Question

Cocoa Love Inc., a gourmet food company, has developed its marketing strategy according to three market segments. It has different pricing and packaging strategies for consumers who buy regularly, for those who consume mainly on certain festive occasions, and for those who buy its products rarely and are willing to spend large amounts. Which of the following bases for market segmentation is Cocoa Love Inc. primarily using in this scenario?

A. Demographic characteristics
B. Ethnocentric characteristics
C. Bibliographic characteristics
D. Geographic characteristics
E. Behavioristic characteristics

Answer 1

Answer: E. Behavioristic characteristics

Step-by-step explanation:

Cocoa is dividing its customers based on their buying behavior which means that it is using the behavioristic characteristics of the customers to decide how it will charge them prices.

For instance, Cocoa might charge a larger price to the customers that buy its product rarely but but spend in large amounts compared to those who are always buying as a way to reward the constant nature of the latter's patronage.