Question

Which of the following is relevant to usage rates as a behavior​ segmentation?

A.The​ 80/20 rule
B.User status
C.Perceived benefits
D.Number of transactions
E.Lifestyle groups

Answer 1

The 80/20 rule is relevant to usage rates in behavior segmentation, highlighting that a small segment of customers often accounts for a significant portion of a company's business.

Step-by-step explanation:

Relevant to usage rates as a behavior segmentation within marketing is the concept of the 80/20 rule, which is a common principle in business that suggests 80% of effects come from 20% of causes. For example, a company might find that 80% of its sales come from 20% of its customers. As for the other options provided:

• User status refers to whether a consumer is a non-user, ex-user, potential user, first-time user, or regular user of a product.
• Perceived benefits are segmentation based on the benefits consumers believe they will receive from a product or service.
• The number of transactions could relate to usage rates if we look at frequent transactions as an indicator of heavy use, but it is not directly about behavioral segmentation.
• Lifestyle groups, this involves segmenting markets based on lifestyle considerations such as activities, interests, and opinions, which is distinct from usage rate segmentation.

Thus, the 80/20 rule directly relates to the concept of behavioral segmentation by usage rates, as it breaks down the customer base into segments based on how frequently they use a product or service.