Question 1

The development of strong customer relationships is strongly influenced by:

Accepted Answer

A)  Legal barriers to loyalty programs 
B)  The composition of the buying center 
C)  Barriers the customer faces in leaving a relationship 
D)  Differences in organizational cultures 
E)  All of the above 
A)  Legal barriers to loyalty programs 
B)  The composition of the buying center 
C)  Barriers the customer faces in leaving a relationship 
D)  Differences in organizational cultures 
E)  All of the above

Question 2

For the organization,relationship marketing increases customer purchases,lowers costs,and creates free word-of-mouth advertising.

Accepted Answer

A) True 
 B)False

Question 3

What are the three types of benefits customers enjoy through relationship marketing?

Accepted Answer

Confidence benefits,

Question 4

What are some influences on the lifetime or relationship value of a customer?

Accepted Answer

Length of an average customer lifetime;

Question 5

How would a day care center operator benefit from the implementation of relationship marketing with the parents of three preschool children?

Accepted Answer

A)  The children would benefit from socialization skills 
B)  The parents wouldn't have to go looking for a new facility to keep their children 
C)  The parents would ask for a reduced monthly rate 
D)  The parents would get to socialize with the other parents of children at their center 
E)  The parents would spread the word about their happiness with the services provided by the day care center 
A)  The children would benefit from socialization skills 
B)  The parents wouldn't have to go looking for a new facility to keep their children 
C)  The parents would ask for a reduced monthly rate 
D)  The parents would get to socialize with the other parents of children at their center 
E)  The parents would spread the word about their happiness with the services provided by the day care center

Question 6

The primary goal of relationship marketing is to build and maintain a base of profitable and committed customers through attraction,retention,and customer enhancement.

Accepted Answer

A) True 
 B)False

Question 7

What is the primary goal of relationship marketing?

Accepted Answer

To build and maintai

Question 8

Aramark is a food service company that supplies meals to more than 200,000 hospital patients daily.To improve its service,it created a database that tracks patient preferences individually by hospitals,regionally,and nationally.The accumulated database is used to provide better menus.Aramark's kitchen staff deliver the food and are referred to as hosts.All hosts have a minimum of 40 hours of training to teach them how to be courteous,efficient,and quick.These trained hosts deliver customized meals from carts preloaded according to room number.According to patient surveys,Aramark has boosted patient satisfaction by almost 10 percent by providing customized meals.Aramark is using _____ in its customer retention strategy.

Accepted Answer

A)  Financial bonds 
B)  Social bonds 
C)  Customization bonds 
D)  Structural bonds 
E)  Heterogeneity 
A)  Financial bonds 
B)  Social bonds 
C)  Customization bonds 
D)  Structural bonds 
E)  Heterogeneity

Question 9

_____ marketing focuses on keeping and improving current customers,rather than concentrating on acquiring new customers.

Accepted Answer

A)  Transaction 
B)  Expansion 
C)  Relationship 
D)  Strategic 
E)  Benefit 
A)  Transaction 
B)  Expansion 
C)  Relationship 
D)  Strategic 
E)  Benefit

Question 10

Elmer Jennings is a government auditor and works for the Bracken and Leach firm.He is the one who checks to see that city and county governments have complied with accounting principles.As an auditor,Jennings sometimes will spend six weeks in one office while he checks its accounting records.The closeness of the relationship that Jennings builds with the government employees he works with was realized by Bracken and Leach when Jennings left the firm,went to work for another one and took his clients with him.This is an example of how _____ benefits can be both helpful and harmful.

Accepted Answer

A)  Confidence 
B)  Reliability 
C)  Social 
D)  Transactional 
E)  Economic 
A)  Confidence 
B)  Reliability 
C)  Social 
D)  Transactional 
E)  Economic

Question 11

Participants in the Coffee Café's loyalty program get a free large cup of coffee after every 10th cup of coffee purchased.After purchasing 100 cups of coffee from the Coffee Café,loyalty program participants receive a $10 gift certificate good for food and beverage items or merchandise.Coffee Café uses _____ to encourage its customers to remain loyal.

Accepted Answer

A)  Financial bonds 
B)  Social bonds 
C)  Customization bonds 
D)  Structural bonds 
E)  Security bonds 
A)  Financial bonds 
B)  Social bonds 
C)  Customization bonds 
D)  Structural bonds 
E)  Security bonds

Question 12

A company that uses a four-tier scheme to segment is customers by profitability:

Accepted Answer

A)  Is using usage segmentation 
B)  Identifies customers who need different sorts of attention 
C)  Can increase profitability by increasing sales to lower-level customers 
D)  Cannot use relationship marketing effectively 
E)  Is accurately described by all of the above 
A)  Is using usage segmentation 
B)  Identifies customers who need different sorts of attention 
C)  Can increase profitability by increasing sales to lower-level customers 
D)  Cannot use relationship marketing effectively 
E)  Is accurately described by all of the above

Question 13

Salespeople for college texts call on college instructors to sell them on using a particular text for their classes.Improvements in efficiency have led some publishers to stop making sales calls altogether on smaller colleges.It is a much better use of the sales force's time to call on schools with large classes and big adoption rates.From the customer's point of view,this application of the profitability tier:

Accepted Answer

A)  Could cause resentment 
B)  Will not cause any problems 
C)  Simply increases the importance of word-of-mouth communication 
D)  Is not profitable 
E)  Creates across-the-board customer enhancement 
A)  Could cause resentment 
B)  Will not cause any problems 
C)  Simply increases the importance of word-of-mouth communication 
D)  Is not profitable 
E)  Creates across-the-board customer enhancement

Question 14

Bundling and cross-selling are ways to implement a Level 1 retention strategy.

