Question 1

Identify and discuss the reasons for which small reductions in customer defections produce significant increases in profits.

Accepted Answer

1) Loyal customers buy more products. 
2) Long-term customers who are familiar with the company's products are an important asset for developing and testing new products and services. 3) Loyal customers are less price sensitive and pay less attention to competitors' advertising. 
4) Servicing existing customers, who are familiar with the firm's offerings and processes, is cheaper. 
5) Loyal customers spread positive word of mouth and refer other customers. 
6) Marketing efforts aimed at attracting new customers are expensive. In saturated markets, there may not even be new customers. 
7) Employees' jobs are easier and more satisfying when customers are loyal and easier to serve.

Question 2

Most products do not have substitutes or similar products in the marketplace, so having a distinct benefit is usually unimportant for marketers.

Accepted Answer

A) True 
 B)False  False

Question 3

Which of the following is the study of the processes involved when individuals or groups select, purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs and desires?

Accepted Answer

A)  lifestyle marketing 
B)  role theory 
C)  consumer behavior 
D)  marketing research 
A)  lifestyle marketing 
B)  role theory 
C)  consumer behavior 
D)  marketing research C

Question 4

Technology enables marketers to do which of the following?

Accepted Answer

A)  customize offerings and promotional messages 
B)  offer more effective pricing 
C)  utilize shorter distribution channels 
D)  build long-term relationships with customers 
E)  all of the above 
A)  customize offerings and promotional messages 
B)  offer more effective pricing 
C)  utilize shorter distribution channels 
D)  build long-term relationships with customers 
E)  all of the above

Question 5

Of the four Ps of the marketing mix, promotion includes ________.

Accepted Answer

A)  payment methods 
B)  public relations 
C)  warranties 
D)  discounts 
E)  product size 
A)  payment methods 
B)  public relations 
C)  warranties 
D)  discounts 
E)  product size

Question 6

Which of the following determinants of customer satisfaction with online websites and merchants while shopping online is characterized by an attractive site design; enjoyable shopping at the site; and an inviting, comfortable site?

Accepted Answer

A)  trust 
B)  engagement 
C)  network 
D)  interactivity 
E)  adaptation 
A)  trust 
B)  engagement 
C)  network 
D)  interactivity 
E)  adaptation

Question 7

Cross-screen marketing consists of tracking and targeting users across their computers, mobile phones and tablets.

Accepted Answer

A) True 
 B)False

Question 8

Of the four Ps of the marketing mix, place includes ________.

Accepted Answer

A)  discounts 
B)  public relations 
C)  warranties 
D)  distribution centers 
E)  packaging 
A)  discounts 
B)  public relations 
C)  warranties 
D)  distribution centers 
E)  packaging

Question 9

Cookies are used to track who is interested in what online and sold on exchanges like ________ to other companies who are interested in targeting people based on their interests.

Accepted Answer

A)  eXelate and BlueKai 
B)  cheapair.com and Hilton 
C)  Amazon.com 
D)  informationex.com 
E)  IdeaLog.com 
A)  eXelate and BlueKai 
B)  cheapair.com and Hilton 
C)  Amazon.com 
D)  informationex.com 
E)  IdeaLog.com

Question 10

Which of the following customer retention measurement methods is described: the percentage of customers at the beginning of the year that are still customers by the end of the year?

Accepted Answer

A)  customer valuation 
B)  retention rate 
C)  complaint analysis 
D)  defection rate 
E)  benchmark 
A)  customer valuation 
B)  retention rate 
C)  complaint analysis 
D)  defection rate 
E)  benchmark

Question 11

No matter where we are born, we all have the same biological needs: needs for food, nourishment, water, air and shelter from the environment's elements.

Accepted Answer

A) True 
 B)False

Question 12

In terms of expectations, when is a customer not satisfied, satisfied, and delighted?

Accepted Answer

A customer is satisfied when the expecta

Question 13

"Me too" products are ________.

