Question 1

Multinational companies often face difficult problems when pulling together internal data about their customers.

Accepted Answer

A) True 
 B)False

Question 2

_____ interactions occur when customers buy products in a store.

Accepted Answer

A) Point-of-sale 
B) Relationship-based 
C) Cost-based 
D) Retail-centric 
E) Distribution-focused 
A) Point-of-sale 
B) Relationship-based 
C) Cost-based 
D) Retail-centric 
E) Distribution-focused

Question 3

Customer lifetime value analysis shows marketers how much they can spend to acquire new customers.

Accepted Answer

A) True 
 B)False

Question 4

Outdoor gear retailer Recreational Equipment,Inc.(REI)in Washington collects a vast amount of data through its Web site,direct mailings,and retail stores.When REI considers new store locations,it examines order data to find places with high concentrations of customers buying online and through the company's catalogs.REI would be using _____ to identify potential store locations.

Accepted Answer

A) information formatting 
B) database enhancement 
C) data mining 
D) data shading 
E) customer prediction 
A) information formatting 
B) database enhancement 
C) data mining 
D) data shading 
E) customer prediction

Question 5

Which of the following is a data manipulation technique that projects the future value of the customer over a period of years using the assumption that marketing to repeat customers is more profitable than marketing to first-time buyers?

Accepted Answer

A) Recency-frequency-monetary value (RFM)analysis 
B) Cluster analysis 
C) Lifetime value analysis (LTV) 
D) Market segmentation 
E) Predictive modeling 
A) Recency-frequency-monetary value (RFM)analysis 
B) Cluster analysis 
C) Lifetime value analysis (LTV) 
D) Market segmentation 
E) Predictive modeling

Question 6

Comment on the following statement: "A CRM cycle is a rather simplistic customer service strategy." Is this an accurate statement? Provide an alternative explanation of a CRM cycle.

Accepted Answer

On the surface,CRM may seem like simplis

Question 7

Leah wants to develop a mailing list of people who have participated in bicycle rides for charities.She has offered to purchase a list of last year's Alabama-based Ride for Life,which was held to raise funds for cancer research.Leah is building a(n)_____ list.

Accepted Answer

A) actionable 
B) e-mail 
C) response 
D) compiled 
E) predictive 
A) actionable 
B) e-mail 
C) response 
D) compiled 
E) predictive

Question 8

Best Buy instituted a system in all of its stores that customizes their product offerings for the five key customer segments it has identified: affluent professional males,young entertainment enthusiasts,upscale suburban moms,families who are practical technology adopters,and small businesses with fewer than 20 employees.This focus implies that Best Buy is:

Accepted Answer

A) ethnocentric. 
B) demand based. 
C) sales-centric. 
D) supply based. 
E) customer-centric. 
A) ethnocentric. 
B) demand based. 
C) sales-centric. 
D) supply based. 
E) customer-centric.

Question 9

Once customer data are analyzed and transformed into usable information,the information must be:

Accepted Answer

A) implemented. 
B) evaluated. 
C) leveraged. 
D) stored. 
E) mined. 
A) implemented. 
B) evaluated. 
C) leveraged. 
D) stored. 
E) mined.

Question 10

Ford Canada has turned to the Internet to help it stand apart from its competitors in the automotive industry.One Internet ad shows a Ford truck driving out of a forest with its engine roaring and mud splattering on the screen.The wipers come on to reveal the Ford "Built Tough" logo,which then recedes to the side of the screen.The ad directs people to a site where they can sign up to receive direct mail from Ford.Ford Canada will combine this database with a database of new F-Series truck owners to look for significant patterns and trends.Ford Canada will use:

Accepted Answer

A) an information search system. 
B) knowledge trending. 
C) data interpolation. 
D) data graphing. 
E) data mining. 
A) an information search system. 
B) knowledge trending. 
C) data interpolation. 
D) data graphing. 
E) data mining.

