Ted's grocery store is extremely popular in a small neighborhood. Pretzels, a crisps company, has ...

Ted's grocery store is extremely popular in a small neighborhood. Pretzels, a crisps company, has provided scratch cards inside each packet of crisps with the hope of a prize for the winner. Pretzels being a relatively new company had to pay Ted's grocery to sell its products. Quads, a blender manufacturer, has provided its customers with a chance to receive 10 of their money back by mailing them and filling in the required details. It also stated that employees who sell two blenders would receive a bonus. Quad had sent the owner of Ted's grocery an expensive hand crafted wooden sculptor. Pretzels paid Ted's grocery a fee to sell its products. This is known as:
 a. a slotting fee.
  b. push money.
  c. a premium.
  d. a merchandise allowance.

Question 2

Madison State University has a reputation for having a powerful intercollegiate coed bowling team. Seating in the campus bowling alley only allows for 400 fans to attend their matches. Long lines for seats have formed in the past, with many fans leaving disappointed because they could not get a ticket. As a result, the school's administrators decided to institute a priority seating plan in which fans would be given access to advance tickets based on the following schedule:
   Lanemaster Club - 10,000 annual donation to the bowling program - guaranteed free box seats to any match (100 seats total)
   Strike Club - 1,000 annual donation to the bowling program - guaranteed free bleacher seats to any match (100seats total)
   Kingpin Club - participants in local recreation bowling leagues - guaranteed bleacher seats for 10.00 to any match (100 seats total)
   Alleycat Club - students who have maintained a 3.9 GPA or better - guaranteed bleacher seats for 1.00 to any match (100 seats total)
  A group of about 30 students who are roommates and friends of the team members -- many are casual bowlers themselves -- have attended every match for nearly three years. These students would best be described as
 a. competitive users.
  b. emergent consumers.
  c. heavy users.
  d. variety seekers.

Question 3

Ted's grocery store is extremely popular in a small neighborhood. Pretzels, a crisps company, has provided scratch cards inside each packet of crisps with the hope of a prize for the winner. Pretzels being a relatively new company had to pay Ted's grocery to sell its products. Quads, a blender manufacturer, has provided its customers with a chance to receive 10 of their money back by mailing them and filling in the required details. It also stated that employees who sell two blenders would receive a bonus. Quad had sent the owner of Ted's grocery an expensive hand crafted wooden sculptor. Employees receive a bonus from Quad for selling two or more blenders. This is an example of:
 a. push money.
  b. a merchandise allowance.
  c. slotting fees.
  d. a rebate.

Question 4

Madison State University has a reputation for having a powerful intercollegiate coed bowling team. Seating in the campus bowling alley only allows for 400 fans to attend their matches. Long lines for seats have formed in the past, with many fans leaving disappointed because they could not get a ticket. As a result, the school's administrators decided to institute a priority seating plan in which fans would be given access to advance tickets based on the following schedule:
   Lanemaster Club - 10,000 annual donation to the bowling program - guaranteed free box seats to any match (100 seats total)
   Strike Club - 1,000 annual donation to the bowling program - guaranteed free bleacher seats to any match (100seats total)
   Kingpin Club - participants in local recreation bowling leagues - guaranteed bleacher seats for 10.00 to any match (100 seats total)
   Alleycat Club - students who have maintained a 3.9 GPA or better - guaranteed bleacher seats for 1.00 to any match (100 seats total) Based on the planned schedule described here, students who have maintained a 3.9 GPA would be described as one of the bowling team's
 a. nonuser groups.
  b. positioning strategies.
  c. target segments.
  d. diverse markets.

Question 5

Ted's grocery store is extremely popular in a small neighborhood. Pretzels, a crisps company, has provided scratch cards inside each packet of crisps with the hope of a prize for the winner. Pretzels being a relatively new company had to pay Ted's grocery to sell its products. Quads, a blender manufacturer, has provided its customers with a chance to receive 10 of their money back by mailing them and filling in the required details. It also stated that employees who sell two blenders would receive a bonus. Quad had sent the owner of Ted's grocery an expensive hand crafted wooden sculptor. Quads' customers need to mail them to receive 10 of their money back on purchases. This is an example of a .
 a. rebate
  b. slotting fee
  c. merchandise allowance
  d. coupon

