Exam 6: Value for Customers

Explain several reasons that a customer might find a relationship with a company to be beneficial.

When does a customer have a neutral response to a purchase?

A company could increase the perceived benefits of a product by ________.

Joy recently tried Green Day's new organic cleaning product and has been so pleased with the results that she has purchased the same item again, along with other cleaning products from the company. Joy has also talked about Green Day's cleaning products with her friends, encouraging them to try the products for their effectiveness and great scent. Joy is best described as a ________ customer.

Kristopher works for the marketing department of a large firm. His job involves using information provided by the company's CRM system to write email and text messages to customers that appeal to their specific needs and characteristics. Kristopher is involved in the ________ step of customer relationship management.

Diana Dion is currently researching data sources from within her company to make marketing decisions. Diana is making use of ________ databases.

Explain why a customer's purchase history may be considered the most important piece of information collected in a CRM system.

Through customer ________, a company has the means to find groups of customers who share similar characteristics.

Identify and explain one reason that there are so many different brands available in today's market.

A product with a low perceived value is most likely to ________.

A product that falls above the fair value line of a value map is perceived to deliver benefits that are ________ the product's cost.

Which of the following is true about customer relationship management?

Word-of-mouth advertising is also known as ________.

Relationship marketing requires a company to make both a ________ and a ________.

A delighted customer is more likely than a switchable customer to be a product champion.

A product that falls below the fair value zone of a value map is perceived to deliver benefits that are ________ the product's cost.

A company implementing CRM is better off collecting ________ information than ________ information.

FedEx offers its customers fast and reliable package delivery. When FedEx customers weigh these benefits against the monetary cost of using FedEx along with any other costs of using the service, they are acting upon ________.

Explain how analyzing customer information from a database might help a car-maker in the process of customer relationship management (CRM).

Refer to the scenario below to answer the following questions. Carol Veldt, owner of Seagull Terrace, watched her investment grow from a small, seaside motel to a thriving year-round resort in just a few years. Atop a bluff overlooking the Maine coast, Seagull Terrace had attracted thousands of visits during the summer months, but then faced a tremendous downturn in business during the winter months. "But, given the industry in the nearby towns, very little year-round competition, and our close proximity to Portland," Carol added, "I couldn't understand why seasonality had to hit Seagull Terrace so hard!" So Carol spent her first winter devising a new marketing plan. She put together a promotional package designed to attract business travelers year-round. Carol's plan involved a seasonal promotional gimmick to be implemented from early winter to late spring that would attract the same numbers as the large summer crowd. Her idea worked! During her second winter, Carol greeted numerous business travelers both satisfied repeat guests as well as new guests who had been snagged by her promotional appeals. "We still have a long way to go," Carol admitted. "Our delicatessen offers delicious entrees, but we'd like to expand that. We provide health club privileges off-site, but we'd like to eventually provide our own. These are goals I hope to achieve in a few years. Our first project, however, included a renovation of our guest rooms and I'm quite proud of the results." Carol then added, "Actually there are so many possibilities! With an indoor pool area, I will eventually offer weekend get-aways throughout the winter." -During her second winter at Seagull Terrace, Carol identified several business travelers who were repeat customers and who were enthusiastic about the value offered by the resort. Carol offered a special discount and reward program for those travelers who made recommendations to friends and colleagues that would lead to new customers for Seagull Terrace. Carol was interested in creating ________.