Tapestry Segmentation,an Esri Service Described in the Text,applies a Process

question 53

Multiple Choice

Tapestry Segmentation,an Esri service described in the text,applies a process of segmentation that identifies neighborhoods by major demographic and consumption patterns and then determines which of these neighborhood "segment types" represents the client's potential customers.Which of the following best illustrates how this service was explained in your text?

• A)Esri segments were examined to determine which segments were likely to be gourmet coffee drinkers.Once the segments were identified,Esri could provide direct mail lists that identified the names and addresses of gourmet coffee drinkers.This allowed Donofrio's Coffee to send these "likely" customers a frequent user card to promote their patronage.
• B)The owner of a Nature's Beauty retail store has a loyalty club of 400 members who purchase regularly,and she wants to attract other prospective customers who match the club member demographic and lifestyle profile.By determining the distinguishing characteristics of the club members,the owner can identify the Tapestry Segmentation segments,i.e."Metropolitans," "Metro Renters," etc.which will allow the owner to locate and establish communications with members of these segments.
• C)Esri has data stored in a common database that identifies zip code areas that offer the most potential in terms of sales for a gourmet coffee shop like Donofrio's.Donofrio's subscribed to this information for a fee,and the information was used to help find new coffee shop locations.
• D)Present customers for a gourmet coffee shop were determined.Esri then,through its Community Tapestry syndicated data service,found census data which identified household addresses of the present customers.This information allowed Donofrio's Coffee to target customers with promotional offers to induce greater sales during warm months of the year.
• E)None of the above.There was no example illustrating how Community Tapestry was applied.

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Definitions:

MC

The cost associated with producing an additional unit of a good or service, reflecting the increase in total production cost.

Monopolistic Firm

A single firm that dominates a particular market or industry, often characterized by the absence of competition, which results in high prices and inferior products.

Monopolistically Competitive Firm

A Monopolistically Competitive Firm operates in a market structure characterized by many firms offering products that are similar but not identical, allowing for some degree of market power in setting prices.

Homogeneous

A description of products or services that are identical in quality and cannot be distinguished from one another by consumers.