D077 Concepts in Marketing, Sales, and Customer Contact - Set 5 - Part 1

Correct Answer: Promotional pricing

Promotional pricing is used to boost short-term sales by offering temporary discounts. This strategy creates a sense of urgency for consumers to make purchases during the promotional period.

Correct Answer: Market development

Market development involves expanding the customer base by introducing existing products into new markets, targeting new geographic regions or demographic groups.

Correct Answer: Growth

In the growth stage, product sales rise quickly, competitors enter the market, and profits increase as more consumers adopt the product. Companies often invest in marketing during this phase.

Correct Answer: Psychographic segmentation

Psychographic segmentation categorizes customers by their interests, values, and lifestyle, helping companies tailor their messaging to appeal to individuals with specific attitudes or behaviors.

Correct Answer: Question mark

A question mark product has low market share in a high-growth market. These products require significant investment to grow market share and become stars.

Correct Answer: Selling more of the existing product to current customers

Market penetration focuses on increasing sales of existing products to current customers, often through promotional efforts or price reductions to gain a larger share of the market.

Correct Answer: To ensure a consistent message across all channels

IMC ensures that a brand’s message is consistent and coherent across all marketing channels, which helps build customer trust and reinforces brand identity.

Correct Answer: Price skimming

Price skimming involves setting a high price initially to maximize profits from early adopters and gradually lowering the price to attract price-sensitive customers as the product matures.

Correct Answer: Expressive

Expressive individuals are highly assertive and responsive, often characterized by their enthusiasm and focus on relationships and persuasion in social interactions.

Correct Answer: Decision

In the decision stage, the consumer evaluates the available options and determines whether to purchase the product or service based on their research and preferences.

Correct Answer: In-depth interviews

In-depth interviews are structured conversations between a researcher and a respondent to gather detailed insights, often used to explore consumer opinions, preferences, and behaviors.

Correct Answer: To understand customer perceptions and behaviors

Qualitative research explores customer attitudes, perceptions, and motivations, helping marketers gain deeper insights into what drives consumer behavior.

Correct Answer: Geographic segmentation

Geographic segmentation divides the market based on location, allowing marketers to target consumers in specific regions, cities, or climates with tailored products or marketing efforts.

Correct Answer: Situational analysis

Situational analysis assesses the internal and external environment, including strengths, weaknesses, opportunities, and threats, to inform the marketing strategy.

Correct Answer: Compromise

The compromise style involves both parties making concessions to reach an agreement, often resulting in a solution that partially satisfies both sides.

Correct Answer: Acquisition

Acquisition refers to attracting and engaging new customers, bringing them into the company’s influence, with the goal of converting them into paying customers.

Correct Answer: Penetration pricing

Penetration pricing sets a low price to quickly gain market share, often at the expense of short-term profitability, with the goal of establishing a strong customer base.

Correct Answer: Behavioral segmentation

Behavioral segmentation focuses on how consumers interact with a product, such as their purchasing habits, product usage, or loyalty, helping companies target specific behavior patterns.

Correct Answer: Diversification

Diversification is a high-risk growth strategy that involves introducing new products into new markets, allowing companies to expand their reach and explore new opportunities.

Correct Answer: Behavioral observation

Behavioral observation involves watching consumers in real-world settings, allowing marketers to gather insights on how customers interact with products without influencing their behavior.