Deck 14: Building Customer Relationships

Question 1

Consumer needs can be completely satisfied by proper customer relationship management.

Answer 1

False

Question 2

Lack of in-house expertise is a major justification for using outside CRM services.

Answer 2

True

Question 3

Only three classes of needs-social, psychological, and spiritual- can be connected to behavior through motivations.

Answer 3

False

Question 4

The ability to enjoy one-on-one contact with customers has always been a competitive advantage for large firms.

Question 5

Evoked sets are features or characteristics of products or services that are used to compare brands.

Question 6

A consumer's recognition of a problem can be characterized as routine if the problem evolves over time.

Question 7

There must be a company-wide commitment to CRM concept if CRM is to be productive.

Question 8

Initial CRM support efforts should be placed with the website as those personnel have the most customer contact.

Question 9

Post-purchase dissonance and consumer complaints are both directly related to customer satisfaction.

Question 10

In some situations, a small business owner will have to influence need recognition; in others he may simply be able to react to needs the consumer has identified.

Question 11

A customer complaint can be positive.

Question 12

Small businesses must strive to understand post-purchase dissonance among their customers and to manage it effectively.

Question 13

Addressing a customer by name typically means very little to them.

Question 14

It is important to keep in touch with a customer and make a sales pitch each time.

Question 15

Post-purchase dissonance has been shown to be unrelated to customer satisfaction because it occurs after customers have satisfied their needs.

Question 16

An evoked set is a group of brands that a consumer is both aware of and willing to consider as a solution to a purchase problem.

Question 17

A transactional relationship is an association between a business and a customer that begins or ends with a purchase or a business exchange.

Question 18

Regardless of the nature of the business, small firms can gain a competitive edge by providing exceptional customer service.

Question 19

Customer relationship management means different things to different businesses.

Question 20

In the information search and evaluation stage, the firm's principal objective is to establish evaluative criteria.

Question 21

Which consumer option for dealing with product or service dissatisfaction is the only one that is desirable to a business?

A) publicly obtain legal action against the business
B) stop buying the product or service
C) take no action
D) privately complain to the business

Question 22

Diane is a loyal, long term customer at Burke's Furniture Store. It would be expected that she would

A) be willing to pay more for Burke's Furniture's products.
B) have higher order-processing costs since she purchases so much.
C) potentially spend less as she purchases more products over time.
D) All of the above.

Question 23

Abby is so satisfied with her green grocer that she refers her friends and colleagues, providing a(n) _______ benefit of maintaining relationships with current customers.

A) economic
B) marketing
C) psychological
D) social

Question 24

In general, opinion leaders are considered to be knowledgeable, visible, and exposed in mass media.

Question 25

Marketers create needs that offer unique motivations to consumers.

Question 26

A basic idea forming the foundation of customer loyalty for small firms includes the notion that

A) superior customer service always leads to customer purchases.
B) customer loyalty will mean constant customer satisfaction.
C) small firms possess great potential for providing superior customer service.
D) customer satisfaction is being ignored by large firms.

Question 27

Attitudes are forces that organize and give direction to the tension caused by unsatisfied needs.

Question 28

Molly has had repeated positive experiences with her local coffee shop. They suggest new flavors, call her by her first name, and donate to a local charity that Molly supports. Molly's experiences, as a result, contribute to the firm's CRM _______.

A) organizational culture
B) customer cost
C) value equation
D) customer satisfaction

Question 29

A marketer must determine which motivations the consumer will perceive as acceptable to satisfy a need in a given situation.

Question 30

Most customer service problems are identified by

A) personal observation.
B) outside consultants.
C) customer complaints.
D) entries in a suggestion box.

Question 31

An approach that recognizes that, with every interaction, customers learn something about a company that will affect their desire to do business there in the future is known as

A) perceptual categorization.
B) cognitive dissonance.
C) transactional relationship.
D) customer experience management.

