Deck 8: Customer Relationship Management CRM

Question 1

The guest at a Marriott hotel stepped in a mud puddle on his way into the hotel.His shoes were drenched,and he had planned to wear them to an important sales presentation in an hour.The hotel concierge saw the guest's unhappy face and asked if he could help.After learning of the problem,the concierge called a nearby shoe store and had a new pair sent over.Why was the concierge able to handle the situation in a matter that created customer satisfaction?

A)Marriott has a sales orientation.
B)Marriott uses knowledge management.
C)Marriott limits customer interactions.
D)Marriott empowers its employees.

Answer 1

D
Empowerment refers to the latitude organizations bestow on their representatives to negotiate mutually satisfying commitments with customers.

Question 2

Which of the following refers to the latitude organizations bestow on their representatives to negotiate mutually satisfying commitments with customers?

A)consumer learning
B)customerization
C)empowerment
D)interaction

Answer 2

C

Question 3

What does a company have if it customizes its product offerings based on data generated through interaction between the customer and the company?

A)a supply-based focus
B)a sales orientation
C)a supply-based focus
D)a customer-centric focus

Answer 3

D
A customer-centric focus is represented by adherence to the marketing concept.

Question 4

What is the term for the point at which a customer and a company representative exchange information and develop learning relationships?

A)social contact
B)interaction
C)empowering moment
D)equilibrium point

Question 5

Customer relationship management

A)is often described as a closed-loop system.
B)involves only personnel in marketing and management departments.
C)organizes the company around functional departments.
D)is only a theory and has not been proven successful in any practical way.

Question 6

Les Ailes de la Mode is a Quebec retail store that promotes the highest quality customer service.
Refer to Les Ailes de la Mode.It does this by maintaining the importance of the point at which customer and store personnel exchange information and develop learning relationships.What is this point called?

A)knowledge analysis
B)equilibrium point
C)empowerment moment
D)interaction

Question 7

ThomasCook.com,an online travel retailer in the United Kingdom,is able to offer a more effective customer experience and support its revenue goals using a certain type of software to manage service interactions across phone,e-mail,and Web channels.The deployment has resulted in a change in the type of customer calls received by ThomasCook.com service agents.Because customers are able to find answers to general queries online,agents at the contact centre are now focused on helping customers with their actual bookings.Which of the following categories would the software fall under?

A)corporate relationship marketing
B)total quality management
C)customer relationship management
D)call response marketing

Question 8

Foremost Manufacturing makes lighting reflectors and other fabricated metal products.Foremost Manufacturing recognizes that being "good enough" just isn't good enough.With this in mind,Foremost has embarked on a program to transform itself into a manufacturing enterprise with an unwavering focus on customer service.What has Foremost adopted?

A)a demand-based focus
B)a sales focus
C)a supply-based focus
D)a customer-centric focus

Question 9

The way to people's hearts may be through their stomachs,but Kraft Foods has decided not to rely exclusively on that maxim to secure the long-term loyalty of its customers.It is also making new product developments through data generated from interaction between Kraft and its customers.Kraft Foods can best be described as which of the following?

A)is sales oriented.
B)has a standardization focus.
C)is ethnocentric.
D)has a customer-centric focus.

Question 10

During 2005-2006,Best Buy instituted a new focus in all of its stores,which will now customize their product offerings for the five key customer segments it has identified: Which type of focus is Best Buy using?

A)demand based
B)sales-centric
C)supply based
D)customer-centric

Question 11

Which of the following statements best describes the CRM cycle?

A)The letters CRM are an acronym for consumer relationship marketing.
B)The CRM cycle does not affect employees outside the marketing and management functional areas.
C)The CRM cycle is continuous and circular with no predefined start or end point.
D)The CRM cycle takes a simplistic perspective on customers.

Question 12

In a CRM environment,which of the following is defined as the informal process of collecting customer information through customer contacts and feedback on product performance?

