the market on the basis of personality and/or lifestyles is referred to as ____
Psychographic segmentation
____ divides a market on the basis of life cycles
Psychographic segmentation
With respect to psychographic segmentation of markets, AIO stands for:
Activities, interests and opinions
____ segmentation divides consumers into groups according to their usage, loyalties or buying responses to a product
Degree of usage as a basis of segmentation is best reflected by:
The 80-20 rule
The 80-20 rule states that:
Around 80 percent of the firms sales comes from 20 percent of the customers

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