Question 1

Market offerings are limited to physical products.

Accepted Answer

Market offerings can also include services, experiences, and ideas.

Question 2

The twofold goal of marketing is to attract new customers by promising superior value and to keep and grow current customers by delivering satisfaction.

Accepted Answer

This statement accurately describes the twofold goal of marketing.

Question 3

When sellers pay less attention to the specific products they offer and more attention to the benefits and experiences produced by these products,they suffer from marketing myopia.

Accepted Answer

Marketing myopia occurs when companies focus too narrowly on their own product or service without understanding the benefits and experiences that customers seek, leading to a lack of adaptation to market needs or changes.

Question 4

Which of the following has been the most common consumer response to the economic downturn that began in 2008?

Accepted Answer

The most common consumer response to the economic downturn that began in 2008 has been to spend less and choose products more carefully. This is because people tend to become more cautious and frugal during tough economic times, prioritizing essential spending over luxury items. It is also a way to save money and make their limited resources last longer. Therefore, option C is the best choice.

Question 5

When backed by buying power,needs become wants.

Accepted Answer

The answer of When backed by buying power,needs become wants....

Question 6

Marketing is managing profitable customer relationships.

Accepted Answer

This statement accurately defines the concept of marketing, as it involves creating and maintaining mutually beneficial relationships between a business and its customers in order to generate profits.

Question 7

________ refers to the portion of the customer's purchase that a company gets in its product categories.

Accepted Answer

Share of customer refers to the portion of the customer's purchase that a company gets in its product categories. It is a measure of the company's ability to retain its customers and increase its share of their spending on similar products or services.

Question 8

With its marketing strategy chosen,the company constructs an integrated marketing program consisting of a blend of marketing mix elements called the ________,that transforms the marketing strategy into real value for customers.

Accepted Answer

The term "four Ps" refers to the traditional marketing mix elements: product, price, place, and promotion. These are the key components that make up an integrated marketing program and translate the marketing strategy into a cohesive plan that delivers value to customers.

Question 9

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

Accepted Answer

The ultimate aim of customer relationship management is to build strong relationships with customers, leading to high levels of customer loyalty and repeat business. This, in turn, increases customer equity, which represents the total lifetime value of a company's customer base. Therefore, A is the best choice as it aligns with the ultimate goal of CRM.

Question 10

________ is the total combined customer lifetime values of all the company's current and potential customers.

Accepted Answer

Customer equity is the measure of the total combined customer lifetime values of all the company's current and potential customers. It takes into account both the value of current customers and the potential value of acquiring new customers. Share of customer refers to the portion of a customer's purchases in a specific product category that a particular company captures. Customer payoff, customer cardinality and customer perceived value are not relevant to this definition.

Question 11

The difference between human needs and wants is that needs are not influenced by marketers.

Accepted Answer

Needs are basic necessities such as food, water, shelter, and clothing that are essential for human survival and cannot be artificially created by marketers. Wants, on the other hand, are desires for goods or services that are not necessarily essential for survival and can be influenced by marketing efforts.

Question 12

Customers can be classified into four relationship groups,according to their profitability and projected loyalty.According to this classification,a highly profitable,short-term customer is known as a ________.

Accepted Answer

A highly profitable but short-term customer who may not exhibit long-term loyalty is known as a "butterfly".

Question 13

Market offerings can include products,services,information,or experiences offered to a market to satisfy a need or want.

Accepted Answer

Market offerings can include a variety of things such as products, services, information, or experiences that are designed to meet the needs and wants of a particular market or audience. This can include everything from physical goods like clothes or electronics to intangible services like consulting or coaching. It can also include information products like ebooks, webinars, or online courses, as well as experiences like travel, entertainment, or events. Ultimately, the goal of a market offering is to provide something of value that people will be willing to pay for in order to satisfy a need or want they have.

Question 14

Carla,a team leader in charge of customer relationship management,is planning strategies for improving the profitability of her firm's least profitable but loyal customers.She is also examining methods for "firing" customers in this group who cannot be made profitable.To which of the following customer relationship groups do these customers belong?

Accepted Answer

Customers who are considered least profitable but loyal are typically classified as barnacles. Carla's plan to improve profitability by either improving their profitability or "firing" them implies that these customers are considered barnacles.

Question 15

Your state's department of health has budgeted a significant amount of money for a radio,print,television,and online advertising campaign emphasizing the ill effects of smoking.This is an example of a(n)________ campaign.

Accepted Answer

The campaign funded by the department of health to promote awareness about the ill effects of smoking is an example of a social marketing campaign. Social marketing campaigns are designed to promote a social cause and bring a positive change in society. In this case, the campaign aims to promote public health by discouraging people from smoking.

Question 16

Customers can be classified into four relationship groups,according to their profitability and projected loyalty.Based on this classification,you should avoid ________ and shouldn't invest anything in them.

Accepted Answer

According to the classification, "strangers" are low in profitability and loyalty, indicating that they are not worth investing in.

Question 17

Customers can be classified into four relationship groups,according to their profitability and projected loyalty.With reference to this classification,a firm should turn true friends into ________,who come back regularly and tell others about their good experiences with the company.

Accepted Answer

The question asks for the classification of customers who have high profitability and projected loyalty, and the answer is "true believers". The question also asks for the type of customer that a firm should try to turn into loyal customers who will come back and tell others about their positive experiences with the company, and the answer is "true believers".

Question 18

If marketers set consumer expectations too low,they may satisfy those who buy but fail to attract enough buyers.

Accepted Answer

Setting expectations too low might lead to customer satisfaction for those who purchase, but it can also result in fewer people being interested in the product, as the perceived value or benefits may not seem compelling enough to attract a larger audience.

Question 19

At Ken's boutique,the policy statement posted in the reception states that "Without our customers,we don't exist." Ken and his staff aim to delight each customer and they are quick to offer discounts or extra services whenever a customer is anything less than satisfied.Instead of focusing on each individual transaction,Ken and his staff are putting a priority on ________.

Accepted Answer

Ken and his staff are focusing on capturing customer lifetime value by prioritizing customer satisfaction and loyalty over individual transactions.

Question 20

Wants are the form human needs take as they are shaped by culture and individual personality.

Accepted Answer

Wants are shaped by culture and individual personality, which means they are not simply physiological requirements but rather influenced by the environment in which we live and personal preferences. Therefore, wants are the form human needs take as they are shaped by culture and individual personality.

Quiz 1: Marketing Creating and Capturing Customer Value