Question 32

As an owner of a floral design business, Tim's highest priority for the florist's CRM program should be

A) marketing efforts to bring in customers who haven't bought flowers recently.
B) finding the right computer software for an online floral ordering program.
C) determining if existing customers are satisfied with past floral arrangements.
D) identifying how often customers will purchase flowers.

Question 33

Educational level is the most single determinant of social class.

Question 34

Attitudes have an indirect impact on consumer behavior.

Question 35

Economic benefits associated with maintaining relationships with current customers include:

A) Small increases in customer retention can translate into large increases in profits.
B) Existing customers spend less money than new customers.
C) Order processing costs are higher for current customers.
D) All of these.

Question 36

To establish an effective customer service program, what should be completed first?

A) customer service quotient
B) mystery shopper visit
C) survey on customer attitudes
D) Jezek's Zone analysis

Question 37

An investigation of culture with a narrow definitional boundary (e.g., by age, geographic location, etc.) is called perceptual categorization.

Question 38

CRM is the business version of

A) the Ten Commandments.
B) the Bill of Rights.
C) the Golden Rule.
D) Maslow's Hierarchy of Needs.

Question 39

Because culture drastically affects the behavior patterns and values of people, it has tremendous impact on the purchase and use of products.

Question 40

Every group to which an individual belongs is a reference group for that consumer.

Question 41

According to consumer information-processing theory, _____ is the final stage through which consumers progress.

A) cognitive dissonance
B) evaluative categorization
C) post-purchase evaluation
D) purchase decision

Question 42

Linda is considering several colleges at which to finish her culinary degree. She is in the _____ stage of the consumer decision making process.

A) information search and evaluation
B) need recognition
C) post-purchase evaluation
D) purchase decision

Question 43

CRM software programs

A) are designed to help companies gather all customer contact information into multiple data management programs.
B) are often implemented into sales departments first since this area of a company typically generates the greatest amount of customer contact.
C) will require limited support resources for the proper implementation into the company.
D) has a finite set of user-friendly tools to assist implementation resulting in more small businesses adopting the programs.

Question 44

Attending a prayer breakfast is most likely an attempt to satisfy which category of need?

A) physiological
B) psychological
C) spiritual
D) social

Question 45

An enduring opinion that is based on a combination of knowledge, feeling, and behavioral tendency is referred to as

A) a motivation.
B) a perception.
C) an attitude.
D) a cognition.

Question 46

In what stage of the consumer decision making process is Josh when he becomes concerned whether his friends will enjoy the video game he downloaded?

A) information search and evaluation
B) need recognition
C) post-purchase evaluation
D) purchase decision

Question 47

The reason that a group of uniformed people walking down the street playing musical instruments is recognized as a band is the result of

A) characteristic profiling.
B) evaluative criteria.
C) perceptual categorization.
D) problem recognition.

Question 48

When Sarah decided to make an offer on a house, this action illustrated she is in the _____ stage of the consumer decision making process.

A) information search and evaluation
B) need recognition
C) post-purchase evaluation
D) purchase decision

Question 49

Mary, an independent sales representative, is hindered in her ability to be in contact with clients because of dropped calls on her cell phone. Her decision to purchase a cellular booster for her phone reflects Mary has just proceeded through the _____ stage of consumer decision making.

A) purchase evaluation
B) evaluative categorization
C) need recognition
D) cognitive dissonance

Question 50

June has always believed that the resale furniture store doesn't have quality furniture as it has been used by others. This _____ may cause her to avoid the store and shop at a store specializing in new furniture across town.

A) attitude
B) cognitive dissonance
C) motivation
D) perceptual categorization

Question 51

Individual processes that ultimately give meaning to stimuli that confront consumers are known as

A) perceptions.
B) motivations.
C) attitudes.
D) opinions.

