Deck 12: Using Customer Analytics to Build the Success of the Customer-Strategy Enterprise

Question 1

In the interactive age, ___________ drives the central engine of competition.

A) customer analytics
B) customer information
C) product optimization
D) mass customization

Answer 1

customer information

Question 2

According to the authors, the metaphor of "data mining" captures all of the following except:

A) creating predictive and descriptive models to support decision making
B) exploring and analyzing large quantities of data to discover meaningful patterns
C) discovering real-time insights into the nature of individual customers
D) extracting and presenting new knowledge selected from databases for actionable decisions

Answer 2

discovering real-time insights into the nature of individual customers

Question 3

Customer analytics provides what missing link for understanding customers?

A) classification
B) analysis
C) interaction
D) prediction

Answer 3

prediction

Question 4

According to the case study presented in Chapter 12, Verizon Wireless discovered which of the following benefits from customer analytics?

A) short-term revenue increase
B) reduced marketing costs
C) reduced customer service costs
D) easier and faster transactions

Question 5

"Dirty" data can mean all of the following except:

A) private
B) expired
C) irrelevant
D) nonsequential

Question 6

Preparing customer data for analysis (the analysis process) includes which of the following steps?

A) classification, estimation, regression, prediction, clustering
B) identification, differentiation, interaction, customization
C) collecting, defining, analyzing, comparing
D) ranking, modeling, simulating, learning

Question 7

What characteristic dictates most whether a company would benefit from customer analytics?

A) whether the company has a Web site
B) whether the company generates large amounts of customer-specific information
C) whether a company is customer-centric
D) the number of employees a company has

Question 8

The second stage in the evolution of CRM software is:

A) SaaS CRM
B) CRM in the cloud
C) open-source CRM
D) enterprise CRM

Question 9

The authors predict the next stage of customer analytics will involve:

A) evolving from a technology to a business process
B) cloud-based computing
C) deepening the relationship with each customer
D) applying financial characteristics to data analysis

Question 10

The purpose of customer analytics is:

A) develop a deeper relationship with the customer
B) assign a dollar value to customer data
C) reduce marketing expenses
D) increase customer service

Question 11

Fully define both "data mining" and "customer analytics." How are they the same-and how are they different?

Question 12

List and discuss five sales and marketing benefits of customer analytics. For each, explain how customer analytics enables these benefits.

Question 13

Explain how customer analytics is a business process and not just a technology.

Question 14

According to Jim Goodnight, why is it important that an enterprise have a holistic view of the customer? How does customer analytics enable this view?