Exam 5: Marketing Analytics: Welcome to the Era of Big Data

Compare and contrast the concepts of lifetime value of a customer and customer equity.

A catalog retailer studies about 3,500 variables over the lifetime of a customer's relationship. It has found that customers who change residences are three times more likely than customers who do not move as frequently to buy tables, color printers, and decorative products but are no more likely to buy jewelry or footwear. By using data analysis to determine which promotion to target to customers who have recently moved, this catalog retailer has engaged in ________.

Data mining can be used to identify customers who are not profitable and who should be abandoned.

Scanner data is an example of a ________ source of Big Data.

Explain three ways in which Big Data can help marketers create competitive advantages.

Walmart's Retail Link provides real time purchase data to suppliers of goods sold at Walmart stores. Retail Link is an example of a ________ source of Big Data.

The marketing team at Joe's Auto World wants to use the information it collected from last year's online advertising campaigns, the most recent Census, and the company's internal CRM system to forecast the effectiveness of two proposed advertising campaigns for the upcoming year. To accomplish this, the marketing team at Joe's Auto World will most likely use ________.

Identify two actions other than the purchase of a good or service that could be measured through calculation of a conversion rate.

Average collectors of an artist's miniatures will buy four new miniatures each year. The collectibles are available at a number of retail locations and from several catalog retailers. To ensure she gets a greater ________, the owner of The Door Gift Shop sends her customers who are collectors a postcard every time the store adds a new miniature to her store's inventory.

Marketers calculate the metric of ________ by dividing the number of visitors to a website who complete a desired activity by the total number of visitors to the site.

To determine ________, firms compare the investments they make in acquiring and retaining customers to the financial return on those investments.

Why is search engine optimization an important process for online marketers?

What is the difference between a click-through rate and a conversion rate? Explain why marketers may want to use both metrics.

When a company uses computer software to extract large amounts of data from social media platforms, it is using ________.

In marketing metrics terms, a(n) ________ is desired consumer action.

What is the purpose of data mining?

Describe the four steps of one-to-one marketing.

The final stage in one-to-one marketing is to identify customers in terms of both their needs and their value to the company.

The marketing team for the charity American Harvest, a national food bank program, wants to know how much it costs to attract a new donor to visit its website and complete a donation. American Harvest will most likely use the metric of ________.

Marketers for Ranch Life, a Connecticut family resort that offers horseback riding and a waterpark, want to make sure that Ranch Life comes up at the top or near the top of every list of online search results for the phrases "Connecticut family vacation," "Connecticut horseback riding," and "Connecticut waterpark." Ranch Life marketers will likely use predictive analytics to achieve this goal.