Question 1

Which of the following is NOT a touch point for a hotel?

Accepted Answer

All the options listed (reservations, frequent-stay programs, room service, and laundry service) are touch points for a hotel, as they are all points of interaction between the hotel and its guests.

Question 2

To increase customer loyalty, 2Wheels wants to start a club for its dedicated customers, but wants to make sure that only members who want to participate in activities join the club. What can it do to ensure this?

Accepted Answer

The answer of To increase customer loyalty, 2Wheels wants to...

Question 3

________ marketing is about making sure the brand and its marketing are as personally relevant as possible to as many customers as possible - a challenge, given that no two customers are identical.

Accepted Answer

Personalizing marketing involves tailoring marketing efforts to the specific needs and preferences of individual customers, rather than taking a one-size-fits-all approach. This can be challenging given that no two customers are identical, but it can lead to more effective marketing and higher levels of engagement with customers.

Question 4

A Forrester study of 10,000 consumers of Amazon.com's electronics and home and garden products found that ________ percent found negative reviews helpful.

Accepted Answer

The answer of A Forrester study of 10,000 consumers of...

Question 5

To exploit the power of social media, marketers need to create tangible value for consumers, which can come from all of the following EXCEPT ________.

Accepted Answer

Consumers do not typically see solicitation as a tangible value, so marketers should focus on providing discounts, coupons, information, or special offers to effectively utilize social media.

Question 6

________ helps companies manage and monitor online reviews using a process called device fingerprinting.

Accepted Answer

Bazaarvoice helps companies manage and monitor online reviews using a process called device fingerprinting.

Question 7

________ marketing is based on the premise that marketers can no longer use "interruption marketing" via mass media campaigns.

Accepted Answer

Permission marketing is based on the idea that marketers need to obtain permission from consumers before sending them promotional messages, rather than interrupting them with traditional mass media campaigns. This approach emphasizes building a relationship with consumers and providing them with valuable content that they have chosen to receive.

Question 8

Customer relationship management enables companies to provide excellent real-time customer service through the effective use of ________.

Accepted Answer

Customer relationship management relies on individual account information to personalize interactions and provide real-time customer service. Reports from mystery shoppers, survey data from customers who have defected, market research, and demographic trend data may inform overall customer service strategies, but they do not enable real-time interactions with individual customers.

Question 9

________ is the process of carefully managing detailed information about individual customers and all customer "touch points" to maximize loyalty.

Accepted Answer

Customer relationship management (CRM) is the process of managing detailed information about individual customers and all customer touch points to maximize loyalty. CRM helps businesses build long-term relationships with customers by understanding their needs and preferences and providing personalized experiences. This can lead to increased customer satisfaction, repeat business, and ultimately, higher profits.

Question 10

Sites such as Bizrate.com, Shopping.com, and PriceGrabber.com, and Epinions.com and Yelp.com, which let customers share information about their product and service experiences with others, reflect an increase in customer ________.

Accepted Answer

These websites reflect an increase in customer empowerment because they allow customers to share information about their experiences with others and make informed purchasing decisions based on this information.

Question 11

BMW is ________ the customer experience when it offers 500 side-mirror combinations, 1,300 front bumper combinations, and 9,000 center-console combinations and provides new buyers a video link to watch their car being "born" while waiting for delivery.

Accepted Answer

Personalizing the customer experience means tailoring it to the individual's specific preferences and needs. BMW's offering of a plethora of customization options and providing a unique video link to watch their car being built provides a personalized experience for the customer.

Question 12

After being frustrated by the lack of detailed, reliable, and up-to-date information available to help him decide where to go on a Mexican holiday, Stephen Kaufer founded ________ in 2001.

Accepted Answer

TripAdvisor was founded in 2001 with the aim of providing detailed, reliable, and up-to-date information to help people make informed travel decisions. The other options listed were not founded by Stephen Kaufer or do not fit the criteria of providing detailed, reliable, and up-to-date travel information.

Question 13

________ focuses on the analysis of individual data on prospects and customers to develop marketing strategies to acquire and retain customers and drive customer behavior.

Accepted Answer

Customer value management focuses on analyzing individual data on prospects and customers to develop strategies for acquiring, retaining, and influencing customer behavior.

Question 14

The aim of customer relationship management is to produce high customer ________.

Accepted Answer

The aim of customer relationship management is to build strong relationships with customers, and one of the key outcomes of such relationships is customer loyalty. When customers are loyal to a company, they are more likely to continue doing business with that company, recommend it to others, and make repeat purchases. This can lead to increased revenue and profitability for the company. Therefore, high customer loyalty is a crucial goal of customer relationship management.

Question 15

Bicycle store 2Wheels wants to maximize sales from each customer. The marketing team suggests that 2Wheels uses cross-selling techniques. How can the company implement this technique?

Accepted Answer

The answer of Bicycle store 2Wheels wants to maximize sales...

Question 16

A ________ is an organized collection of comprehensive information about individual customers or prospects that is current, accessible, and actionable for lead generation, lead qualification, sale of a product or service, or maintenance of customer relationships.

Accepted Answer

The definition provided for the blank perfectly matches the concept of a customer database, which is an organized collection of comprehensive information about individual customers or prospects that is current, accessible, and actionable for lead generation, lead qualification, sale of a product or service, or maintenance of customer relationships. Therefore, the best choice is A. Customer mailing list is a less comprehensive concept than the customer database and focuses only on contact information. A customer-performance scorecard is a measurement system used to track customer-related metrics. A customer profitability analysis is a tool used to assess the profitability of individual customers. A customer-value hierarchy is a means to categorize customers by the value they provide to the company.

Question 17

________ describes the company's optimization of the value of its customer base.

Accepted Answer

Customer value management refers to the process of analyzing and optimizing the value of a company's customer base through various strategies such as loyalty programs, targeted marketing, and customer segmentation. This approach focuses on maximizing the lifetime value of each customer by identifying their needs and preferences and tailoring marketing messages accordingly.

Question 18

________ marketing is the practice of sending messages only when consumers express a willingness to become more involved with the brand.

Accepted Answer

Permission marketing is a practice where messages are sent only to individuals who have "given permission" for the brand to contact them. This means that the individuals have shown an interest or willingness to engage with the brand in some way, such as signing up for a newsletter or following them on social media. By obtaining their consent, the brand can send more targeted messages and avoid spamming individuals who are not interested.

Question 19

Bicycle store 2Wheels notices that it has a high proportion of low-profit customers, but doesn't want to terminate the customer relationship. What can 2Wheels do to make these customers more profitable?

Accepted Answer

The answer of Bicycle store 2Wheels notices that it has...

Question 20

Some customers inevitably become inactive or drop out. The challenge for marketers is to reactivate them through ________ strategies.

Accepted Answer

Win-back strategies are specifically designed to reactivate customers who have become inactive or dropped out. Retention strategies are more focused on preventing customers from leaving in the first place, while defection refers to the actual act of a customer leaving. Sell-out and recuperation are not typically used terms in this context.

Quiz 5: Creating Long-Term Loyalty Relationships