Question 11

Hudson's Bay Company in Canada operates The Bay,Zellers,Home Outfitters,and Hbc.com.At each of its stores and its Web site,it gives HBC Rewards that enable members to earn points,which can be redeemed in the HBC Rewards catalog for various items,including travel,leisure and entertainment items,Air Miles reward miles,or Bay and Zellers gift certificates.To use the system,customers have to provide their HBC card number.This reward program enables Hudson's Bay to engage in _____ interactions with its customers.

Accepted Answer

A) point-of sale and Web-based 
B) customer-centric and technology-centric 
C) retail-centric and Web-based 
D) transaction-based and retail-centric 
E) point-of-sale and retail-centric 
A) point-of sale and Web-based 
B) customer-centric and technology-centric 
C) retail-centric and Web-based 
D) transaction-based and retail-centric 
E) point-of-sale and retail-centric

Question 12

Countries in _____ generally have the strictest legislation regarding the collection and use of customer data.

Accepted Answer

A) Asia 
B) North America 
C) Africa 
D) Europe 
E) South America 
A) Asia 
B) North America 
C) Africa 
D) Europe 
E) South America

Question 13

Lifetime value analysis can show marketers:

Accepted Answer

A) how much they can spend to acquire new customers. 
B) how valuable their current customers are. 
C) who their best customers are. 
D) which products are at the end of their useful lives. 
E) introduce new customers selectively to specific marketing actions. 
A) how much they can spend to acquire new customers. 
B) how valuable their current customers are. 
C) who their best customers are. 
D) which products are at the end of their useful lives. 
E) introduce new customers selectively to specific marketing actions.

Question 14

A(n)_____ is the point at which a customer and a company representative exchange information and develop learning relationships.

Accepted Answer

A) social contact 
B) interaction 
C) empowering moment 
D) equilibrium point 
E) transactional dyad 
A) social contact 
B) interaction 
C) empowering moment 
D) equilibrium point 
E) transactional dyad

Question 15

A common CRM application is cross-selling other products or services to customers.

Accepted Answer

A) True 
 B)False

Question 16

Explain the importance of interactions in a customer relationship management (CRM)system.Most colleges and universities have some form of CRM system.Describe an interaction that occurs at your institution.

Accepted Answer

An interaction occurs when a customer an

Question 17

Customer-centric is an internal management philosophy similar to the marketing concept.

Accepted Answer

A) True 
 B)False

Question 18

Blood Services
As flextime,consulting,telecommuting,and downsizing make it more difficult for people to donate blood at the workplace,Brooklyn/Staten Island Blood Services has launched a CRM marketing campaign to boost awareness and repeat donations.Early in the campaign,it went to its listings of previous donors and pulled out those with birthdays in February,March,and April.These donors were sent a birthday card with the greeting,"On the anniversary of your life,would you consider saving another's life?"
-Refer to Blood Services.The organization used CRM marketing to:

Accepted Answer

A) cross-sell other products. 
B) design targeted marketing communications. 
C) increase effectiveness of its distribution strategy. 
D) define customer service. 
E) do all of these things. 
A) cross-sell other products. 
B) design targeted marketing communications. 
C) increase effectiveness of its distribution strategy. 
D) define customer service. 
E) do all of these things.

Question 19

_____ is the percentage of customers that repeatedly purchase products from a customer.

Accepted Answer

A) Customer retention 
B) Purchase rate 
C) Customer loyalty 
D) Maintenance rate 
E) Exchange rate 
A) Customer retention 
B) Purchase rate 
C) Customer loyalty 
D) Maintenance rate 
E) Exchange rate

Question 20

Looking to build up its postpurchase relationships,Evans Auto Care recently launched a service whereby customers can sign up to get e-mail service reminders,access information about their vehicles,and receive special promotions.Evans Auto Care is using _____ to enhance its customer relationships.

Accepted Answer

A) modeling 
B) scoring 
C) valence management 
D) campaign management 
E) data mining 
A) modeling 
B) scoring 
C) valence management 
D) campaign management 
E) data mining

Multinational companies often face difficult problems when pulling together internal data about their customers.

_____ interactions occur when customers buy products in a store.

Customer lifetime value analysis shows marketers how much they can spend to acquire new customers.

