Question 1

When web sites suggest other items for purchase based on already purchased items, this is an example of Clickstream Selling.

Accepted Answer

This is an example of cross-selling or recommendation systems, not Clickstream Selling. Clickstream Selling involves analyzing the sequence of clicks a user makes on a website to understand and predict consumer behavior.

Question 2

Because integrated supply chains require good suppliers to act as good supply-chain customer partners, CRM programs should include first-tier customer training and education to ensure proper use of purchase products.

Accepted Answer

Good suppliers must work closely with their customers in integrated supply chains, and a CRM program that includes first-tier customer training and education can help ensure proper use of purchase products.

Question 3

Some of the ways customers evaluate the customer service capabilities of an organization are through their experiences with human response call centers, automated response call centers, and consumer web sites.

Accepted Answer

This statement is true. Customers evaluate the customer service capabilities of an organization through various means, including their experiences with human response call centers, automated response call centers, and consumer web sites.

Question 4

The objectives of any CRM initiative should be focused on what the company can reasonable achieve.

Accepted Answer

The answer of The objectives of any CRM initiative should...

Question 5

Private clouds allow corporate users to internally manage their data centers.

Accepted Answer

Private clouds are owned and managed by a single corporation or organization and allow them to internally manage their data centers.

Question 6

Segmenting customers on the basis of things like products purchased, sales history, demographic information, and desired product features can dilute the results of a CRM program; segmenting customers should be avoided.

Accepted Answer

Segmenting customers is an important aspect of a successful CRM program as it allows for targeted marketing and communication strategies based on the specific needs and preferences of different customer segments. Without segmentation, businesses may end up sending irrelevant messages or offers to customers, leading to a decrease in customer engagement and loyalty.

Question 7

Companies that provide on-demand applications are often referred to as data warehouses.

Accepted Answer

Companies that provide on-demand applications are not referred to as data warehouses. On-demand applications are usually referred to as SaaS (Software as a Service) providers.Data warehouses are centralized repositories of integrated data used for reporting and analysis.

Question 8

According to the text, customer relationship management refers to building and maintaining profitable long-term customer relationships.

Accepted Answer

The text specifically states that customer relationship management is about building and maintaining profitable long-term customer relationships.

Question 9

Cross-selling is a term used when customers are sold additional products as the result of an initial purchase.

Accepted Answer

Cross-selling involves selling additional products to customers after an initial purchase has been made, which is true.

Question 10

It is best to integrate information about and results relating to marketing efforts like customer loyalty programs, frequent user cards, and credit card applications within an organization.Integrating the efforts of these programs between employees and an organization's IT systems (data warehouses) can help managers make more informed customer-focused decisions.

Accepted Answer

Integrating information and results of marketing efforts can help managers make more informed decisions about their customers.

Question 11

According to the text, poor planning is typically the cause for most unsuccessful CRM initiatives.

Accepted Answer

The text states that poor planning is typically the cause for most unsuccessful CRM initiatives.

Question 12

Sales force automation products help salespeople better manage their accounts, their business opportunities, and communications while away from the office.

Accepted Answer

Sales force automation products are designed to help salespeople manage their accounts, business opportunities, and communications even when they are away from their office. These tools offer a range of features and capabilities, such as contact management, pipeline tracking, and analytics, making them invaluable to sales teams looking to increase productivity and efficiency.

Question 13

In general, companies avoid social media sites since they rarely are able to find useful information about customer opinions via blogs and social networking sites.

Accepted Answer

This statement is false. Many companies actively use and monitor social media sites to gather information about customer opinions and preferences. This information can be useful for improving products and services, as well as for marketing strategies.

Question 14

Future trends in CRM include coping with the delicate issue of privacy, utilization of social media, and utilization of cloud computing.

Accepted Answer

This statement is true. As technology and data collection continue to advance, businesses must balance their need for customer information with the need to respect privacy. Additionally, social media offers new opportunities for customer interaction and engagement, and the use of cloud computing can improve the efficiency and accessibility of CRM systems.

Question 15

Cloud computing is a term used to describe how a customer navigates a website.

Accepted Answer

Cloud computing refers to the on-demand delivery of computing services, including servers, storage, databases, networking, software, analytics, and intelligence, over the internet. It has nothing to do with how a customer navigates a website.

Question 16

As customers navigate through a website CRM software can record and analyze the customer's clickstream so website images and ads can be tailored to the needs and desires of that individual customer.

Accepted Answer

CRM software can track a customer's clickstream and use that information to personalize website images and ads.

Question 17

While a company's Internet presence may be desirable for finding information or conducting product transfers, touching products and talking face-to-face with company representatives remains an integral part of the supplier-customer interface.

Accepted Answer

While the internet presence of a company is valuable, the physical interaction with products and representatives is still important in the supplier-customer interface.

Question 18

While a well planned and organized CRM plan can be extremely useful in developing effective and efficient marketing programs for retailers, they are not particularly helpful for manufacturing companies like GM since their touches with the customer are few.

Accepted Answer

CRM can still be helpful for manufacturing companies like GM in managing relationships with suppliers, dealers, and potentially even end customers in certain cases (such as in the luxury automotive market).

Question 19

Up until now CRM has been very effective for most companies because it has focused on building customers' trust and loyalty, ultimately building a strong relationship with the customer through programs that make it easy for the customer to return products and get information from people inside the organization.

Accepted Answer

The answer of Up until now CRM has been very...

Question 20

Through the use permission marketing programs, customers are allowed to select the type of communications companies can make with them.Actually, customers can even choose to be completed eliminated from both e-mail and traditional mailing lists.

Accepted Answer

This is the basic concept of permission marketing, where customers have the power to control the type and frequency of communications they receive from companies. They can choose to opt-out or unsubscribe from these communications at any time.

Quiz 10: Customer Relationship Management