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ARE 136 Ch. 6 Questions and Answers

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ARE 136 Ch. 6 Questions and Answers When a brand team defines the target market of consumers for their product, they do not worry about identifying many smaller subsets of consumers within their broad market. a. True b. False False In the world of advertising, products are positioned, but ma...

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  • September 7, 2023
  • 18
  • 2023/2024
  • Exam (elaborations)
  • Questions & answers
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ARE 136 Ch. 6 Questions and Answers
When a brand team defines the target market of consumers for their product, they
do not worry about identifying many smaller subsets of consumers within their
broad market.
a. True
b. False
False
In the world of advertising, products are positioned, but markets are segmented.
a. True
b. False
True
STP marketing includes three aspects: segmentation, targeting, and positioning.
a. True
b. False
True
4. If Nike decides to use the STP framework, it does not need to do market
segmentation.
a. True
b. False
False
Positioning relates to an attempt to give a brand meaning relative to its
competitors.
a. True
b. False
True
Companies at times target "casual users".
a. True
b. False
True
Spending advertising dollars to get "switchers" to buy your brand may seem like
a bad idea, but it often results in strong brand loyalty.
a. True
b. False
False
Psychographic segmentation is used in selecting target segments by focusing on
consumers' descriptors such as their
values, beliefs, philosophies, and opinions.
a. True
b. False
True
9. Demographics are used to describe or profile target segments and may include
gender, age, education, and income range.
a. True
b. False
True

,Psychographic segmentation is a term that advertisers created in the mid-1960s
to refer to a form of research that emphasizes the understanding of consumers'
activities, interests, and opinions.
a. True
b. False
True
Advertising is relevant for both business-to-business as well as for business-to-
consumer approaches.
a. True
b. False
True
If an advertiser sees a large potential segment being served by a competitor with
a big budget, it should withdraw from the marketplace.
a. True
b. False
False
One drawback of niche marketing is that a company may have to raise the price
of its product due to the smaller volume of sales it can expect.
a. True
b. False
True
Some advertisers try to use approaches to reach the green consumer segment
a. True
b. False
True
A gourmet spa advertises itself as offering relaxation to the extreme and the best
massage in America. The owner of the local shop buys ads focusing on a relaxing
experience and their award-winning massage therapists. This is an example of
internal consistency.
a. True
b. False
True
Bumbo is a company that manufactures products for babies and toddlers. Its
advertising campaigns have carried various slogans over the years, and they
change up the thematic core of the messages every week. This is an example of
consistent positioning approach.
a. True
b. False
False
When formulating a positioning strategy, it is important to consider the
competition.
a. True
b. False
True

, Brand opportunities relate with credibility, relevance, stretch, and differentiation.
a. True
b. False
True
Taco Bell is launching a new advertising campaign portraying its restaurant as
having very fast service and a cheerful staff to target a younger crowd. The
campaign will be more successful if it uses various aspects of IBP such as
sponsorships, contests, and sales promotions in addition to TV and social media,
rather than TV commercials alone, to best reach this group.
a. True
b. False
True
Alluring is a company that manufactures cosmetic products. It claims to have the
most innovative and scientific formula of the makeup. To be internally consistent,
the company should invest in a better Research and Development department to
continue product innovation.
a. True
b. False
True
The basic premise of a positioning strategy must be complex and fitting in with
the competitors' messages if it is to be communicated effectively to the target
segment.
a. True
b. False
False
A brand's opportunity claim is a statement of the brand's benefits that provide
value to its target consumers and includes functional, emotional, and self-
expressive benefits.
a. True
b. False
False
When ad agency professionals are creating a campaign for a huge global retail
firm with complex value propositions, it is important to make sure the campaign
aligns with one or more aspects of the brand's value.
a. True
b. False
True
The strategic planning triangle suggested by Thorson and Moore features as its
three main aspects the campaign's colors, celebrity endorsers, and logo.
a. True
b. False
False
The process of cutting a market into pieces and focusing on the piece or pieces
that make the most sense is termed ________.

a.

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