A)attitude adjustment
B)organizational perception
C)stimulus/response research
D)learning

Question 13

As a strategy to optimize profitability,revenue,and customer satisfaction,what would the Toronto Blue Jays implement to focus on its fan base and provide them with additional benefits?

A)organizational optimization
B)consumer relationship marketing
C)total quality management
D)customer relationship management

Question 14

Synavant is a pharmaceutical company in Toronto,Ontario.Its director of business development told a group of investors,"There is a single database repository in this company from which everybody can access data about a customer or potential customers." What is Synavant most likely using?

A)learned research
B)stimulus/response marketing
C)knowledge management
D)sales-oriented marketing

Question 15

What internal management philosophy is customer-centric similar to?

A)utilitarianism
B)the equity theory
C)the marketing concept
D)consumerism

Question 16

What is the term for a company-wide business strategy designed to optimize profitability,revenue,and customer satisfaction by focusing on highly defined and precise customer segments?

A)organizational optimization
B)consumer relationship marketing
C)total quality management
D)customer relationship management

Question 17

Convergys Corporation is a provider of outsourced customer care,human resources,and billing services.The company handles about 1.7 million interactions per day in its 68 contact centres worldwide.Its new software allows anyone talking to a customer to view the customer's order and billing information on his or her computer.Thus,problems can be resolved in real time,increasing responsiveness and first call resolution while reducing call processing time by up to 40 percent.This new software would be classified as part of which of the following?

A)organizational optimization
B)call response marketing
C)total quality management
D)customer relationship management

Question 18

Which of the following is the process by which learned information from customers is centralized and shared in order to enhance the relationship between customers and the organization?

A)knowledge management
B)learning
C)database mining
D)information marketing

Question 19

What can the difference between traditional marketing and customer relationship marketing be compared to?

A)the difference between night and day
B)the difference between mice and elephants
C)the difference between shooting a rifle and a shotgun
D)the difference between circles and squares

Question 20

To initiate the CRM cycle,what must a company first do?

A)create marketing objectives.
B)establish customer relationships with the organization.
C)determine the level of interaction customers have with the organization.
D)acquire and capture customer data for product categories.

Question 21

Hong Kong's TravelSky Technology Limited,a provider of information technology solutions for China's air travel and tourism industries wants to capture the huge amounts of new information required to provide the information needed by its users.What can it create to do this?

A)an information mine
B)a knowledge distribution centre
C)an information storage unit
D)a data warehouse

Question 22

What is essentially a very large,corporate-wide database,culled from a number of separate systems,such as billing,accounting,order fulfillment,distribution,customer service,and marketing and sales,already in place within an organization?

A)a customer information system
B)a data warehouse
C)a decision support system
D)a data cluster

Question 23

Hudson's Bay Company in Canada operates The Bay,Zellers,Home Outfitters,and hbc.com.At each of its stores and its website,it gives HBC Rewards that enable members to earn points,which can be redeemed in the HBC Rewards catalogue for various items,including travel,leisure and entertainment items,Air Miles reward miles,or Bay and Zellers gift certificates.To use the system,customers have to provide their HBC card number.
Refer to Hudson's Bay Company.This reward program enables Hudson's Bay to engage in which type of interactions with its customers?

A)point of sale and Web-based
B)transaction-based and Web-based
C)transaction-based and retail-centric
D)point of sale and retail-centric

Question 24

Which type of interactions occur when customers buy products in a store?

A)point of sale
B)relationship based
C)cost based
D)retail-centric

Question 25

The Toronto Blue Jays,a Major League Baseball team,used customer satisfaction surveys of season ticket holders to determine why the number of season ticket holders was declining.What was this survey an example of?

A)a touch point
B)a focus area
C)a data search
D)an interaction

Question 26

In a speech,David Poirier,chief information officer of Hudson's Bay Company,a Canadian retailer,said,"We [Hudson's Bay Company] had all kinds of data in different places.We didn't have a single view of the customer until we focused on finding one method to manage relationships with our customers." What would Hudson's Bay use to profile customer segments for better CRM marketing efforts?

