BRAND MANEGEMENT MKT654

Online Quiz

Submitted by:

Karan Trivedi AU1814018

Submitted to:

Prof. Jinal Parikh

Date: 26-03-2020
Q1) What is Market Segmentation? Explain various basis of segmentation with examples.

Ans) Market Segmentation is a process of dividing the market of potential customers into
different groups and segments on the basis of certain characteristics.

The various basis of segmentation is based on Gender, Age group, Income, place, occupation,
occupation, usage, lifestyle.

Types of Market Segmentation: -

1) Geographic: - Dividing market based on location and places. For e.g. water might be scarce
in some regions which inflates the demand for bottled water but, at the same time, it might be
in abundance in other regions where the demand for the same is very less.

2) Demographic: - dividing the market on the basis of demographic variables like age, gender,
marital status, family size, income, religion, race, occupation, nationality, etc. For e.g. in case
of cosmetics, clothing, and jewellery industry, automobiles, luxury etc.

3) Behavioural: - segmented based on audience’s behaviour, usage, preference, choices and

decision making. The segments are usually divided based on their knowledge of the product
and usage of the product. For e.g. a sports person may prefer an energy drink as elementary
(heavy user) and a not so sporty person may buy it just because he likes the taste (light/medium
user).

4) Psychographic: - divides the audience on the basis of their personality, lifestyle and attitude.
This segmentation process works on a premise that consumer buying behaviour can be
influenced by his personality and lifestyle. For e.g. A person having a lavish lifestyle may
consider having an air conditioner in every room as a need, whereas a person living in the same
city but having a conservative lifestyle may consider it as a luxury.

Q2) Explain Frame of Reference. Elaborate using examples the four basic points on
which the FOR is decided.

Ans) The process of marketing a service or a product which enables potential stakeholders to
compere the offering with other offerings from competitors is known as frame of reference.
The frame of reference could include products of a dissimilar type. The frame of reference
helps the company to persuade its target market.

Example: - Maggi

• Who the target consumer is: - All age group especially teenagers, millennials
• Who the main competitors are: - Mr. Noodles, Knorr instant noodles.
• How the brand is similar to competitors: - Maggi noodles is most popular food in the
world, many competitors are present in noodles market and the price is almost similar
from others & it available almost everywhere.
 • How the brand is different from them: - Maggi noodles are instant noodles. The cooking
time has been reduced to 2 mins of boiling.

Q3) Define POPs and PODs. Explain the Deliverability and Desirability Criteria, with
examples.

Ans) Points of Difference (PODs): - Benefits that consumer strongly associates with the brand
and believe that these attributes cannot be find in competitive brand.

Points of Parity (POP): - Associations not necessarily unique to the brand but can relate or
may be shared with other brands.

Desirability Criteria: -

- Personal Relevant: - Consumers must find POD personally important. For e.g. A person
visiting Burj Khalifa for stay, for him/her, Burj Khalifa being tallest tower may not be as
important as compared to the service he/she expects.

- Distinctive and superior: - Superiority is essential for differentiation. For ex. Tata salt is the
segment has superiority and has differentiated itself from others.

- Believable and credible: - A brand must offer a compelling reason for choosing it over the
other options. Mountain Dew may argue that it is more energizing than other soft drinks and
support this claim by noting that it has a higher level of caffeine

Deliverability Criteria: -

- Feasible: - It is obviously easier to convince consumers of some fact about the brand that
they were unaware of and may have overlooked than to make changes in the product and
convince consumers of these changes. Example Dettol has created image of removing germs
99.9% and has convinced consumers on that.

- Profitable: - A firm must make profits at the same time keeping consumers intact of their
brand. For example, Parle-G has not increased its biscuits price, it is still profitable and caters
large consumers.

- Pre- emtive, defensible and difficult to attack: - Sustainability will depend on internal
commitment and use of resources as well as external market forces. It is generally easier for
market leaders such as Gillette, Intel, and Microsoft, whose positioning is based in part on
demonstrable product performance, to sustain their positioning than for market leaders such as
Gucci, Prada, and Hermes, whose positioning is based on fashion and hence there’s chance of
market variations.
Q4) Explain Brand Audit and the 2 sides of it.

Ans) Brand audit is way to assess the health of the brand, measuring its performance, and
suggesting ways to improve and leverage that performance.

It has two sides, Brand inventory (supply side) & Brand Exploratory (Demand Side)

Brand Inventory: - It includes Brand elements, marketing programs, profile of competitors,

POPs and PODs, Brand Mantra, bases for positioning of brand.

Brand Exploratory: - It includes brand awareness, favourability, Uniqueness of associations,

customer-based equity model, uncovering resources.