Question 1

The best measure of future customer value is past customer value.

Accepted Answer

A) True 
 B)False

Question 2

The acquisition, yield and capture rates are all the same; namely, the number of prospects acquired divided by the total number targeted.

Accepted Answer

A) True 
 B)False

Question 3

Customer's Experience Cycle involves

Accepted Answer

A) satisfaction with the extended product. 
B) loyalty and commitment. 
C) satisfaction with Web site, field sales staff, service, CCC, etc. 
D) critical incident analysis. 
E) all of the above 
A) satisfaction with the extended product. 
B) loyalty and commitment. 
C) satisfaction with Web site, field sales staff, service, CCC, etc. 
D) critical incident analysis. 
E) all of the above

Question 4

Different effectiveness measures are needed for company CRM efforts focusing on acquiring new customers than efforts focusing on cross-selling and up-selling to current customers.

Accepted Answer

A) True 
 B)False

Question 5

Share of category is based on which of the following?

Accepted Answer

A) value 
B) dollar value 
C) purchases of all family members 
D) volume or frequency of purchase 
E) none of the above 
A) value 
B) dollar value 
C) purchases of all family members 
D) volume or frequency of purchase 
E) none of the above

Question 6

Which company will have the best financial outcome according to Reichheld?

Accepted Answer

A) those with loyal customers 
B) those with lowest unit cost 
C) those with highest market share 
D) those with highest satisfaction levels 
E) those with best economies of scale 
A) those with loyal customers 
B) those with lowest unit cost 
C) those with highest market share 
D) those with highest satisfaction levels 
E) those with best economies of scale

Question 7

Which of the following is NOT a direct measure of the positive impact of CRM?

Accepted Answer

A) business process efficiencies 
B) cost reductions 
C) improvements in acquisition and retention 
D) share of stomach 
E) aggregate market share 
A) business process efficiencies 
B) cost reductions 
C) improvements in acquisition and retention 
D) share of stomach 
E) aggregate market share

Question 8

Defection indicators would NOT include which of the following?

Accepted Answer

A) days since last purchase 
B) . share of wallet changes 
C) yield rate 
D) measures of downward migration 
E) all are defection indicators 
A) days since last purchase 
B) . share of wallet changes 
C) yield rate 
D) measures of downward migration 
E) all are defection indicators

Question 9

Of 100,000 customers who were active in the year 2005, only 60,000 are still active in 2006. What would the average retention rate be?

Accepted Answer

A) It cannot be determined because the initial 100,000 have not been segmented into cohorts. 
B) 0.4 
C) 0.54 
D) 0.6 
E) None of the above 
A) It cannot be determined because the initial 100,000 have not been segmented into cohorts. 
B) 0.4 
C) 0.54 
D) 0.6 
E) None of the above

Question 10

The major benefit of the Event History Model is

Accepted Answer

A) knowing the consumer's buying history. 
B) understanding which events trigger purchase. 
C) in preventing over-investment in inactive customers. 
D) understanding what caused consumers to defect. 
E) all of the above are benefits 
A) knowing the consumer's buying history. 
B) understanding which events trigger purchase. 
C) in preventing over-investment in inactive customers. 
D) understanding what caused consumers to defect. 
E) all of the above are benefits

Question 11

Customers realize that if they switch brands, they will probably experience no loss in quality.

Accepted Answer

A) True 
 B)False

Question 12

SERVQUAL is

Accepted Answer

A) a measure of a customer contact person's qualifications. 
B) the first test to measure customer contact person's knowledge regarding customer interactions. 
C) a 22-item instrument for assessing customer perceptions of the quality of service they receive from an organization. 
D) GE's approach to determining bonuses for its sales agents. 
E) the investment industries first attempt to rate companies based on the quality of their service. 
A) a measure of a customer contact person's qualifications. 
B) the first test to measure customer contact person's knowledge regarding customer interactions. 
C) a 22-item instrument for assessing customer perceptions of the quality of service they receive from an organization. 
D) GE's approach to determining bonuses for its sales agents. 
E) the investment industries first attempt to rate companies based on the quality of their service.

Question 13

Critical incident analysis

Accepted Answer

A) focuses on a consumer's holistic feelings toward the organization. 
B) provides the prime reason for purchase at that time. 
C) is built upon specific items or a single behavior. 
D) is the basis for brand extension. 
E) is understanding what prompted the suggestion to purchase. 
A) focuses on a consumer's holistic feelings toward the organization. 
B) provides the prime reason for purchase at that time. 
C) is built upon specific items or a single behavior. 
D) is the basis for brand extension. 
E) is understanding what prompted the suggestion to purchase.

Question 14

Xerox found that customer who rated their services a "4" were almost as likely to repurchase Xerox products over the next 18 months as those who rated their service a "5".

Accepted Answer

A) True 
 B)False

Question 15

The customer CRM strategy cycle does NOT include which of the following?

Accepted Answer

A) acquisition 
B) retention 
C) development 
D) winback 
E) flanking 
A) acquisition 
B) retention 
C) development 
D) winback 
E) flanking

Question 16

If an airline sent out 1 million promotional pieces that resulted in 50,000 new customers, the acquisition rate is

Accepted Answer

A) the same as the yield rate. 
B) the same as the capture rate. 
C) the same as the conversion rate. 
D) 5%. 
E) All of the above 
A) the same as the yield rate. 
B) the same as the capture rate. 
C) the same as the conversion rate. 
D) 5%. 
E) All of the above

Question 17

SERVQUAL relates to the five dimensions that customers use in assessing service quality. These do NOT include which of the following?