A)a data mart
B)a customer information system
C)a data warehouse
D)a data mining system

Question 27

When viewed as an interaction between the organization and the customer,a transaction can produce all of the following customer data EXCEPT which of the following?

A)information about the customer's relationship with other customers.
B)past purchase history.
C)information about the customer's relationship with the organization.
D)average amount spent on purchases.

Question 28

"Lots of organizations have customer data,but not in a way that's useful," said a speaker at the Canadian Marketing Association's national convention."Retailers have all kinds of data in different places-they don't have a single view of the customer." The speaker is saying that retailers do NOT use which of the following?

A)information distribution centres
B)data warehouses
C)information extraction mines
D)data intermediaries

Question 29

Les Ailes de la Mode is a Quebec retail store that promotes the highest quality customer service.
Refer to Les Ailes de la Mode.The store offers its customers Les Ailes MasterCard.The card is connected to a points program that offers one point for every $20 of purchases on the card and triple that on purchases made at Les Ailes.It also incorporates an electronic chip,through which a $10 coupon is awarded to each member every month via the electronic gift card (on purchases of $10 or more every month).Card members also receive free subscriptions to the retailer's Les Ailes magazine.What is CRM being used for?

A)to retain loyalty
B)in mass marketing
C)to create transactional relationships
D)to develop a compiled list

Question 30

The executive vice president of Hudson's Bay Company in Canada (a major retail chain)said in an interview,"We have to be able to offer customers what they want when they want it.We need better insight into their spending-we have gaps in knowledge of how customers spend." Which type of interactions would provide the retail chain the best opportunity for learning about its customers?

A)point of sale
B)relationship based
C)retail-centric
D)sales oriented

Question 31

How should an organization view every transaction?

A)as simply a financial exchange
B)as deleterious to customer relationship management
C)as the opportunity to collect vast amounts of data about the customer
D)as the creation of customer-organization multiplicity

Question 32

In Nokia stores,"Experience Areas" feature phones connected to photo printers,speakers,notebook computers,and Bluetooth headsets to demonstrate the interactivity and full range of features available on the cell phones.These "Experience Areas" allow customers to interact with the technology and provide information to Nokia.What are the "Experience Areas" examples of?

A)touch points
B)focus areas
C)information search areas
D)experimental points

Question 33

Hudson's Bay Company in Canada operates The Bay,Zellers,Home Outfitters,and hbc.com.At each of its stores and its website,it gives HBC Rewards that enable members to earn points,which can be redeemed in the HBC Rewards catalogue for various items,including travel,leisure and entertainment items,Air Miles reward miles,or Bay and Zellers gift certificates.To use the system,customers have to provide their HBC card number.
Refer to Hudson's Bay Company.Which of the following provides the most likely reason that Hudson's Bay Company implemented this reward program?

A)to acquire more information about its customers
B)to make sure the 80/20 principle is not influencing its activities
C)to retain loyal customers
D)to increase the importance of customer service

Question 34

What is the term for a central repository for data from various functional areas of the organization that can be shared by all of the organization's departments?

A)an information mine
B)a knowledge distribution centre
C)an information intermediary
D)a data warehouse

Question 35

Which of the following statements best describes customer data?

A)Customer data should be accumulated over the customer's entire life span with the organization.
B)Once customer data are gathered,the information is owned by the organization,which can use this information any way it seems fit.
C)Customer data are unaffected by the internal process of empowerment.
D)Customer data from point-of-sale touch points are not needed if information is centralized.

Question 36

How does the traditional approach for acquiring data from customers occur?

A)through encoding devices
B)through media
C)through feedback mechanisms
D)through channel interactions

Question 37

Les Ailes de la Mode is a Quebec retail store that promotes the highest quality customer service.
Refer to Les Ailes de la Mode.The store has established itself not only as a top retailer in the province,but also as a credit card and point program company,cataloguer,and even publisher.Through gathering customer information for its credit cards and point program,catalogue orders,and subscriptions to its publications,what has Les Ailes de la Mode created?

