Chapter 3

Question 1

Demographics

Answer 1

Are the easiest and most logical way to classify people. Demographics offer the most cost-effective way to locate and reach specific segments.

Question 2

Using demographics, marketers can identify

Answer 2

new segments created by shifts in populations’ age, income, and location.

Question 3

Geodemographic segmentation

Answer 3

hybrid segmentation scheme based on the premise that people who live close to one another are likely to have similar financial means, tastes, preferences, lifestyles, and consumption habits.

Question 4

Psychographics

Answer 4

Segmenting consumersr according to their lifestyles, which consist of consumers’ activities, interests, and opinion

Question 5

Targeting

Answer 5

Is selecting the segments that the company views as prospective customers and pursuing them with distinct offerings