Accepted Answer

A)  products that need to be bought along with the original product 
B)  secondary products that customers need to be reminded to buy 
C)  products that lack a unique image or benefit in the eyes of consumers 
D)  products aimed at helping children learn to share with each other 
E)  products that are included for free with the desired product 
A)  products that need to be bought along with the original product 
B)  secondary products that customers need to be reminded to buy 
C)  products that lack a unique image or benefit in the eyes of consumers 
D)  products aimed at helping children learn to share with each other 
E)  products that are included for free with the desired product

Question 14

Me-too products lack a unique image or benefit.

Accepted Answer

A) True 
 B)False

Question 15

In the consumer decision-making process, the ________ stage focuses on how consumers make decisions.

Accepted Answer

A)  analysis 
B)  evaluation 
C)  input 
D)  process 
E)  output 
A)  analysis 
B)  evaluation 
C)  input 
D)  process 
E)  output

Question 16

In the consumer decision-making process, the ________ stage focuses on how consumers make decisions.

Accepted Answer

A)  analysis 
B)  evaluation 
C)  input 
D)  process 
E)  output 
A)  analysis 
B)  evaluation 
C)  input 
D)  process 
E)  output

Question 17

________ is turning individual consumer transactions into long-term customer relationships by making it in the best interests of customers to stay with the company rather than switch to another firm.

Accepted Answer

A)  Market segmentation 
B)  Customer satisfaction 
C)  Market targeting 
D)  Customer retention 
E)  Product promotion 
A)  Market segmentation 
B)  Customer satisfaction 
C)  Market targeting 
D)  Customer retention 
E)  Product promotion

Question 18

Social media transformed ________ by giving companies a way to easily collect input and customers' preferences.

Accepted Answer

A)  photography 
B)  television commercials 
C)  market trust 
D)  market research 
E)  customer bias 
A)  photography 
B)  television commercials 
C)  market trust 
D)  market research 
E)  customer bias

Question 19

RYAN'S RUNNERS MINI CASE: Ryan wants to open a store that caters to athletes, but, due to space and budgetary constraints, he recognizes that he will not be able to offer the same variety and selection of products as does the local athletic mega-store, so he has decided to focus specifically on runners. He stocks shoes and related gear for runners, and maintains a staff that is knowledgeable and enthusiastic about running. Ryan's advertising campaign emphasizes his store's high standard of customer service and selection of products specifically tailored to meet the needs of the runner.
-In the RYAN'S RUNNERS MINI CASE, by portraying his store as a one-stop-shop for all your running needs, Ryan has developed a distinct image for his store. This is an example of ________.

Accepted Answer

A)  segmentation 
B)  targeting 
C)  placement 
D)  positioning 
E)  social marketing 
A)  segmentation 
B)  targeting 
C)  placement 
D)  positioning 
E)  social marketing

Question 20

Customer profitability-focused marketing ________.

Accepted Answer

A)  tracks costs and revenues of individual customers and then categorizes those consumers into tiers based on consumption behaviors that are specific to the company's offerings 
B)  minimizes the cost of production in order to offer the product at the best price possible 
C)  aggressively markets products to consumers who do not necessarily think that they need the product 
D)  continually updates the product without regard to the needs of the consumer 
E)  invests money in attracting customers that are very sensitive to price and are not loyal to any given brand 
A)  tracks costs and revenues of individual customers and then categorizes those consumers into tiers based on consumption behaviors that are specific to the company's offerings 
B)  minimizes the cost of production in order to offer the product at the best price possible 
C)  aggressively markets products to consumers who do not necessarily think that they need the product 
D)  continually updates the product without regard to the needs of the consumer 
E)  invests money in attracting customers that are very sensitive to price and are not loyal to any given brand

Identify and discuss the reasons for which small reductions in customer defections produce significant increases in profits.

Most products do not have substitutes or similar products in the marketplace, so having a distinct benefit is usually unimportant for marketers.

Which of the following is the study of the processes involved when individuals or groups select, purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs and desires?

Technology enables marketers to do which of the following?

Of the four Ps of the marketing mix, promotion includes ________.