Question 52

Bob never purchases bottled water when he is thirsty even if it is available. This behavior indicates that bottled water

A) does not meet Bob's evaluative criteria.
B) increases Bob's cognitive dissonance.
C) is not included in Bob's evoked set.
D) decreases Bob's perceptual categorization.

Question 53

Yelp.com

A) is an online forum where unhappy customers can post a negative review.
B) is a way for firms to identify customer complaints more so than preferences.
C) can build a business with limited effort by the business owner.
D) All of the above are true about Yelp.com.

Question 54

A customer's household income level would most likely be stored in which category of a customer profile?

A) Personal information
B) Demographics
C) Psychographic data
D) Transactions

Question 55

Freida used a discount coupon to purchase a new product. In which category of the customer profile should this be recorded?

A) Personal Information
B) Lifestyle data
C) Profile of past responses
D) Transaction data

Question 56

Jeff has concluded that his company selling professional football merchandise needs to increase its line of shirts. He is in the ____ stage of the consumer decision making process.

A) information search and evaluation
B) need recognition
C) post-purchase evaluation
D) purchase decision

Question 57

Julie's preference for the a certain style of barbeque developed in her state is the result of which sociological influence?

A) culture
B) opinion leaders
C) reference groups
D) social class

Question 58

Information taken from warranty cards would be stored in which category of a customer profile?

A) Personal information
B) Complaints
C) Lifestyle data
D) Transactions

Question 59

The shoes looked so cute in the store window, but after she brought them home Delia began having second thoughts about her purchase. Delia is experiencing:

A) post-purchase dissonance.
B) post-purchase satisfaction.
C) cognitive dissonance.
D) post-decisional distress.

Question 60

Juan's belief that all low calorie sodas taste awful is an example of

A) cognitive dissonance.
B) the elimination of an item in an evoked set.
C) perceptual categorization.
D) unilateral indifference.

Question 61

Match the term with its definition.
a.Attitude
g.Needs
b.Culture
h.Opinion leader
c.Customer experience management
i.Perception
d.Customer Lifetime Value
j.Perceptual categorization
e.Customer relationship management
k.Reference group
f.Motivations
l.Social classes
A small group that an individual allows to influence his or her behavior

Question 62

Match the term with its definition
a.80/20 Principle
g.Perceptual categorization
b.Customer database
h.Post-purchase dissonance
c.Customer segmentation strategy
i.Recency-frequency-monetary analysis
d.Evaluative criteria
j.Touch point
e.Evoked set
k.Transactional relationship
f.Perception
An analysis that reveals customers most likely to buy from a firm in the future because they have made purchases recently, frequently, and in amounts that exceed some established minimum

Question 63

Match the term with its definition.
a.Attitude
g.Needs
b.Culture
h.Opinion leader
c.Customer experience management
i.Perception
d.Customer Lifetime Value
j.Perceptual categorization
e.Customer relationship management
k.Reference group
f.Motivations
l.Social classes
The starting point for all behavior

Question 64

Match the term with its definition.
a.Attitude
g.Needs
b.Culture
h.Opinion leader
c.Customer experience management
i.Perception
d.Customer Lifetime Value
j.Perceptual categorization
e.Customer relationship management
k.Reference group
f.Motivations
l.Social classes
A company-wide business strategy designed to optimize profitability, revenue, and customer satisfaction by focusing on specific customer groups

Question 65

Match the term with its definition.
a.Attitude
g.Needs
b.Culture
h.Opinion leader
c.Customer experience management
i.Perception
d.Customer Lifetime Value
j.Perceptual categorization
e.Customer relationship management
k.Reference group
f.Motivations
l.Social classes
The process of grouping things that are perceived as being similar

Question 66

Match the term with its definition.
a.Attitude
g.Needs
b.Culture
h.Opinion leader
c.Customer experience management
i.Perception
d.Customer Lifetime Value
j.Perceptual categorization
e.Customer relationship management
k.Reference group
f.Motivations
l.Social classes
Goal-oriented forces that organize and give direction to the tension caused by unsatisfied needs

