Chapter 2 Flashcards
What are the two types of shared characteristics?
Quantitative factors (Behavioural: age, gender, education, level)
- Consumer-instrinsic
- Consumption-based
Cognitive factors (inside the consumer’s mind: attitude, personalities, benefits of product)
- Consumer-intrinsic
- Consumption-based
How do marketers combine factors?
- Demographics determine needs for products
- Psychographics explain buyers’ purchase decisions and choices (lifestyles and values)
What factors are involved in demographic segmentation?
Age
Gender
Marital Status
Household types and size
Income and wealth, occupation
Geographical location
What is meant by age in terms of demographic segmentation?
Age influences buying priorities
Marketers target age groups
Ex. Movie studies competes for teens and young adults each summer.
What is meant by gender in terms of demographic segmentation?
gender roles have blurred
Gender less accurate to distinguish among consumers in some product categories than it used to be
Some ads depict men and women in roles traditionally occupied by the opposite gender
Some products (ex. Skin care and snacks) are marketed differently to men and women.
What is meant by households in terms of demographic segmentation?
Family life cycle (might want to look at what stage in the cycle, how will their washing machine change over time?)
Important occasions change consumption patterns
What is meant by social standing in terms of segmentation?
- social class (related to educations, occupations, income, problematic because many identify with middle class. It is useful to know class, but we have to be careful about how we do it)
- Fluctuations affect marketing
What is meant by ethics in terms of segmentation?
Members of the same culture often share the same values, beliefs, and customs
marketers may target culturally distinct segments with the same product using different promotional appeals
What are psychographics?
Consumers’ lifestyles, which include consumer’s activities, interests, and opinions
What is Geo-demographic Segmentation?
PRIZM
Location, demographics, and consumer behaviour
Lifestage groups
Urbanization and affluence
What are the benefits in segmentation?
Benefits sought represent consumer needs
Important for positioning
- Interest in specific products ex. Shiny white teeth
*importance for positioning ex. Trying to create an image set apart from our competitors
What are some expectations clients look for in terms of service providers?
Social Benefits
- Recognized/known by staff
- Treated in a way that they feel important (friendship)
Special Treatment Benefits
- Helping when something goes wrong
- Receiving priority treatment
**Confidence-Related Benefits **
- Feel confident service will be provided correctly
- Clear descriptions of services and what to expect
Do we feel confident in their service? Trust and Reassurance!!
How does product usage relate to segmentation? What is a good example of usage segmentation?
Usage rate segmentation is a thing (heavy, medium, light)
Lots of competition for heavy users
Airlines (coach, premium economy, business class, first class)
What are the three things segments should be?
- Identifiable
- Profitable
- Reachable
For example small segments may not be profitable, are we able to communicate with this segment?
What is mobile targeting?
One way to get the message to consumers , social media
Showrooming learning about the product in a physical location could then check prices online
Geofencing
Websites are versatile
