Question 1

Name five customer touch points that Four Seasons hotels could use to maximize customer loyalty.

Accepted Answer

A customer touch point is any occasion o

Question 2

In ________ marketing, the salesperson contacts the customer from time to time with suggestions about improved product uses or new products.

Accepted Answer

A)  accountable marketing 
B)  reactive marketing 
C)  partnership marketing 
D)  proactive marketing 
E)  basic marketing 
A)  accountable marketing 
B)  reactive marketing 
C)  partnership marketing 
D)  proactive marketing 
E)  basic marketing

Question 3

Buyers do not always make logical or rational decisions. They might purchase the most expensive and least quality item for example. Which of the following would be another good example of this behaviour?

Accepted Answer

A)  The buyer might be underage. 
B)  The buyer might be under pressure to resist sales messages. 
C)  The buyer is not seen by the seller as being very intelligent. 
D)  The buyer might be under orders to buy at the lowest price. 
E)  The buyer refuses to listen to or read any advertising. 
A)  The buyer might be underage. 
B)  The buyer might be under pressure to resist sales messages. 
C)  The buyer is not seen by the seller as being very intelligent. 
D)  The buyer might be under orders to buy at the lowest price. 
E)  The buyer refuses to listen to or read any advertising.

Question 4

The modern customer-oriented organization chart places top management at the top of the pyramid as long as they can think like consumers.

Accepted Answer

A) True 
 B)False

Question 5

Total customer value is the perceived monetary value of all the purchases a customer makes on an annual basis.

Accepted Answer

A) True 
 B)False

Question 6

A ________ customer is a person, household, or company that over time yields a revenue stream that exceeds by an acceptable amount the company's cost stream of attracting, selling, and servicing that customer.

Accepted Answer

A)  semi-profitable 
B)  target 
C)  profitable 
D)  niche 
E)  unprofitable 
A)  semi-profitable 
B)  target 
C)  profitable 
D)  niche 
E)  unprofitable

Question 7

Which of the following represents the type of information typically found in a customer database?

Accepted Answer

A)  past volumes, prices, and profits 
B)  buyer team member names 
C)  preferred media 
D)  competitive strengths and weaknesses 
E)  status of current contracts 
A)  past volumes, prices, and profits 
B)  buyer team member names 
C)  preferred media 
D)  competitive strengths and weaknesses 
E)  status of current contracts

Question 8

Which of the following is the best example of what is called a leverageable advantage?

Accepted Answer

A)  TD Canada Trust ranking number one in customer satisfaction 
B)  Microsoft's use of its operating system to supply networking applications 
C)  Dell avoiding selling its products in retail stores 
D)  UPS targeting mid-size shippers 
E)  Apple winning design awards and producing unique commercials 
A)  TD Canada Trust ranking number one in customer satisfaction 
B)  Microsoft's use of its operating system to supply networking applications 
C)  Dell avoiding selling its products in retail stores 
D)  UPS targeting mid-size shippers 
E)  Apple winning design awards and producing unique commercials

Question 9

List four items a business database should contain.

Accepted Answer

Answers can be chosen from the following

Question 10

CRM tends to be used less often by ________, although some have built databases for certain brands.

Accepted Answer

A)  companies whose customers have highly differentiated needs 
B)  consumer packaged-goods companies 
C)  service providers 
D)  companies that do a lot of cross-selling 
E)  business marketers 
A)  companies whose customers have highly differentiated needs 
B)  consumer packaged-goods companies 
C)  service providers 
D)  companies that do a lot of cross-selling 
E)  business marketers

Question 11

Which of the four key principles of Canada's Personal Information Protection and Electronic Documents Act ensures that firms only collect and use information appropriate to the transaction being undertaken?

Accepted Answer

A)  limitations 
B)  accuracy 
C)  consumer knowledge and consent 
D)  privacy 
E)  right to access 
A)  limitations 
B)  accuracy 
C)  consumer knowledge and consent 
D)  privacy 
E)  right to access

Question 12

James Everett is a telemarketer. He can use his company's ________ to respond to customer inquiries more effectively because of his ability to see a total picture of the customer relationship.

Accepted Answer

A)  Better Business Bureau contacts 
B)  call back list 
C)  corporate database 
D)  data warehouse 
E)  call rejection list 
A)  Better Business Bureau contacts 
B)  call back list 
C)  corporate database 
D)  data warehouse 
E)  call rejection list

Question 13

Which of the following can a company do to reduce defection?

Accepted Answer

A)  Attract new customers to try out the company's products. 
B)  Increase customer lifetime value by increasing the non-monetary costs of products. 
C)  Enhance the growth potential of existing customers through cross-selling and upselling. 
D)  Distinguish the causes of customer attrition and identify those that can be managed better. 
E)  Make low-profit customers more profitable or terminate the relationship. 
A)  Attract new customers to try out the company's products. 
B)  Increase customer lifetime value by increasing the non-monetary costs of products. 
C)  Enhance the growth potential of existing customers through cross-selling and upselling. 
D)  Distinguish the causes of customer attrition and identify those that can be managed better. 
E)  Make low-profit customers more profitable or terminate the relationship.

Question 14

A profitable customer is a person, household, or company that over time yields a revenue stream that exceeds by an acceptable amount the company's cost stream of attracting, selling, and servicing the customer.

