Question 1

The most common database-driven marketing programs are permission marketing, frequency programs, and customer relationship management efforts.

Accepted Answer

A) True 
 B)False

Question 2

An important key to success in permission marketing programs is to make sure participants have actually agreed to participate and not been tricked into participating or signed up without their knowledge.

Accepted Answer

A) True 
 B)False

Question 3

Sales leads should be qualified and placed into categories based on:

Accepted Answer

A)  sales potential and probability of acquisition 
B)  profit potential and probability of acquisition 
C)  sales potential and profit potential 
D)  the share of the customer currently held and the potential for increasing the share

Question 4

The number one reason individuals remain loyal to a permission marketing program after they have joined is a chance to win prizes in a contest or sweepstakes.

Accepted Answer

A) True 
 B)False

Question 5

Using identification IDs and passwords on a website for customers allow for each of the following benefits, except:

Accepted Answer

A)  the customer can be greeted personally, by name 
B)  provides data for a customer cluster analysis 
C)  the content of the Web pages can be customized to fit the customer's past browsing behavior 
D)  when an order is placed, the customer doesn't have to type in his/her address and credit card information

Question 6

The key reason many CRM programs failed was:

Accepted Answer

A)  failure to differentiate customer profiles 
B)  firms did not understand customers 
C)  a focus on technology rather than people 
D)  a focus on sales rather than enhancing relationships with customers

Question 7

Share of a customer measures a customer's potential value.

Accepted Answer

A) True 
 B)False

Question 8

The primary reason for building a database, coding the information, and data mining is to use the output to build programs that will boost sales revenues.

Accepted Answer

A) True 
 B)False

Question 9

A marketing database contains:

Accepted Answer

A)  transactions individuals have with a firm and the interactions an individual has with the firm 
B)  information about current customers and customers of the competition 
C)  the transactions individuals have with a firm and follows accounting principles 
D)  information about current customers, former customers, and prospects

Question 10

Catalogs offer the advantages of being long lasting, low-pressure, and can be viewed at a person's leisure.

Accepted Answer

A) True 
 B)False

Question 11

Successful database marketing emphasizes two things: identifying customers and building relationships.

Accepted Answer

A) True 
 B)False

Question 12

In developing a CRM program, the "share" of customer term refers to:

Accepted Answer

A)  the potential value that could be added to a given customer's lifetime value 
B)  the lifelong earnings of a customer 
C)  the share of a customer's income that is spent on a particular product 
D)  the percentage of time spent on acquiring the customer's loyalty

Question 13

The first step in the selling process is:

Accepted Answer

A)  generating leads 
B)  sales presentation 
C)  knowledge acquisition 
D)  qualifying prospects

Question 14

In terms of the sales presentation, the ________ approach is often used by telemarketers, retail sales clerks, and new field salespeople.

Accepted Answer

A)  mission-sharing 
B)  need-satisfaction 
C)  problem-solution 
D)  stimulus-response

Question 15

To maintain positive attitudes toward permission marketing programs, rewards must be offered continually and not just at the beginning of the program.

Accepted Answer

A) True 
 B)False

Question 16

In terms of the sales presentation, the ________ approach requires salespeople from the selling organization to analyze the buyer's business.

Accepted Answer

A)  mission-sharing 
B)  need-satisfaction 
C)  problem-solution 
D)  stimulus-response

Question 17

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

Accepted Answer

A)  is 20 percent 
B)  is 50 percent 
C)  is $300 
D)  cannot be determined with the information provided

Question 18

The basic idea behind customer relationship management (CRM) is that companies can use databases to customize products and communications to customers that would result in higher sales and profits.

Accepted Answer

A) True 
 B)False

Question 19

With the head-on approach to handling objections, the salesperson answers the objection directly, using tact to not offend the customer.

Accepted Answer

A) True 
 B)False

Question 20

The most common approach to direct mail is to:

Accepted Answer

A)  use the firm's database list 
B)  purchase a mailing list 
C)  mass mail everyone within specific geocodes 
D)  use trawling to parse the mailing list

Exam 11: Database and Direct Response Marketing and Personal Selling

The most common database-driven marketing programs are permission marketing, frequency programs, and customer relationship management efforts.

An important key to success in permission marketing programs is to make sure participants have actually agreed to participate and not been tricked into participating or signed up without their knowledge.

Sales leads should be qualified and placed into categories based on:

The number one reason individuals remain loyal to a permission marketing program after they have joined is a chance to win prizes in a contest or sweepstakes.

Using identification IDs and passwords on a website for customers allow for each of the following benefits, except:

The key reason many CRM programs failed was:

Share of a customer measures a customer's potential value.

The primary reason for building a database, coding the information, and data mining is to use the output to build programs that will boost sales revenues.

A marketing database contains:

Catalogs offer the advantages of being long lasting, low-pressure, and can be viewed at a person's leisure.

Successful database marketing emphasizes two things: identifying customers and building relationships.

In developing a CRM program, the "share" of customer term refers to:

The first step in the selling process is:

In terms of the sales presentation, the ________ approach is often used by telemarketers, retail sales clerks, and new field salespeople.

To maintain positive attitudes toward permission marketing programs, rewards must be offered continually and not just at the beginning of the program.

In terms of the sales presentation, the ________ approach requires salespeople from the selling organization to analyze the buyer's business.

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

The basic idea behind customer relationship management (CRM) is that companies can use databases to customize products and communications to customers that would result in higher sales and profits.

With the head-on approach to handling objections, the salesperson answers the objection directly, using tact to not offend the customer.

The most common approach to direct mail is to: