Question 1

Hong Kong's TravelSky Technology Limited,a provider of information technology solutions for China's air travel and tourism industries wants to capture the huge amounts of new information required to provide the information needed by its users.What can it create to do this?

Accepted Answer

A data warehouse is a central repository for data from various functional areas of the organization.These data can be shared by all of the organization's departments.

Question 2

What is essentially a very large,corporate-wide database,culled from a number of separate systems,such as billing,accounting,order fulfillment,distribution,customer service,and marketing and sales,already in place within an organization?

Accepted Answer

A data warehouse is a large database that combines data from various sources within an organization, such as billing, accounting, order fulfillment, distribution, customer service, and marketing and sales. It is designed for reporting and data analysis and can be used to gain insights into the organization's operations and performance. A customer information system is a more specific type of database that focuses on customer data only, while a decision support system is a software application that helps users make decisions by analyzing data and providing recommendations. A data cluster is not a commonly used term in the context of databases.

Question 3

Hudson's Bay Company in Canada operates The Bay,Zellers,Home Outfitters,and hbc.com.At each of its stores and its website,it gives HBC Rewards that enable members to earn points,which can be redeemed in the HBC Rewards catalogue for various items,including travel,leisure and entertainment items,Air Miles reward miles,or Bay and Zellers gift certificates.To use the system,customers have to provide their HBC card number.
-Refer to Hudson's Bay Company.This reward program enables Hudson's Bay to engage in which type of interactions with its customers?

Accepted Answer

Because Hudson's Bay does business at its stores and at its website,it engages in both point-of-sale and Web-based interactions.

Question 4

Which type of interactions occur when customers buy products in a store?

Accepted Answer

Point of sale interactions occur at the moment when customers make a purchase in a store, such as paying for their items and receiving a receipt. Relationship-based interactions refer to interactions between the customer and store staff outside of the transaction, such as building a rapport or providing personalized recommendations. Cost-based interactions would refer to interactions related to pricing or discounts, and retail-centric interactions would be interactions related to the overall shopping experience, such as store layout or displays. Therefore, the most relevant type of interaction for a customer buying products in a store is the point of sale interaction.

Question 5

The Toronto Blue Jays,a Major League Baseball team,used customer satisfaction surveys of season ticket holders to determine why the number of season ticket holders was declining.What was this survey an example of?

Accepted Answer

Touch points are all areas of the business where customers have contact with the company and data may be gathered and used to guide and direct the decision making within that business unit.

Question 6

In a speech,David Poirier,chief information officer of Hudson's Bay Company,a Canadian retailer,said,"We [Hudson's Bay Company] had all kinds of data in different places.We didn't have a single view of the customer until we focused on finding one method to manage relationships with our customers." What would Hudson's Bay use to profile customer segments for better CRM marketing efforts?

Accepted Answer

A data warehouse is essentially a very large,corporate-wide database,culled from a number of legacy systems,such as order fulfillment,distribution,and sales,already in place within the organization.

Question 7

When viewed as an interaction between the organization and the customer,a transaction can produce all of the following customer data EXCEPT which of the following?

Accepted Answer

A transaction cannot provide information about the customer's relationship with other customers as it only involves the interaction between the organization and the specific customer involved in the transaction. Past purchase history, information about the customer's relationship with the organization, and average amount spent on purchases can all be gleaned from a transaction.

Question 8

"Lots of organizations have customer data,but not in a way that's useful," said a speaker at the Canadian Marketing Association's national convention."Retailers have all kinds of data in different places-they don't have a single view of the customer." The speaker is saying that retailers do NOT use which of the following?

Accepted Answer

A data warehouse is a central repository for data from various functional areas of the organization.These data can be shared by all of the organization's departments.

Question 9

Les Ailes de la Mode is a Quebec retail store that promotes the highest quality customer service.
-Refer to Les Ailes de la Mode.The store offers its customers Les Ailes MasterCard.The card is connected to a points program that offers one point for every $20 of purchases on the card and triple that on purchases made at Les Ailes.It also incorporates an electronic chip,through which a $10 coupon is awarded to each member every month via the electronic gift card (on purchases of $10 or more every month).Card members also receive free subscriptions to the retailer's Les Ailes magazine.What is CRM being used for?