A)several different focus areas
B)several different touch points
C)several different distribution channels
D)several different sources of distribution information

Question 38

What is the core of the data warehouse?

A)transaction channels of communication
B)point-of-sale interactions
C)the database
D)a compiled list

Question 39

According to your textbook,which of the following is a guideline for a successful CRM system?

A)Customer information is not retained past the initial contact with the customer.
B)Intuition and experience must define the products provided by the organization.
C)The product takes centre stage in the organization.
D)Customer information is kept in a centralized repository.

Question 40

In a CRM system,which term describes all areas of the business where customers have contact with the company,and data may be gathered and used to guide the decision making within that business unit?

A)touch points
B)focus areas
C)information search periods
D)observational data

Question 41

What is the term for the process of finding hidden patterns and relationships in the customer data stored in the data warehouse?

A)customer information management
B)data feedback
C)information retrieval
D)data mining

Question 42

Marketing to repeat customers is more profitable than marketing to first-time buyers is a basic assumption of which of the following?

A)customer segmentation
B)predictive modelling
C)data manipulation
D)lifetime value analysis

Question 43

L.L.Bean,Inc.has been reducing the number of catalogues it sends out while increasing its sales and profits.L.L.Bean now identifies customers who have purchased recently and often and have spent considerable money.Such customers are most likely to purchase again.What is L.L.Bean using to identify these customers?

A)predictive data
B)trend data
C)correlation analysis
D)recency-frequency-monetary analysis

Question 44

What is the term for the addition of information to customer or prospect records for the purpose of better describing or better determining the responsiveness of customers or prospects?

A)information formatting
B)database enhancement
C)data mining
D)predictive modelling

Question 45

Ford Canada has turned to the Internet to help it stand apart from its competitors in the automotive industry.One Internet ad shows a Ford truck driving out of a forest with its engine roaring and mud splattering on the screen.The wipers come on to reveal the Ford "Built Tough" logo,which then recedes to the side of the screen.The ad directs people to a site (www.ford.ca/builtfordtough)where they can sign up to receive direct mail from Ford.Ford Canada will combine this database with a database of new F-series truck owners to look for significant patterns and trends.Which of the following best describes what Ford Canada will be using?

A)an information search system
B)knowledge trending
C)data graphing
D)data mining

Question 46

To be useful,where could all of these data be centralized?

A)in a data mart
B)in a decision matrix
C)in a data warehouse
D)in a data cluster

Question 47

Which of the following statements best describes a CRM system?

A)A critical component of a CRM system is the use of the appropriate technology to store and integrate customer data.
B)A CRM system operates on the theory that all customers are equally important.
C)Due to privacy laws,a CRM system disseminates customer information only to those who are actually in day-to-day contact with customers.
D)A company using a CRM system must view its customers as bits of data.

Question 48

Walmart captures point-of-sale transactions from over 2,800 stores in six countries and continuously transmits these data to its massive data warehouse.Walmart allows more than 3,500 suppliers to access data on their products and perform data analyses.These suppliers use the data to identify customer buying patterns at the store level.They use this information to manage local store inventory and identify new merchandising opportunities.What are both Walmart and its suppliers engaging in?

A)information formatting
B)database enhancement
C)data mining
D)data shading

Question 49

Taquan recently purchased a GE microwave oven using a $50 rebate offer.He filled out the rebate certificate and sent it to an address provided by GE.The rebate certificate contained Taquan's full name,his phone number,his address,and some purchase information.Taquan has most likely become part of which of GE's lists?

A)compiled
B)response
C)electronic cash
D)Internet research

Question 50

Leah wants to develop a mailing list of people who have participated in bicycle rides for charities.She has offered to purchase a list of last year's Ride for Life,which was held to raise funds for cancer research.Which type of list is Leah building?

A)actionable
B)response
C)compiled
D)predictive

Question 51

Future Shop uses CRM to track visitors to its website.This tracking allows the retailer to confidently project the value of its repeat customers through its application of which of the following?

