Deck 7: Value Through Services, Relationships and Experiences

Question 1

Companies can use _______ marketing to improve service quality and relationships. This involves either partnering with existing events or creating entirely new ones.

A)experiential
B)experimental
C)exceptional
D)exponential

Answer 1

A

Question 2

Relationship marketing focuses on trying to move consumers up the ladder of _______ until they become advocates or partners of the organization.

A)loyalty
B)relationships
C)service
D)retention

Answer 2

A

Question 3

The ideal experiential marketing effort is one that _______.

A)is an ownable experience
B)is a sensory brand experience
C)makes customers feel like the product or service is theirs
D)is all of the above

Answer 3

D

Question 4

There is a link between customer loyalty and profitability, due to the propensity of loyal customers to spend more with the organization and the reduced _______ of serving such customers.

A)cost
B)value
C)profit
D)result

Question 5

Allied to the provision of service quality and relationships, the creation of customer _______ is another avenue for organizations to deliver value for customers.

A)expectations
B)experiences
C)responses
D)reactions

Question 6

The length of time customers have been with the firm is more important than the nature of loyalty.

Question 7

The use of experiential marketing allows marketers to use relevant ways of communicating with audiences at events using _______ media and word-of-mouth marketing.

A)direct
B)social
C)mass
D)indirect

Question 8

A good experiential marketing effort makes customers feel like the product or service is theirs and these motivated consumers then become product _______ who influence family and friends to try the product.

A)palsies
B)laggards
C)advocates
D)all of the above

Question 9

Experiential marketing is something that can be used successfully within the retail trade to enhance the shopping experience.

Question 10

At the top of the loyalty ladder are _______ who trust and support the organization and work with it.

A)supporters
B)clients
C)partners
D)prospects

Question 11

The fact that many shopping malls now have cinemas, gyms, swimming polls, theatres and galleries attached, illustrates the retail trade's move towards the use of experiential marketing to enhance the consumer's shopping ________.

A)episodes
B)exceptions
C)exploits
D)experience

Question 12

The link between customer loyalty and profitability is a very important one in marketing. Associations between a small increase in customer retention and a(n) _______ increase in profitability have been identified.

A)small
B)minimal
C)large
D)non-existent

Question 13

Services are also known as _______.

A)devices
B)objectives
C)things
D)deeds

Question 14

Many loyalty schemes run by organizations aim to attract and retain customers on a purely _______ basis.

A)social
B)financial
C)structural
D)personal

Question 15

Which of the following can be regarded as a service?

A)Watch
B)Clothes
C)Car Repair
D)Car

Question 16

Consumers may stay loyal to an organization for reasons of inertia rather than true loyalty.

Question 17

The ladder of loyalty is based on the idea that the focus should be on moving people from being prospects to customers, to clients, to supporters, advocates and finally _______.

A)associates
B)partners
C)laggards
D)innovators

Question 18

The increased association of brands with events such as rock concerts and music festivals, is known as _______ marketing.

A)direct
B)mass
C)social
D)experiential

Question 19

Some characteristics of non-profit organizations that distinguish them from profit-orientated firms are: they are subject to public scrutiny, educating the public is an important role, they have multiple publics and ________.

A)conflicting objectives mean that it is hard to measure success
B)they use a different marketing mix
C)decision making is easier in non-profit organizations
D)as their pricing goal is non-economic, their worth and standing is dependent on the profits they generate

Question 20

Companies can create value through the provision of customer experiences which can be used to improve the consumer's _______ with the organization.

A)hope
B)concern
C)relationship
D)expectation

Question 21

Which of the following is a unique characteristic of services?

A)Conditionality
B)Intangibility
C)Invariability
D)Separability

Question 22

Which of the following is a means of managing variability?

A)Selection, training and rewarding of staff
B)Devaluation systems
C)None of the above are means of managing variability
D)All of the above are means of managing variability

Question 23

The pricing of services provided by non-profit organizations tends to follow the guidelines applicable to profit-orientated pricing.

Question 24

_______ marketing is a term that is used to describe efforts, mainly used by public service organizations to encourage positive social change e.g. healthy eating, reduced cigarette and alcohol consumption etc.

A)Direct
B)Social
C)Experiential
D)Public

Question 25

Like most services, distribution systems for many non-profit organizations are long.

Question 26

Public sector non-profit organizations are subject to considerable public scrutiny, due to the fact that they are publicly funded from ________.

A)taxes
B)rates
C)GDP
D)inflation

Question 27

Which of the following is a characteristic of perishability?

A)Consumption cannot be stored for future use
B)There is a need to match supply and demand
C)A service cannot be stored and sold later
D)All of the above are characteristics of perishability

Question 28

Some non-profit organizations see their role as not only meeting the current needs of their customers, but also educating them in terms of _______.

A)new ideas and issues
B)cultural developments
C)social awareness
D)all of these issues

Question 29

When non-profit organizations are communicating to the public, the focus is on producing a positive assessment of the organization and reducing the perceived _______ of the donation so that donors develop trust and confidence in the organization.

A)cause
B)benefit
C)risk
D)worth

Question 30

The two broad groups that non-profit organizations serve are clients and ________.

A)audiences
B)customers
C)donors
D)beneficiaries

Question 31

Commercial marketing techniques such as consumer research, segmentation and marketing mix development have an important place in non-profit marketing.

Question 32

Which of the following is not an implication of intangibility?

A)Pricing is straightforward
B)Services cannot be inventoried
C)Services cannot be easily communicated to customers
D)Services cannot be owned

Question 33

Marketing _______ has an important role to play in the marketing of political parties, as by keeping in touch with public opinion, political parties have the information to differentiate themselves from their competitors on issues that are important to voters,

A)mix
B)research
C)planning
D)portfolios

Question 34

Non-profit organizations need to satisfy the needs of both donors and clients. Their donors may be individuals, companies or _______.

A)patients
B)audiences
C)government bodies
D)beneficiaries

Question 35

Measuring success in non-profit organizations is easier than in the for-profit sector.

Question 36

Non-profit organizations are uninterested in income.

Question 37

Public _______ have an important role to play in generating positive word-of-mouth and establishing the identity of many non-profit organizations.

A)codes
B)causes
C)objectives
D)relations

Question 38

Which of the following is a solution to the challenge of intangibility?

A)Using intangible cues
B)Creating a strong competitive brand
C)Encouraging positive word-of-mouth
D)All of the above

Question 39

Which of the following statements is true?

A)Services are mainly tangible
B)Services are mainly intangible
C)Services usually have an equal amount of tangible and intangible elements
D)None of the above are true

Question 40

Donors may judge which charity to give to on the basis of _______.

A)the charity's awareness and reputation
B)the confidence that the funds won't be wasted on excessive administration
C)perceived worthiness of the cause
D)all of these will have an impact

Question 41

The term 'moment of truth' is used to describe which of the following?

A)The interaction between two customers
B)The interaction between two staff members
C)The interaction between a staff member and a customer
D)None of the above

Question 42

Which of the following is a part of the extended services marketing mix?

A)Product
B)Price
C)Promotion
D)None of the above

Question 43

Which of the following is of crucial importance in the achievement of high standards of service quality?

A)Selection, training and rewarding of staff
B)The provision of a high quality product with excellent features
C)The very close monitoring of staff
D)All of the above

Question 44

Service standardization is a related method of tracking which of the following?

A)Conditionality problem
B)Intangibility problem
C)Variability problem
D)Inseparability problem

Question 45

Which of the following is a method of managing perishability?

A)Full-time staff
B)Multi-skilling of employees
C)Customer separation from production
D)All of the above are supply side methods of managing perishability

Question 46

Customers look for clues to the likely quality of a service by inspecting the tangible evidence, also known as the _______.

A)servicescape
B)servicescope
C)servicemap
D)servicecode

Question 47

Why do service companies often follow a multi-site strategy?

A)Heterogeneity
B)Variability
C)Simultaneous production and consumption
D)None of the above

Question 48

Which of the following is an example of a pure service?

A)Psychotherapy
B)Clothing
C)Machinery
D)Software design

Question 49

Productivity is defined as:

A)A measure of the relationship between an input and an output
B)A measure of customer satisfaction
C)A measure of effectiveness
D)All of the above

Question 50

What is meant by the term "service effectiveness"?

A)Servicescape
B)Service productivity
C)Service quality
D)Service branding

Question 51

A doctor who reduces consultation time per patient is _______.

A)improving his/her service efficiency
B)reducing price sensitivity to customers
C)improving the effectiveness of service delivery
D)none of the above

Question 52

Which of the following is a part of the extended services marketing mix?

A)Physical evidence
B)Production
C)Personalization
D)All are part of the extended services marketing mix

Question 53

Which of the following is a characteristic of inseparability?

A)Simultaneous production and consumption
B)Use of tangible cues
C)Use of differential pricing
D)Use of a reservation system

Question 54

The procedures, mechanisms and flow of activities by which a service is acquired, is known as:

A)People
B)Physical evidence
C)Process
D)Place

Question 55

Which of the following is a characteristic of a successful brand name?

A)Flexibility
B)Distinctiveness
C)Memorability
D)All are characteristics of an successful brand name

Question 56

Why is there a need to extend the traditional 4-Ps marketing mix for services?

A)The high degree of direct contact between the firm and the customer
B)The invisible nature of the service assembly process
C)The separation of production and consumption
D)All of the above

Question 57

What is meant by the term "service efficiency"?

