Scenario 17-3
As the number of firms utilizing direct marketing continues to grow, so does the number of consumers opposed to the methods often described as "intrusive." To combat the growing number of opposed consumers, marketers need to find creative new ways to optimize their direct marketing campaigns.One such outlet that firms are beginning to experiment with is social media.Executives understand that many consumers view a company's Facebook page more often than the company's home page, so they've grown to realize that setting up some form of an email optin on social media sites is a great way to build marketing databases.In addition to opt-in sections, social media allows businesses to interact with consumers, which may make them less inclined to respond negatively to a company's direct marketing efforts.By utilizing social media more often in the future, a number of U.S.companies hope to build stronger and more useful marketing databases.
-(Scenario 17-3) Building a marketing database can be helpful because it allows companies to gauge how receptive customers may be to new products or product features.One way of isolating a company's best customers is by utilizing:
A)a recency, frequency, and monetary analysis.
B)a frequency marketing program.
C)cross-selling techniques.
D)direct response advertising.

Question

Scenario 17-3
As the number of firms utilizing direct marketing continues to grow, so does the number of consumers opposed to the methods often described as "intrusive." To combat the growing number of opposed consumers, marketers need to find creative new ways to optimize their direct marketing campaigns.One such outlet that firms are beginning to experiment with is social media.Executives understand that many consumers view a company's Facebook page more often than the company's home page, so they've grown to realize that setting up some form of an email opt­in on social media sites is a great way to build marketing databases.In addition to opt-in sections, social media allows businesses to interact with consumers, which may make them less inclined to respond negatively to a company's direct marketing efforts.By utilizing social media more often in the future, a number of U.S.companies hope to build stronger and more useful marketing databases.
-(Scenario 17-3) Building a marketing database can be helpful because it allows companies to gauge how receptive customers may be to new products or product features.One way of isolating a company's best customers is by utilizing:
A)a recency, frequency, and monetary analysis.
B)a frequency marketing program.
C)cross-selling techniques.
D)direct response advertising.

Quizplus · Accepted Answer

A recency, frequency, and monetary (RFM) analysis is a method of identifying a company's best customers by analyzing their purchasing behavior based on how recently they've made a purchase, how frequently they make purchases, and how much money they spend. This analysis helps companies target their marketing efforts towards their most valuable customers.

Scenario 17-3 as the Number of Firms Utilizing Direct Marketing Continues to Continues