Exam 2: Marketing: Delivering and Capturing Value

Rick Johnson trains his company's sales force to go after the consumer. He repeatedly asks his team to bear in mind the essential fact that it is the sales team's responsibility to rouse the consumer's interest and make him feel that he needs the product. A true salesman is one who can convert an indifferent consumer walking into the store into a new customer. Johnson believes in the concept.

Activities typically associated with internal marketing include: training, empowerment and employee incentives.

The factors that influence customer satisfaction include: past buying experiences; the information and promises made by marketing organisations and what customers think is fair value based on the price they paid.

When restaurants and hotels provide forms which guests can use to check off their likes and dislikes, they are using which type of method for tracking customer satisfaction?

The _________holds that the organisation's task is to determine the needs, wants, and interests of target markets and to deliver the desired satisfactions more effectively and efficiently than competitors in a way that preserves or enhances the consumer's and the society's well- being.

Which of the following is NOT one of the alternative philosophies or orientations under which organisations design and carry out marketing activities?

Companies that habitually attempt to both raise customer expectations while delivering product performance to match are practising:

A company that enjoys high levels of loyalty, especially among its most profitable customers would be said to enjoy high levels of customer equity.

In terms of share of customer, "share of throat" is to the beverage market just as "share of stomach" is to the food industry.

Internal marketing refers to a diverse range of activities designed to ensure that employees share an understanding of organisational goals, mission and purpose.

A person, household or company whose revenues over time exceed by an acceptable amount the company costs of attracting, selling and servicing them is defined as a(n):

Select the pair of words or phrases that best completes the following sentence. With respect to a company's marketing performance, customer equity may be a superior measure than market share or current sales. Whereas sales and market share reflect the __________ ; customer equity reflects the __________.

Basically, retaining current customers is less expensive than acquiring new ones.

It is accurate to say that for customer centred companies, marketing is responsible for designing and managing a superior value- delivery system to reach target customer segments.

Online retailer, Amazon.com, offers its customers music, videos, gifts, toys, consumer electronics, and office products, among other product items. Based on the customer's prior purchase history, the company recommends related CDs, books, or videos that might be of interest. This helps Amazon.com capture a greater_________ .

Kelly Kinsel felt good about her day's work. A customer had been upset with the performance of one of the products Kelly serviced. At first, the customer threatened to never buy from the company again. But Kelly made good on their "replacement on demand" policy, and now the customer had what he wanted. Kelly knew she had saved more than a single sale. Kelly's pride is most likely linked to her knowledge of:

Global Shop Direct is an Australian direct marketing company that offers a diverse range of consumer products including fitness equipment, fashion and household gadgets. Its core marketing activity involves intensive mass market promotions such as TV advertising, infomercials and a web presence all designed to encourage customers to place an order by telephone via a 1300 phone number. Global Shop Direct's marketing philosophy is best described as which of the following?

Brunswick Trucking Inc. asks its customers to fill out a form on which they are asked to list what they liked and disliked about the company's service. The trucking company also has a toll- free number its customers can call to provide immediate feedback. The trucking company is using_________ to track and measure customer satisfaction.

Which of the following strategies would NOT normally be considered in an effort to increase share of customer?

Satisfaction isn't always a good predictor of customer loyalty.