Which of the following is a data manipulation technique that projects the future value of the customer over a period of years using the assumption that marketing to repeat customers is more profitable than marketing to first-time buyers?

Comment on the following statement: "A CRM cycle is a rather simplistic customer service strategy." Is this an accurate statement? Provide an alternative explanation of a CRM cycle.

Leah wants to develop a mailing list of people who have participated in bicycle rides for charities.She has offered to purchase a list of last year's Alabama-based Ride for Life,which was held to raise funds for cancer research.Leah is building a(n)_____ list.

Once customer data are analyzed and transformed into usable information,the information must be:

Countries in _____ generally have the strictest legislation regarding the collection and use of customer data.

Lifetime value analysis can show marketers:

A(n)_____ is the point at which a customer and a company representative exchange information and develop learning relationships.

A common CRM application is cross-selling other products or services to customers.

Explain the importance of interactions in a customer relationship management (CRM)system.Most colleges and universities have some form of CRM system.Describe an interaction that occurs at your institution.

Customer-centric is an internal management philosophy similar to the marketing concept.

_____ is the percentage of customers that repeatedly purchase products from a customer.

Looking to build up its postpurchase relationships,Evans Auto Care recently launched a service whereby customers can sign up to get e-mail service reminders,access information about their vehicles,and receive special promotions.Evans Auto Care is using _____ to enhance its customer relationships.

An Overview of Marketing

Strategic Planning for Competitive Advantage

Ethics and Social Responsibility

The Marketing Environment

Developing a Global Vision

Consumer Decision Making

Business Marketing

Segmenting and Targeting Markets

Decision Support Systems and Marketing Research

Product Concepts

Developing and Managing Products

Services and Nonprofit Organization Marketing

Marketing Channels

Supply Chain Management

Retailing

Integrated Marketing Communications

Advertising and Public Relations

Sales Promotion and Personal Selling

Pricing Concepts

Setting the Right Price

Social Media and Marketing

Filters

Exam 21: Customer Relationship Management Crm

Multinational companies often face difficult problems when pulling together internal data about their customers.

_____ interactions occur when customers buy products in a store.

Customer lifetime value analysis shows marketers how much they can spend to acquire new customers.

Which of the following is a data manipulation technique that projects the future value of the customer over a period of years using the assumption that marketing to repeat customers is more profitable than marketing to first-time buyers?

Comment on the following statement: "A CRM cycle is a rather simplistic customer service strategy." Is this an accurate statement? Provide an alternative explanation of a CRM cycle.

Leah wants to develop a mailing list of people who have participated in bicycle rides for charities.She has offered to purchase a list of last year's Alabama-based Ride for Life,which was held to raise funds for cancer research.Leah is building a(n)_____ list.

Once customer data are analyzed and transformed into usable information,the information must be:

Countries in _____ generally have the strictest legislation regarding the collection and use of customer data.

Lifetime value analysis can show marketers:

A(n)_____ is the point at which a customer and a company representative exchange information and develop learning relationships.

A common CRM application is cross-selling other products or services to customers.

Explain the importance of interactions in a customer relationship management (CRM)system.Most colleges and universities have some form of CRM system.Describe an interaction that occurs at your institution.

Customer-centric is an internal management philosophy similar to the marketing concept.

_____ is the percentage of customers that repeatedly purchase products from a customer.

Looking to build up its postpurchase relationships,Evans Auto Care recently launched a service whereby customers can sign up to get e-mail service reminders,access information about their vehicles,and receive special promotions.Evans Auto Care is using _____ to enhance its customer relationships.

An Overview of Marketing

Strategic Planning for Competitive Advantage

Ethics and Social Responsibility

The Marketing Environment

Developing a Global Vision

Consumer Decision Making

Business Marketing

Segmenting and Targeting Markets

Decision Support Systems and Marketing Research

Product Concepts

Developing and Managing Products

Services and Nonprofit Organization Marketing

Marketing Channels

Supply Chain Management

Retailing

Integrated Marketing Communications

Advertising and Public Relations

Sales Promotion and Personal Selling

Pricing Concepts

Setting the Right Price

Social Media and Marketing

Filters