A)customer segmentation.
B)customer valuation
C)data manipulation
D)lifetime value analysis

Question 52

The Old Ridley College Foundation raised $80,000 at its "A Taste of Pelee Island," a gala dinner where all proceeds went to support scholarship funds and educational programs at SUNY College at Old Ridley.Attendees were people who had contributed to the scholarship program previously.How would they have been reached?

A)through a compiled list
B)through a response list
C)through a management database
D)through a data warehouse database

Question 53

Which of the following techniques used to analyze marketing databases considers whether a customer has made a purchase recently as well as how often that customer makes a purchase?

A)recency-frequency-monetary analysis
B)predictive modelling
C)data mining
D)lifetime value analysis

Question 54

Lesley Owens has limited money to invest in a mailing to people who might be interested in subscribing to a new magazine about making scrapbooks.She wants to send the mailing to those prospects with the highest probability of becoming subscribers.What should she use?

A)a compiled list
B)a data mine
C)a response list
D)a data cluster

Question 55

Which type of list generally includes names and addresses gleaned from directories or membership rosters?

A)predictive
B)compiled
C)response
D)actionable

Question 56

Which of the following uses a past set of occurrences to predict the likelihood that some other occurrence,such as a response or purchase,will take place in the future?

A)customer manipulation
B)predictive modelling
C)data mining
D)lifetime value analysis

Question 57

What would an online retailer use to discover that customers who purchase flannel sheets also have a high probability of purchasing all-natural Christmas wreaths if the opportunity is made available?

A)knowledge interpretation
B)systems management
C)data mining
D)information extraction

Question 58

What could a catalogue retailer use to determine that customers who change residences are three times more likely than customers who have not moved to buy tables,fax machines,and decorative products but no more likely to buy jewellery or footwear?

A)data mining
B)information search
C)evoked sets
D)an information environment

Question 59

Refer to Recreational Equipment,Inc.(REI)is a large retailer that specializes in outdoor gear like tents,mountain climbing equipment,mountain bikes and outdoor clothing.They have stores all across North America and are always looking for new locations to open more stores.Recreational Equipment,Inc.(REI)collects a vast amount of data through its website,direct mailings,and retail stores.
Refer to Recreational Equipment,Inc.(REI).When REI considers new store locations,it examines order data to find places with high concentrations of customers buying online and through the company's catalogues.What is REI using to identify potential store locations?

A)database enhancement
B)data mining
C)data shading
D)customer prediction

Question 60

What could a catalogue retailer use to determine that customers who change residences are three times as likely as customers who have not moved to buy tables,fax machines,and decorative products but no more likely to buy jewellery or footwear?

A)a data analysis approach that identifies patterns of characteristics that relate to particular customers or customer groups
B)customer-initiated information systems
C)trend analysis and hypothesis testing to reveal trends in consumer behaviour
D)automatic extrapolation to predict past behaviour

Question 61

When Vania went to the phone to place a catalogue order for a humidor for her father,she was pleased when the operator suggested that she might also be interested in a subscription to a magazine targeted to cigar lovers.The operator was using a method commonly used to leverage customer information.What is it called?

A)cross-selling
B)trading up
C)modelling
D)a database channel

Question 62

The cable industry needs to identify current and future traffic patterns so it can manage the growth of cable systems.Because of high costs,it is undesirable to buy bandwidth before it is needed.It is also time consuming to upgrade a cable system.Furthermore,consumers hate to wait for capacity increases.Therefore,what does the industry use to determine when and where new systems should be implemented?

A)lifetime analysis
B)cross-selling
C)speed of data communications
D)predictive modelling

Question 63

In a show of fan appreciation,the San Diego Chargers gave 5,000 Chargers season ticket holders a customized digital gift card in the form of a CD to redeem at the Chargers' online team store during the upcoming season.The card is a mini CD that fits into a computer's CD-ROM drive.Fans will access the card's offerings by using a provided password that takes them to the Chargers' website where they can apply for a 10 percent discount for purchases made on the site.The card also features a brief collection of video highlights as well as links to different areas of the Chargers' website.What is the NFL team's goal?

