Deck 11: Customer Relationship Development and Retention Marketing

Question 1

Registration on a site can:

A)furnish data for personalization of communications.
B)provide an email address for CRM contacts.
C)both of the above.

Answer 1

C

Question 2

________ is one of the elements of the Peppers and Rogers CRM model.

A)Analysis
B)Differentiation
C)Involvement

Answer 2

B

Question 3

Among the arguments for the importance of customer retention are:

A)it costs at least seven times as much to acquire a new customer as it does to retain an existing one.
B)a satisfied customer does not talk about the firm and product.
C)reducing customer defections will increase sales, but not necessarily profits.

Answer 3

A

Question 4

What are foundations of a CRM program?

A)Sales force automation and customer service
B)Marketing and promotion
C)Customer service and email marketing

Question 5

Analytical CRM includes:

A)database enhancement.
B)performance measurement.
C)both of the above.

Question 6

A CRM Vision includes using ________ to create a Seamless Customer Experience.

A)customer touchpoints and technology
B)CRM failure rates
C)the promise of CRM

Question 7

Among the reasons for the failure of CRM programs are:

A)lack of software applications needed to support CRM.
B)lack of buy-in and leadership from top management.
C)lack of understanding of the requirements of CRM.

Question 8

Cisco's success in customer reactivation depended upon:

A)collecting as much data as possible on each business person.
B)contacting business professionals as individuals.
C)developing registration forms.

Question 9

The customer lifecycle allows marketers to:

A)identify their best prospects.
B)target lapsed customers and win back.
C)both of the above.

Question 10

________ is not a way in which relationship marketing differs from transactional marketing.

A)Networked organizations instead of hierarchical organizations
B)Long term focus instead of short term perspective
C)Customer dialog instead of isolated marketing research projects

Question 11

The components of customer lifetime value include:

A)all revenue after the first year.
B)growth in amount spent with the enterprise.
C)spending transferred from competitors.

Question 12

Which of the following is a true statement about the CRM process?

A)It makes segmentation obsolete.
B)It is driven by customer information.
C)It is useful only for outbound marketing programs.

Question 13

The CRM process:

A)is driven by customer information.
B)makes segmentation obsolete.
C)is useful only for outbound marketing programs.

Question 14

________ are a technology that broadens the ability to connect with consumers

A)Computer clips
B)Mobile branded apps
C)Content management Systems

Question 15

Integrating social media data into tactical CRM programs:

A)carries inherent privacy challenges.
B)has been fully automated.
C)involves collecting easily quantifiable data.

Question 16

What functions do cookies perform in the targeting and personalization process?

A)Identify the visitor's e-mail address.
B)Collect data about the visitor's activities on all websites.
C)Store data that enables the site to deliver relevant content.

Question 17

Seamless customer experience refers to:

A)using the same technology in all marketing channels.
B)equally satisfying experience at all customer touchpoints.
C)offering different value propositions to different classes of customers.

Question 18

Tesco's Club card Program relies for its success upon:

A)data mining and segmentation.
B)qualitative research.
C)social media monitoring.

Question 19

Which of the following is a requirement for CRM success?

A)Focusing on market share
B)Lowering the cost of customer service
C)Capturing and using customer data

Question 20

A/An ________ profile can be developed when a person registers on or buys something from a website.

A)anonymous
B)identified
C)statistical

Question 21

Relationship marketing requires a long-term focus, while transactional marketing tends to have a short term perspective.

Question 22

Loyalty programs are limited in their uses to enterprises like airlines that sell high-value products.

Question 23

Increasing customer retention is important in increasing enterprise profitability.

Question 24

There are a number of differences between the product focused approach to marketing and the customer focused approach.Identify three areas in which there are differences between the two and be specific about the nature of the difference.Give an example for each, indicating how marketing would be carried out in the traditional approach versus the relational approach in each of the areas.

Question 25

Enterprises need to allocate their resources to customer retention, not to customer acquisition.

Question 26

CRM is only a B2B concept because it includes sales force automation as a key component.

Question 27

Identify the steps in the targeting and personalization process, explaining the nature of each.Give an example of how an enterprise might carry out the process.

Question 28

The Peppers and Rogers model of CRM downplays the role of the customer database in CRM.

Question 29

Creating an anonymous customer profile generally requires the use of a cookie.

Question 30

The definition of a good customer is one who is profitable immediately upon acquisition.

Question 31

Personalization can only be done after a person has registered on a website.

Question 32

Marketing is evolving to become more ________ vs.________ focused.

A)segment, acquisition
B)product, customer
C)retention, profitability

Question 33

Explain how to facilitate a Seamless Customer Experience and give examples of what is required to do so.

Question 34

Moving from transactional to relationship marketing requires many changes, including changing the criteria by which success is measured.

Question 35

CRM cannot be implemented in B2B marketing because the field sales force owns customer relationships.

Question 36

Customers only defect if they are not satisfied with the enterprise's products and services.

Question 37

The response of an anonymous visitor to a website cannot be tracked.