Accepted Answer

One of the advantages of CRM is the ability to personalize the message.

Question 10

The executive vice president of Hudson's Bay Company in Canada (a major retail chain)said in an interview,"We have to be able to offer customers what they want when they want it.We need better insight into their spending-we have gaps in knowledge of how customers spend." Which type of interactions would provide the retail chain the best opportunity for learning about its customers?

Accepted Answer

Only alternative (a)is the name of one of the types of interactions discussed in your text.

Question 11

How should an organization view every transaction?

Accepted Answer

An organization should view every transaction as the opportunity to collect vast amounts of data about the customer. By collecting data about customer transactions, an organization can better understand customers' needs, preferences and behavior, which can help in designing better products and services, creating better customer experiences and building stronger customer relationships.

Question 12

In Nokia stores,"Experience Areas" feature phones connected to photo printers,speakers,notebook computers,and Bluetooth headsets to demonstrate the interactivity and full range of features available on the cell phones.These "Experience Areas" allow customers to interact with the technology and provide information to Nokia.What are the "Experience Areas" examples of?

Accepted Answer

In a CRM system,touch points are all areas of the business where customers have contact with the company and data may be gathered and used to guide and direct the decision making within that business unit.

Question 13

Hudson's Bay Company in Canada operates The Bay,Zellers,Home Outfitters,and hbc.com.At each of its stores and its website,it gives HBC Rewards that enable members to earn points,which can be redeemed in the HBC Rewards catalogue for various items,including travel,leisure and entertainment items,Air Miles reward miles,or Bay and Zellers gift certificates.To use the system,customers have to provide their HBC card number.
-Refer to Hudson's Bay Company.Which of the following provides the most likely reason that Hudson's Bay Company implemented this reward program?

Accepted Answer

The HBC Rewards program is a loyalty program.

Question 14

What is the term for a central repository for data from various functional areas of the organization that can be shared by all of the organization's departments?

Accepted Answer

A data warehouse is a central repository that stores data from various functional areas of an organization, such as sales, finance, and marketing. This data can be accessed and shared by all departments within the organization. A data warehouse is designed to support business intelligence activities, such as data mining, analysis, and reporting.

Question 15

Which of the following statements best describes customer data?

Accepted Answer

One of the important issues concerning the gathering of customer data is the privacy issue.Empowerment leads directly to customer satisfaction.Empowerment produces more customer data.

Question 16

How does the traditional approach for acquiring data from customers occur?

Accepted Answer

The answer of How does the traditional approach for acquiring...

Question 17

Les Ailes de la Mode is a Quebec retail store that promotes the highest quality customer service.
-Refer to Les Ailes de la Mode.The store has established itself not only as a top retailer in the province,but also as a credit card and point program company,cataloguer,and even publisher.Through gathering customer information for its credit cards and point program,catalogue orders,and subscriptions to its publications,what has Les Ailes de la Mode created?

Accepted Answer

Touch points are all areas of the business where customers have contact with the company and data may be gathered and used to guide and direct the decision making within that business unit.

Question 18

What is the core of the data warehouse?

Accepted Answer

The core of the data warehouse is the actual database that stores all the relevant data in a structured and organized manner. This is where all the data is extracted, transformed, and loaded (ETL) from various sources and made available for business intelligence and analytics purposes. The other options - transaction channels of communication, point-of-sale interactions, and a compiled list - may be sources of data, but they are not the core of the data warehouse itself.

Question 19

According to your textbook,which of the following is a guideline for a successful CRM system?

Accepted Answer

Customer information is retained past the initial contact with the customer.Customer data should be accumulated over the customer's entire life span with the organization.Customers must define the products provided by the organization.The customer takes centre stage in the organization.

Question 20

In a CRM system,which term describes all areas of the business where customers have contact with the company,and data may be gathered and used to guide the decision making within that business unit?

Accepted Answer

Touch points refer to all areas of the business where customers have contact with the company, such as customer service, marketing, sales, and social media. Data gathered from these touch points can be used to guide decision making within each unit of the business, and ultimately improve the overall customer experience. Therefore, touch points is the term that best describes this concept in a CRM system.

Quiz 8: Customer Relationship Management CRM