A)Service quality
B)Service productivity
C)Servicescape
D)Service branding

Question 58

Effective internal marketing targets which of the following?

A)Customers
B)Staff
C)Investors
D)Distributors

Question 59

What is the outcome of expected service being equal to perceived service?

A)Customer satisfaction
B)Customer dissatisfaction
C)Customer indifference
D)None of the above

Question 60

Which of the following is a means of stimulating word-of-mouth communications?

A)Persuading satisfied customers to inform others of their satisfaction
B)Targeting opinion followers in advertising campaigns
C)Encouraging staff to talk to customers
D)All of the above

Question 61

Providing a service that customers can trust, refers to which service quality dimension?

A)Assurance
B)Tangibles
C)Courtesy
D)None of the above

Question 62

Which of the following questions do customers use when evaluating a service?

A)Is the service provided at convenient locations and times with little waiting?
B)Can customers trust the service company and their staff?
C)Can the service be used without risk?
D)All of the above

Question 63

Which of the following best describes a level one customer bond?

A)At this level, the bond is primarily through financial incentives
B)At this level, the bond is through financial and social incentives
C)At this level, the bond is through financial, social and structural bonds
D)At this level, the bond is through social incentives

Question 64

Which of the following is an organizational benefit of strong customer relationships?

A)Positive word-of-mouth
B)Increased customer purchases
C)Lower costs
D)All are benefits of strong customer relationships

Question 65

Which of the following examples suggest the use of relationship marketing activities?

A)Funeral service
B)Taxi service
C)Insurance service
D)None of the above

Question 66

Which of the following explains why there may be a gap between service delivery and company communications with customers?

A)Lack of marketing research
B)Exaggerated customer promises
C)All of the above
D)None of the above

Question 67

Relationship marketing is particularly important for service firms because _______.

A)the lack of inventory of services affects consumer relations
B)staff recruitment and training is less important
C)there is often direct contact between the service provider and the consumer
D)all of the above

Question 68

Which of the following explains why there may be a gap between the service level targets set by the organization and the actual level of service that is delivered by front-line staff?

A)Lack of financial resources
B)Failure to select, train and reward staff properly
C)Lack of marketing research
D)All of the above

Question 69

Which of the following best describes a level three customer bond?

A)At this level, the bond is primarily through financial incentives
B)At this level, the bond is through financial and social incentives
C)At this level, the bond is through financial, social and structural bonds
D)None of the above

Question 70

Which of the following is not a barrier to the matching of expected and perceived service levels?

A)Misconceptions
B)Resource surplus
C)Inadequate delivery
D)Exaggerated promises

Question 71

Which of the following are important dimensions of service quality?

A)Trustworthiness, reliability, reciprocity, reputation and flexibility
B)Reliability, responsiveness, empathy, assurance and tangibles
C)Reputation, responsiveness, intangibles, durability and reliability
D)Assurance, reliability, responsiveness, reputation and flexibility

Question 72

Which of the following is not a condition suggesting the use of relationship marketing activities?

A)There is an ongoing desire for the service by the customer
B)The customer controls the selection of the service provider
C)The customer has alternatives from which to choose
D)All of the above are conditions suggesting the use of relationship marketing activities

Question 73

Which of the following best describes a level two customer bond?

A)At this level, the bond is primarily through financial incentives
B)At this level, the bond is through financial and social incentives
C)At this level, the bond is through financial, social and structural bonds
D)None of the above

Question 74

Staff appearance, décor and layout refer to which of the following dimensions of service quality?

A)Access
B)Credibility
C)Tangibles
D)Courtesy

Question 75

Which of the following explains why there may be a gap between what the customer wants and what management think that they want?

A)Lack of upward communication
B)Lack of marketing research
C)Being too far removed from customers
D)All of the above

Question 76

Which of the following are benefits customers reap from entering into a long term relationship?

A)Risk and stress increase
B)Better quality service
C)Social and status risks
D)None of the above

Question 77

Willingness to help customers and provide a prompt response to customer problems, requests and questions refers to which of the following dimensions of service quality?

A)Reliability
B)Courtesy
C)Tangibles
D)Responsiveness

Question 78

When there is a gap between senior management perceptions and the service level criteria that they set for the organization, this gap may be closed by ensuring that _______ service goals are an important part of the organizations's targets.

A)competitor
B)staff
C)company
D)customer

Question 79

The ability to provide the service dependably and consistently refers to which of the following dimensions of service quality?

A)Tangibles
B)Reliability
C)Access
D)Courtesy

Question 80

Which of the following is not a benefit of service organizations developing and maintaining strong customer relationships?

A)A short-term competitive advantage
B)Lower costs
C)Word-of-Mouth
D)Employee job satisfaction