A)to cross-sell
B)to reinforce purchase decisions
C)to retain loyal customers
D)to create team awareness

Question 64

The Marriot-Hilton hotel chains award points for every dollar spent in one of their hotels.Customers who earn a high number of points are given special privileges that may include upgraded hotel rooms or several free nights.What is the purpose of leveraging this customer information?

A)to retain loyal customers
B)to reinforce competitive promotional decisions
C)to cross-sell other products and services
D)to induce product trial by new customers

Question 65

Volvo has a concept car website that caters to car enthusiasts who might want to see concept cars evolve into real-life products.A Forum section allows people who really care about the cars they drive to submit opinions and questions,enabling Volvo to gauge consumer reaction to new ideas.What is CRM giving Volvo the opportunity to do?

A)enhance its database
B)retain loyal customers
C)design targeted marketing communications
D)reinforce customer purchase decisions

Question 66

What is a marketing channel?

A)the link between the retailer and the consumer
B)the method used to facilitate all communications
C)the structure that moves products from producer to ultimate consumer
D)the direct link to the ultimate consumer from the manufacturer

Question 67

In 1981,the producers of Butterball Turkey opened the Butterball Turkey Talk-Line.Created to assist struggling cooks preparing the holiday bird,the Butterball Turkey Talk-Line was initially staffed with six home economists who responded to 11,000 phone calls in its first year.The Butterball Turkey Talk-Line is now known as "the granddaddy of all help lines." Today the staff of 45 home economists and nutritionists responds to over 100,000 questions between October and December.In keeping with its history of technological advances,Butterball launched butterball.com in 1985,one of the first consumer websites,complete with turkey preparation tips and favourite recipes from the Butterball kitchens.Butterball Turkey's commitment to providing premium products and renowned customer service has prevailed as a long-standing tradition to call on,not only at the holidays,but also all year long.Butterball has maintained a prominent position on people's holiday tables,a position it is likely to hold for many years to come.
Refer to Butterball Turkey.Butterball's pledge to providing premium products and renowned customer service indicates a commitment to which of the following?

A)customer relations mapping
B)consumer relationship marketing
C)client relationship management
D)customer relationship management

Question 68

Why does CRM concern many consumers?

A)not all customers have access to CRM marketing
B)the potential for invasion of privacy
C)the aggressive nature of marketers that use CRM
D)the expense to consumers

Question 69

A catalogue retailer that sells fleece-lined outerwear knows its target market includes people who work outdoors year-round as well as people who engage in winter sports.The catalogue retailer could mail personalized catalogues to prospects who are subscribers to a journal for people actively involved in the lumber industry.In this way,the catalogue retailer could leverage customer information to do which of the following?

A)cross-sell
B)reinforce purchase decisions
C)retain loyal customers
D)induce product trial

Question 70

A new manufacturer of craft items used in home decorating could promote its stencil designs to subscribers to The Artistic Stenciller,the official magazine of the Stencil Artisans League.In this way,the manufacturer could leverage customer information to do which of the following?

A)cross-sell
B)induce product trial
C)reduce cognitive dissonance
D)reinforce purchase decisions

Question 71

In 1981,the producers of Butterball Turkey opened the Butterball Turkey Talk-Line.Created to assist struggling cooks preparing the holiday bird,the Butterball Turkey Talk-Line was initially staffed with six home economists who responded to 11,000 phone calls in its first year.The Butterball Turkey Talk-Line is now known as "the granddaddy of all help lines." Today the staff of 45 home economists and nutritionists responds to over 100,000 questions between October and December.In keeping with its history of technological advances,Butterball launched butterball.com in 1985,one of the first consumer websites,complete with turkey preparation tips and favourite recipes from the Butterball kitchens.Butterball Turkey's commitment to providing premium products and renowned customer service has prevailed as a long-standing tradition to call on,not only at the holidays,but also all year long.Butterball has maintained a prominent position on people's holiday tables,a position it is likely to hold for many years to come.
Refer to Butterball Turkey.As more struggling cooks needed the information provided by the Butterball Turkey Talk-Line,Butterball added more employees.When many consumers expressed an inability to tell when the turkey was done,Butterball developed a pop-up signal that made it easy to tell when the turkey was cooked to perfection.When customers wanted more low-fat meat products,Butterball produced turkey luncheon meats and sausage.Butterball would be classified as which of the following?

