MRA Market Segmentation & Targeting

Question 1

What is market segmentation?

Accepted Answer

The process of dividing a broad market into distinct subgroups of consumers with common needs or characteristics

Answer

The process of setting prices for different product lines

Answer

A method of distributing products across multiple retail channels

Answer

The analysis of a company's total market share relative to competitors

Question 2

Which of the following is a demographic segmentation variable?

Accepted Answer

Household income

Answer

Brand loyalty level

Answer

Benefits sought from a product

Answer

Attitudes toward environmental sustainability

Question 3

What does psychographic segmentation primarily focus on?

Accepted Answer

Consumers' lifestyles, values, interests, and personality traits

Answer

Where consumers live and work

Answer

How frequently consumers purchase a product

Answer

Consumers' age and occupation

Question 4

Which segmentation base divides the market by climate, region, or population density?

Accepted Answer

Geographic segmentation

Answer

Psychographic segmentation

Answer

Behavioral segmentation

Answer

Firmographic segmentation

Question 5

Which criterion for effective market segmentation requires that a segment must be large enough to generate sufficient revenue?

Accepted Answer

Substantiality

Answer

Differentiability

Answer

Actionability

Answer

Accessibility

Question 6

Behavioral segmentation divides consumers based on:

Accepted Answer

Their purchase occasions, usage rate, loyalty status, and benefits sought

Answer

Their zip code and regional location

Answer

Their age, education, and marital status

Answer

Their social class and lifestyle choices

Question 7

A market segment is considered 'measurable' when:

Accepted Answer

Its size, purchasing power, and profile can be quantified

Answer

It can be reached through targeted advertising channels

Answer

It responds differently to a distinct marketing mix than other segments

Answer

It is large enough to be profitable over the long term