Question 6

Jay and Carrie Garrett operate a small retail store in a college town that sells only house plants and accessories, which they named The Plantatarium. Their initial feeling when they went into business was that virtually everyone was a potential customer for house plants. Subsequent market research conducted for them painted a different picture. This research identified three particularly strong market segments. The first was college students ages 18-24 . The next segment was retired seniors ages 65-80 . The third segment was professional offices for doctors, accountants, and lawyers. The college students liked houseplants because they dressed up their living spaces. The seniors liked them because they became the focus of a hobby. The professionals did not buy them for any reason other than dcor. The Plantatarium promotes itself in different media using the phrase An out-of-this-world selection of unique plants. This phrase is a reflection of the firm's
 a. positioning strategy.
  b. VALS profile.
  c. target market.
  d. demographics.

Question 7

Ted's grocery store is extremely popular in a small neighborhood. Pretzels, a crisps company, has provided scratch cards inside each packet of crisps with the hope of a prize for the winner. Pretzels being a relatively new company had to pay Ted's grocery to sell its products. Quads, a blender manufacturer, has provided its customers with a chance to receive 10 of their money back by mailing them and filling in the required details. It also stated that employees who sell two blenders would receive a bonus. Quad had sent the owner of Ted's grocery an expensive hand crafted wooden sculptor. Pretzels has provided a scratch card inside each packet of crisps. This is an example of a .
 a. sweepstake
  b. premium
  c. gift card
  d. rebate

Question 8

Jay and Carrie Garrett operate a small retail store in a college town that sells only house plants and accessories, which they named The Plantatarium. Their initial feeling when they went into business was that virtually everyone was a potential customer for house plants. Subsequent market research conducted for them painted a different picture. This research identified three particularly strong market segments. The first was college students ages 18-24 . The next segment was retired seniors ages 65-80 . The third segment was professional offices for doctors, accountants, and lawyers. The college students liked houseplants because they dressed up their living spaces. The seniors liked them because they became the focus of a hobby. The professionals did not buy them for any reason other than dcor. A small group of customers have mentioned that they would like to browse through several varieties of cactus, so the Garretts have decided to devote a small corner exclusively to rare cacti. These customers constitute an example of
 a. market niche.
  b. psychographic segmentation.
  c. geographic segmentation.
  d. demographic segmentation.

Question 9

Starting in late 2010, shoppers at a number of Bloom supermarkets will be able to watch commercials on small notebook-sized monitors as they stroll through the aisles. The devices, or 3GTV's as creator Automated Media Services calls them, will advertise products nearby ranging from macaroni noodles to peanut butter. The mini- televisions are part of a pilot program in nine of the grocer's locations in Maryland and Virginia to test the effectiveness of commercials at the Point-Of-Purchase. Advertisers who are growing increasingly frustrated by TiVo and DirectTV's fast-forwarding capabilities, will be able to pitch consumers at what Automated believes is the most crucial point in the sale process. The new technology could help grocery stores such as Bloom save money on circulars, but the transition will likely not come without conflict. Before the first 3GTV was even activated, one coalition group argued that the system would undercut parental authority by causing children to lobby for the product being advertised. Advertisements on the 3GTV's will likely be rotating on a very frequent basis. In fact, no one ad
  will be shown for any longer than one or two months at a time. These ads are known as:
 a. short-term promotional displays.
  b. rotating displays.
  c. push strategies.
  d. attention-grabbing displays.

Question 10

Jay and Carrie Garrett operate a small retail store in a college town that sells only house plants and accessories, which they named The Plantatarium. Their initial feeling when they went into business was that virtually everyone was a potential customer for house plants. Subsequent market research conducted for them painted a different picture. This research identified three particularly strong market segments. The first was college students ages 18-24 . The next segment was retired seniors ages 65-80 . The third segment was professional offices for doctors, accountants, and lawyers. The college students liked houseplants because they dressed up their living spaces. The seniors liked them because they became the focus of a hobby. The professionals did not buy them for any reason other than dcor. The owners of this business have decided to carry a great deal of plants that flower throughout the year because most consumers have said they like them for the cheerful feeling they give. This suggests that The Plantatarium is focusing on what different consumers want from its offerings, that is, segmentation.
 a. business-to-business
  b. psychographic
  c. benefit
  d. repositioning