Which of the following determinants of customer satisfaction with online websites and merchants while shopping online is characterized by an attractive site design; enjoyable shopping at the site; and an inviting, comfortable site?

Cross-screen marketing consists of tracking and targeting users across their computers, mobile phones and tablets.

Of the four Ps of the marketing mix, place includes ________.

Cookies are used to track who is interested in what online and sold on exchanges like ________ to other companies who are interested in targeting people based on their interests.

Which of the following customer retention measurement methods is described: the percentage of customers at the beginning of the year that are still customers by the end of the year?

No matter where we are born, we all have the same biological needs: needs for food, nourishment, water, air and shelter from the environment's elements.

In terms of expectations, when is a customer not satisfied, satisfied, and delighted?

"Me too" products are ________.

Me-too products lack a unique image or benefit.

In the consumer decision-making process, the ________ stage focuses on how consumers make decisions.

In the consumer decision-making process, the ________ stage focuses on how consumers make decisions.

________ is turning individual consumer transactions into long-term customer relationships by making it in the best interests of customers to stay with the company rather than switch to another firm.

Social media transformed ________ by giving companies a way to easily collect input and customers' preferences.

Customer profitability-focused marketing ________.

Market Segmentation and Real-Time Bidding

Consumer Motivation and Personality

Consumer Perception and Positioning

Consumer Learning

Consumer Attitude Formation and Change

Persuading Customers

From Print and Broadcast to Social Media and Mobile Advertising

Reference Groups and Word-Of-Mouth

The Family and Its Social Class Standing

Cultures Influence on Consumer Behavior

Subcultures and Consumer Behavior

Cross-Cultural Consumer Behavior: an International Perspective

Consumer Decision Making and Diffusion of Innovations

Marketing Ethics and Social Responsibility

Consumer Research

Filters

Exam 1: Consumer Behavior: Information-Driven Consumer Behavior

Identify and discuss the reasons for which small reductions in customer defections produce significant increases in profits.

Most products do not have substitutes or similar products in the marketplace, so having a distinct benefit is usually unimportant for marketers.

Which of the following is the study of the processes involved when individuals or groups select, purchase, use, or dispose of products, services, ideas, or experiences to satisfy needs and desires?

Technology enables marketers to do which of the following?

Of the four Ps of the marketing mix, promotion includes ________.

Which of the following determinants of customer satisfaction with online websites and merchants while shopping online is characterized by an attractive site design; enjoyable shopping at the site; and an inviting, comfortable site?

Cross-screen marketing consists of tracking and targeting users across their computers, mobile phones and tablets.

Of the four Ps of the marketing mix, place includes ________.

Cookies are used to track who is interested in what online and sold on exchanges like ________ to other companies who are interested in targeting people based on their interests.

Which of the following customer retention measurement methods is described: the percentage of customers at the beginning of the year that are still customers by the end of the year?

No matter where we are born, we all have the same biological needs: needs for food, nourishment, water, air and shelter from the environment's elements.

In terms of expectations, when is a customer not satisfied, satisfied, and delighted?

"Me too" products are ________.

Me-too products lack a unique image or benefit.

In the consumer decision-making process, the ________ stage focuses on how consumers make decisions.

In the consumer decision-making process, the ________ stage focuses on how consumers make decisions.

________ is turning individual consumer transactions into long-term customer relationships by making it in the best interests of customers to stay with the company rather than switch to another firm.

Social media transformed ________ by giving companies a way to easily collect input and customers' preferences.

Customer profitability-focused marketing ________.

Market Segmentation and Real-Time Bidding

Consumer Motivation and Personality

Consumer Perception and Positioning

Consumer Learning

Consumer Attitude Formation and Change

Persuading Customers

From Print and Broadcast to Social Media and Mobile Advertising

Reference Groups and Word-Of-Mouth

The Family and Its Social Class Standing

Cultures Influence on Consumer Behavior

Subcultures and Consumer Behavior

Cross-Cultural Consumer Behavior: an International Perspective

Consumer Decision Making and Diffusion of Innovations

Marketing Ethics and Social Responsibility

Consumer Research

Filters