Accepted Answer

A) True 
 B)False

Question 15

The value proposition is stated in the price of a product and readily recognized by the average consumer.

Accepted Answer

A) True 
 B)False

Question 16

The final step of customer value analysis is to _______

Accepted Answer

A)  monitor customer values over time. 
B)  identify the major attributes and benefits that customers value. 
C)  assess the company's and competitors' performances on the different customer values against their rated importance. 
D)  examine how customers in a specific segment rate the company's performance. 
E)  assess the quantitative importance of the different attributes and benefits. 
A)  monitor customer values over time. 
B)  identify the major attributes and benefits that customers value. 
C)  assess the company's and competitors' performances on the different customer values against their rated importance. 
D)  examine how customers in a specific segment rate the company's performance. 
E)  assess the quantitative importance of the different attributes and benefits.

Question 17

Provide a customer-centred definition of the term quality, explain why it is the key to value creation and customer satisfaction, as well as the two responsibilities marketing managers have in a quality-centred company.

Accepted Answer

Quality is the totality of features and

Question 18

________ can be defined as a deeply held commitment to rebuy or repatronize a preferred product or service in the future despite situational influences and marketing efforts having the potential to cause switching behavior.

Accepted Answer

A)  Value proposition 
B)  Satisfaction 
C)  Respect 
D)  Customer value 
E)  Loyalty 
A)  Value proposition 
B)  Satisfaction 
C)  Respect 
D)  Customer value 
E)  Loyalty

Question 19

If Loblaws hired staff to pose as potential buyers and report on strong and weak points experienced in buying the company's and competitors' products, they would be engaging in which satisfaction measurement strategy?

Accepted Answer

A)  covert operatives 
B)  mystery shoppers 
C)  intelligence agents 
D)  market mavens 
E)  opinion leaders 
A)  covert operatives 
B)  mystery shoppers 
C)  intelligence agents 
D)  market mavens 
E)  opinion leaders

Question 20

A Lexus rides smoother, goes faster, and lasts longer. Yet both a Lexus and a Hyundai deliver the same ______ if all the units deliver their respective promised quality.

Accepted Answer

A)  safety quality 
B)  unique quality 
C)  conformance quality 
D)  customer support 
E)  performance quality 
A)  safety quality 
B)  unique quality 
C)  conformance quality 
D)  customer support 
E)  performance quality

Exam 5: Creating Long term Loyalty Relationships

Name five customer touch points that Four Seasons hotels could use to maximize customer loyalty.

In ________ marketing, the salesperson contacts the customer from time to time with suggestions about improved product uses or new products.

Buyers do not always make logical or rational decisions. They might purchase the most expensive and least quality item for example. Which of the following would be another good example of this behaviour?

The modern customer-oriented organization chart places top management at the top of the pyramid as long as they can think like consumers.

Total customer value is the perceived monetary value of all the purchases a customer makes on an annual basis.

A ________ customer is a person, household, or company that over time yields a revenue stream that exceeds by an acceptable amount the company's cost stream of attracting, selling, and servicing that customer.

Which of the following represents the type of information typically found in a customer database?

Which of the following is the best example of what is called a leverageable advantage?

List four items a business database should contain.

CRM tends to be used less often by ________, although some have built databases for certain brands.

Which of the four key principles of Canada's Personal Information Protection and Electronic Documents Act ensures that firms only collect and use information appropriate to the transaction being undertaken?

James Everett is a telemarketer. He can use his company's ________ to respond to customer inquiries more effectively because of his ability to see a total picture of the customer relationship.

Which of the following can a company do to reduce defection?

A profitable customer is a person, household, or company that over time yields a revenue stream that exceeds by an acceptable amount the company's cost stream of attracting, selling, and servicing the customer.

The value proposition is stated in the price of a product and readily recognized by the average consumer.

The final step of customer value analysis is to _______

Provide a customer-centred definition of the term quality, explain why it is the key to value creation and customer satisfaction, as well as the two responsibilities marketing managers have in a quality-centred company.

________ can be defined as a deeply held commitment to rebuy or repatronize a preferred product or service in the future despite situational influences and marketing efforts having the potential to cause switching behavior.

If Loblaws hired staff to pose as potential buyers and report on strong and weak points experienced in buying the company's and competitors' products, they would be engaging in which satisfaction measurement strategy?

A Lexus rides smoother, goes faster, and lasts longer. Yet both a Lexus and a Hyundai deliver the same ______ if all the units deliver their respective promised quality.

Defining Marketing for the 21st Century

Developing Marketing Strategies and Plans

Collecting Information and Forecasting Demand

Conducting Marketing Research

Analyzing Consumer Markets

Analyzing Business Markets

Identifying Market Segments and Targets

Creating Brand Equity

Crafting the Brand Position

Competitive Dynamics

Setting Product Strategy

Designing and Managing Services

Developing Pricing Strategies and Programs

Designing and Managing Integrated Marketing Channels

Managing Retailing, Wholesaling, and Logistics

Designing and Managing Integrated Marketing Communications

Managing Mass Communications: Advertising, Sales Promotions, Events and Experiences, and Public Relations

Managing Personal Communications: Direct and Interactive Marketing, Word of Mouth, and Personal Selling

Introducing New Marketing Offerings

Tapping into Global Markets

Managing a Holistic Marketing Organization

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