Accepted Answer

A) True 
 B)False

Question 15

In acquaintance relationships,firms generally focus on:

Accepted Answer

A)  Creating service offering awareness 
B)  Inducing product trial and adoption 
C)  Gaining specific knowledge of customer's needs 
D)  Providing value comparable to the competition 
E)  Creating clear and easily comprehended communications 
A)  Creating service offering awareness 
B)  Inducing product trial and adoption 
C)  Gaining specific knowledge of customer's needs 
D)  Providing value comparable to the competition 
E)  Creating clear and easily comprehended communications

Question 16

Social bonds alone may not tie the customer permanently to the firm,but they are much more difficult to imitate than financial incentives.

Accepted Answer

A) True 
 B)False

Question 17

A theater that was once very popular is having decreased attendance at its movies even though its owner is providing his audience with the kind of movies they have enjoyed in the past.He is thinking about offering a program where customers earn free snacks with the purchase of a set number of tickets.Why might it be inappropriate for a movie theater to implement a financial rewards loyalty program?

Accepted Answer

First,these programs are easily imitated

Question 18

Describe the types of social bonds that can bind customers to the firm.

Accepted Answer

Employee (or service provider)

Question 19

What are the two types of switching barriers that oftentimes prevent dissatisfied customers from switching providers?

Accepted Answer

Switching

Question 20

To be successful,a service provider must accept the fact that the customer is always right.

Accepted Answer

A) True 
 B)False

The development of strong customer relationships is strongly influenced by:

For the organization,relationship marketing increases customer purchases,lowers costs,and creates free word-of-mouth advertising.

What are the three types of benefits customers enjoy through relationship marketing?

What are some influences on the lifetime or relationship value of a customer?

How would a day care center operator benefit from the implementation of relationship marketing with the parents of three preschool children?

The primary goal of relationship marketing is to build and maintain a base of profitable and committed customers through attraction,retention,and customer enhancement.

What is the primary goal of relationship marketing?

_____ marketing focuses on keeping and improving current customers,rather than concentrating on acquiring new customers.

A company that uses a four-tier scheme to segment is customers by profitability:

Bundling and cross-selling are ways to implement a Level 1 retention strategy.

In acquaintance relationships,firms generally focus on:

Social bonds alone may not tie the customer permanently to the firm,but they are much more difficult to imitate than financial incentives.

Describe the types of social bonds that can bind customers to the firm.

What are the two types of switching barriers that oftentimes prevent dissatisfied customers from switching providers?

To be successful,a service provider must accept the fact that the customer is always right.

Introduction to Services

Conceptual Framework of the Book: The GAPS Model of Service Quality

Customer Expectations of Service

Customer Perceptions of Service

Listening to Customers Through Research

Service Recovery

Service Innovation and Design

Customer-Defined Service Standards

Physical Evidence and the Servicescape

Employees Roles in Service Delivery

Customers Roles in Service Delivery

Managing Demand and Capacity

Integrated Service Marketing Communications

Pricing of Services

The Financial and Economic Impact of Service

Filters

Exam 6: Building Customer Relationships

The development of strong customer relationships is strongly influenced by:

For the organization,relationship marketing increases customer purchases,lowers costs,and creates free word-of-mouth advertising.

What are the three types of benefits customers enjoy through relationship marketing?

What are some influences on the lifetime or relationship value of a customer?

How would a day care center operator benefit from the implementation of relationship marketing with the parents of three preschool children?

The primary goal of relationship marketing is to build and maintain a base of profitable and committed customers through attraction,retention,and customer enhancement.

What is the primary goal of relationship marketing?

_____ marketing focuses on keeping and improving current customers,rather than concentrating on acquiring new customers.

A company that uses a four-tier scheme to segment is customers by profitability:

Bundling and cross-selling are ways to implement a Level 1 retention strategy.

In acquaintance relationships,firms generally focus on:

Social bonds alone may not tie the customer permanently to the firm,but they are much more difficult to imitate than financial incentives.

Describe the types of social bonds that can bind customers to the firm.

What are the two types of switching barriers that oftentimes prevent dissatisfied customers from switching providers?

To be successful,a service provider must accept the fact that the customer is always right.

Introduction to Services

Conceptual Framework of the Book: The GAPS Model of Service Quality

Customer Expectations of Service

Customer Perceptions of Service

Listening to Customers Through Research

Service Recovery

Service Innovation and Design

Customer-Defined Service Standards

Physical Evidence and the Servicescape

Employees Roles in Service Delivery

Customers Roles in Service Delivery

Managing Demand and Capacity

Integrated Service Marketing Communications

Pricing of Services

The Financial and Economic Impact of Service

Filters