Accepted Answer

A) tangibles 
B) empathy 
C) reliability 
D) validity 
E) responsiveness 
A) tangibles 
B) empathy 
C) reliability 
D) validity 
E) responsiveness

Question 18

Hierarchy of Effect Model consists of

Accepted Answer

A) awareness, interest, desire, and action. 
B) cause, effect, appraisal. 
C) awareness, knowledge, liking, preferences, intention, behavior. 
D) problem recognition, information search, decision making, and post-purchase evaluation. 
E) none of the above 
A) awareness, interest, desire, and action. 
B) cause, effect, appraisal. 
C) awareness, knowledge, liking, preferences, intention, behavior. 
D) problem recognition, information search, decision making, and post-purchase evaluation. 
E) none of the above

Question 19

Useful measures of the effectiveness of cross-selling and up-selling do NOT include which of the following?

Accepted Answer

A) size of wallet 
B) share of wallet 
C) share of category 
D) purchase cycle time 
E) maintenance ration 
A) size of wallet 
B) share of wallet 
C) share of category 
D) purchase cycle time 
E) maintenance ration

Question 20

In the RFM approach

Accepted Answer

A) customers are given points based on reaction and fulfillment of mass-media couponing. 
B) significant over-investment is made on lapsed customers. 
C) pacing of purchase is taken into account. 
D) customers are rated on revenue, funds, and monetary value. 
E) B2B sales are rank ordered. 
A) customers are given points based on reaction and fulfillment of mass-media couponing. 
B) significant over-investment is made on lapsed customers. 
C) pacing of purchase is taken into account. 
D) customers are rated on revenue, funds, and monetary value. 
E) B2B sales are rank ordered.

The best measure of future customer value is past customer value.

The acquisition, yield and capture rates are all the same; namely, the number of prospects acquired divided by the total number targeted.

Customer's Experience Cycle involves

Different effectiveness measures are needed for company CRM efforts focusing on acquiring new customers than efforts focusing on cross-selling and up-selling to current customers.

Share of category is based on which of the following?

Which company will have the best financial outcome according to Reichheld?

Which of the following is NOT a direct measure of the positive impact of CRM?

Defection indicators would NOT include which of the following?

Of 100,000 customers who were active in the year 2005, only 60,000 are still active in 2006. What would the average retention rate be?

The major benefit of the Event History Model is

Customers realize that if they switch brands, they will probably experience no loss in quality.

SERVQUAL is

Critical incident analysis

Xerox found that customer who rated their services a "4" were almost as likely to repurchase Xerox products over the next 18 months as those who rated their service a "5".

The customer CRM strategy cycle does NOT include which of the following?

If an airline sent out 1 million promotional pieces that resulted in 50,000 new customers, the acquisition rate is

SERVQUAL relates to the five dimensions that customers use in assessing service quality. These do NOT include which of the following?

Hierarchy of Effect Model consists of

Useful measures of the effectiveness of cross-selling and up-selling do NOT include which of the following?

In the RFM approach

Introduction to Customer Relationship Management

The History and Development of CRM

Relationship Marketing and CRM

Organization and CRM

CRM and Data Management

Technology and Data Platforms

Database and Customer Data Development

Business-To-Business CRM

Understanding the Customercompany Profit Chain: Satisfaction, Loyalty, Retention, and Profits

The CRM Strategy Cycle: Acquisition, Retention

Privacy and Ethics Considerations

Social Networking and CRM

CRM Trends, Challenges, and Opportunities

Filters

Exam 12: CRM Program Measurement and Tools

The best measure of future customer value is past customer value.

The acquisition, yield and capture rates are all the same; namely, the number of prospects acquired divided by the total number targeted.

Customer's Experience Cycle involves

Different effectiveness measures are needed for company CRM efforts focusing on acquiring new customers than efforts focusing on cross-selling and up-selling to current customers.

Share of category is based on which of the following?

Which company will have the best financial outcome according to Reichheld?

Which of the following is NOT a direct measure of the positive impact of CRM?

Defection indicators would NOT include which of the following?

Of 100,000 customers who were active in the year 2005, only 60,000 are still active in 2006. What would the average retention rate be?

The major benefit of the Event History Model is

Customers realize that if they switch brands, they will probably experience no loss in quality.

SERVQUAL is

Critical incident analysis

Xerox found that customer who rated their services a "4" were almost as likely to repurchase Xerox products over the next 18 months as those who rated their service a "5".

The customer CRM strategy cycle does NOT include which of the following?

If an airline sent out 1 million promotional pieces that resulted in 50,000 new customers, the acquisition rate is

SERVQUAL relates to the five dimensions that customers use in assessing service quality. These do NOT include which of the following?

Hierarchy of Effect Model consists of

Useful measures of the effectiveness of cross-selling and up-selling do NOT include which of the following?

In the RFM approach

Introduction to Customer Relationship Management

The History and Development of CRM

Relationship Marketing and CRM

Organization and CRM

CRM and Data Management

Technology and Data Platforms

Database and Customer Data Development

Business-To-Business CRM

Understanding the Customercompany Profit Chain: Satisfaction, Loyalty, Retention, and Profits

The CRM Strategy Cycle: Acquisition, Retention

Privacy and Ethics Considerations

Social Networking and CRM

CRM Trends, Challenges, and Opportunities

Filters