Question 67

Match the term with its definition.
a.Attitude
g.Needs
b.Culture
h.Opinion leader
c.Customer experience management
i.Perception
d.Customer Lifetime Value
j.Perceptual categorization
e.Customer relationship management
k.Reference group
f.Motivations
l.Social classes
The total profit expected from all future sales to a customer

Question 68

Match the term with its definition
a.80/20 Principle
g.Perceptual categorization
b.Customer database
h.Post-purchase dissonance
c.Customer segmentation strategy
i.Recency-frequency-monetary analysis
d.Evaluative criteria
j.Touch point
e.Evoked set
k.Transactional relationship
f.Perception
A process of identifying customers that fit into smaller, more homogeneous groups

Question 69

Match the term with its definition.
a.Attitude
g.Needs
b.Culture
h.Opinion leader
c.Customer experience management
i.Perception
d.Customer Lifetime Value
j.Perceptual categorization
e.Customer relationship management
k.Reference group
f.Motivations
l.Social classes
An enduring opinion based on a combination of knowledge, feelings, and behavioral tendencies

Question 70

Match the term with its definition.
a.Attitude
g.Needs
b.Culture
h.Opinion leader
c.Customer experience management
i.Perception
d.Customer Lifetime Value
j.Perceptual categorization
e.Customer relationship management
k.Reference group
f.Motivations
l.Social classes
An approach that recognizes that, with every interaction, customers learn something about a company that will affect their desire to do business there in the future

Question 71

Nikita's decision to buy her shoes at the same shop that her boss patronizes is the result of which sociological influence?

A) culture
B) opinion leaders
C) reference groups
D) social class

Question 72

Match the term with its definition.
a.Attitude
g.Needs
b.Culture
h.Opinion leader
c.Customer experience management
i.Perception
d.Customer Lifetime Value
j.Perceptual categorization
e.Customer relationship management
k.Reference group
f.Motivations
l.Social classes
Behavioral patterns and values that characterize a group of consumers in a target market

Question 73

Aspiring science fiction writers study Isaac Asimov to learn the art of writing that genre. In this case, Asimov would be considered:

A) how a sub-cultural analysis impacts marketing efforts.
B) an opinion leader with which businesses want to affiliate.
C) a reference group for sci-fi writers
D) a social class because of his lifestyle choices.

Question 74

Match the term with its definition.
a.Attitude
g.Needs
b.Culture
h.Opinion leader
c.Customer experience management
i.Perception
d.Customer Lifetime Value
j.Perceptual categorization
e.Customer relationship management
k.Reference group
f.Motivations
l.Social classes
A group member who plays a key communication role

Question 75

Divisions in society with different levels of social prestige are called

A) reference groups.
B) cultures.
C) social classes.
D) perceptual categories.

Question 76

Billy admires firemen. He wants to dress like them, wear a fireman's hat, and pretend to put out fires. For Billy, firemen are:

A) a referral group.
B) a reference group.
C) a perceptual group.
D) an associate group.

Question 77

Match the term with its definition.
a.Attitude
g.Needs
b.Culture
h.Opinion leader
c.Customer experience management
i.Perception
d.Customer Lifetime Value
j.Perceptual categorization
e.Customer relationship management
k.Reference group
f.Motivations
l.Social classes
Divisions within a society having different levels of social prestige

Question 78

A winery promotes its products by holding wine tastings at the restaurants of outstanding local chefs. The winery is utilizing which sociological influence?

A) culture
B) opinion leaders
C) reference groups
D) social class

Question 79

Erin often shops at a retail store where her friends shop because of her desire to be affiliated with the group. The friends are exerting ______ power over Erin.

A) expert
B) group
C) referent
D) expert

Question 80

In general, a person can be an opinion leader even if he or she is not

A) knowledgeable.
B) visible.
C) exposed to the mass media.
D) nationally known.