Exam 11: Database and Direct Response Marketing

Placing marketing materials with another company's direct mailing piece or catalog,which is an alternative form of direct marketing known as a(n):

In permission marketing,permission is normally obtained from individuals in exchange for an incentive.

Mailing addresses of individuals in a database should be updated at least once every two years and more often if they are used for frequent contacts.

In using RFM codes,companies know that the worst predictor of future purchases is the M,or monetary.

The process of searching a database for a specific piece of information,such as a birthday,for marketing purposes is:

In a RFM analysis,the M stands for marketing.

Outbound direct response telemarketing is most successful when it is tied into a database and either customers or prospects are contacted.

If a company is using its own data list generated by its database,it is important to parse the list to separate active customers from inactive customers so different mailers can be sent to each group.

The key reason many CRM programs failed was:

If Amelia spends $300 a year at The Gap and spends an average of $1500 a year on clothes,then the share of customer for The Gap:

Since 1853 Levi Strauss & Company has operated under the following principles,except:

Levi-Strauss & Company's database marketing program was designed to:

Information about current customers,former customers,and prospects is contained within a firm's operational database.

With a permission marketing program,customer permission is normally obtained:

A company's marketing team segments customers into 6 groups based on their lifetime value calculations.The highest value segment,President's Gold,should be targeted with rewards for purchases to encourage them to continue making purchases.

Direct response marketing or direct marketing is vending products to customers without the use of other channel members.

In coding data using RFM analysis,a value of "1" for the "F" would indicate:

The higher an individual's income,the less likely it becomes that he or she will join a frequency or loyalty program.

In determining lifetime value,customer acquisition costs are determined by:

While it is important for a database to record every transaction with a customer,recording of interactions that do not relate to a purchase are not necessary.