Exam 11: Database and Direct Response Marketing

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To code data using RFM analysis,the frequency is coded from 1 to 5 with 5 representing the customers who have made the highest number of purchases within a specific time period and 1 representing the customers who have made the least number of purchases.

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A useful metric for evaluating members in a frequency program is:

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A card pack is:

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The marketing database contains the transactions individuals have with a firm and follows accounting rules.

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Successful cataloging today requires:

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In a RFM analysis,the M represents the monetary value of the last purchase.

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Two common forms of database coding are lifetime value analysis and data mining.

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In terms of alternative forms of direct marketing,package insert programs (PIPs)are materials that are placed with another company's catalog or direct mail piece.

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Discuss the concept of data-driven communication

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Personalized communications with customers through database information builds relationships and leads to both repeat purchases and customer loyalty.

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In purchasing a mailing list,a response list consists of customers who have purchased the product before and have responded to direct mail offers for the product being advertised.

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When reviewing RFM codes,Alex who is coded 534 would be more valuable than Ian who is coded 232.

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Using identification IDs and passwords on a Web site for customers allow for each of the following benefits,except:

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A company uses lifetime value to segment their customers into five different segments.The marketing approach that should be used for the second segment,which has the second highest lifetime value,is:

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The primary reason for building a database,coding the information,and data mining is to use the output to build programs that will boost sales revenues.

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The number one reason individuals remain loyal to a permission marketing program once they have joined is a chance to win prizes in a contest or sweepstakes.

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In RFM analysis,R refers to recency,which is the:

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The most likely individuals to be enticed to join a frequency or loyalty program are:

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Direct response media marketing includes the following,except:

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To maintain positive attitudes toward permission marketing programs,the rewards must be offered continually and not just at the beginning of the program.

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