A)customer-centric
B)sales oriented
C)production oriented
D)ethnocentric

Question 72

To target outdoor enthusiasts,Subaru added an outdoor life section to its website that is organized by area of interest.The site will serve as a platform for co-marketing and promotional programs.
Refer to Subaru.This offering of customized products to a customer segment for the purpose of enhancing the auto manufacturer's customer relationships is an example of which of the following?

A)campaign management
B)customer aggregation
C)transaction segmentation
D)data mining

Question 73

According to the CEO of Allied Office Products,"We're a head-count business: I know that if you have a 60-person office,you should buy $290 worth of basic office supplies-paper,pens,staples-from us with each order,but if that's all we get,we stagnate.For us to grow,we have to convince the customer,who already likes our products and service,to buy more than just basic supplies;we have to increase the order by 10,20,or 29 times." Allied's salespeople are trained to push the company's less traditional,higher-margin lines such as coffee and refreshments,printing and forms management,and office furniture.What are Allied's salespeople engaging in?

A)cross-selling
B)trading up
C)buyer empowerment
D)bundling

Question 74

When Ford Motor Company launched an online effort to market its F-Series trucks,it created a database.According to the textbook,what is one potential problem with the use of this database?

A)that customers may perceive it as an invasion of privacy
B)that the database may be used to generate unrepresentative focus groups
C)that media alternatives may be eliminated from promotional campaigns
D)the lack of adequate personal information on customers

Question 75

Which of the following involves developing product offerings customized for the appropriate customer segment and then pricing and communicating these offerings for the purpose of enhancing customer relationships?

A)predictive modelling
B)campaign management
C)data mining
D)consumerism

Question 76

BMW automobiles has launched an online effort to market its new styles.It hopes to use its database capabilities to capture valuable data on car buyers.BMW plans on cross-referencing new owners with the database generated from this online campaign to see how many names are duplicated.BMW will use these data to forecast which campaigns have the greatest probability of success.Which of the following methods will BMW most likely use to analyze these data?

A)lifetime value analysis
B)future value assessment modelling
C)recency-frequency-monetary analysis
D)predictive modelling

Question 77

After Ruth and Mike had paid in advance for their week's stay at a Quebec inn,Ruth felt that they might have chosen poorly and that they were committing themselves to stay at a place they might hate.Then Ruth got a letter from the inn's owner stating that she was looking forward to their visit and asking what they most enjoyed for breakfast.How did the hospitality of the letter deal with Ruth's cognitive dissonance?

A)by cross-selling
B)by disintermediation
C)by implementing a penetration strategy
D)by reinforcing her purchase decision

Question 78

Looking to build up its postpurchase relationships,General Motors recently launched a service whereby GM vehicle owners can sign up to get e-mail service reminders,access information about GM vehicles,and receive special promotions.What is General Motors using to enhance its customer relationships?

A)modelling
B)scoring
C)campaign management
D)data mining

Question 79

What is the technique used to suggest that a customer who wanted to buy a $28 shirt would also be a likely prospect for a cigar humidor?

A)predictive modelling
B)customer segmentation
C)market aggregation
D)data interpolation

Question 80

To target outdoor enthusiasts,Subaru added an outdoor life section to its website that is organized by area of interest.The site will serve as a platform for co-marketing and promotional programs.
Refer to Subaru.Which of the following provides the most likely reason that Subaru has added this section to its site?

A)to design a more effective customer outreach program
B)to increase the effectiveness of its channels of distribution
C)to increase the importance of customer service
D)to design more targeted marketing communications