Most airline frequent flyer programs reward the most

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72. Most airline frequent flyer programs reward the most frequent flyers with business class upgrades and flight lounge privileges. Airlines are using these rewards as a means of implementing _____ segment- ation. a. lifestyle b. motive c. usage-rate d. demographic e. personality ANS: C Usage rate segmentation divides a market by consumption so that firms can target their heavy users more. PTS: 1 REF: 124 OBJ: 08-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 73. The public transportation system in the San Francisco area conducted a survey that revealed respond- ents could be assigned to one of four categories: (1) people who never utilized mass transit, (2) people who utilized mass transit in the past but not now, (3) people who utilized mass transit occasionally, and (4) people who utilized mass transit regularly. These groups have significantly different percep- tions about transportation alternatives. This is an example of _____ segmentation. PTS: 1 REF: 124 OBJ: 08-4 TYPE: App TOP: AACSB Diversity | TB&E Model Customer 74. A number of plastic surgery groups in Great Britain are making use of loyalty cards. Patients who have five procedures performed at their offices will receive either a free procedure or a discount off another more complex surgical procedure. Aimed at patients who get maintenance treatments such as Botox or regular face peels, the loyalty cards may be used toward any type of surgical procedure. This is an ex- ample of segmentation by:
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PTS: 1 REF: 124 OBJ: 08-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy 75. General Mills offers a deal where its cereal users can collect box tops and submit them to General Mills to earn money for their children's schools. This program, called the Box Tops for Education Pro- gram, is a means of changing light users into heavier users. In other words, it is a form of _____ seg- mentation. PTS: 1 REF: 124 OBJ: 08-4 TYPE: App TOP: AACSB Reflective Thinking | TB&E Model Strategy
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