Exam 20: Customer Relationship Management

Lifetime value analysis is only helpful when it is used on current customers.

L.L.Bean,Inc.has been reducing the number of catalogs it sends out over the past several years while increasing its sales and profits.With _____,L.L.Bean now uses a number of criteria to establish a model showing which catalogs buyers purchased from and to judge their likelihood of buying from a catalog that they have never purchased from.

Data mining analyzes significant relationships simultaneously among several customer dimensions with vast data warehouses.

An on-line retailer like Orvis would use _____ to discover that customers who purchase flannel sheets also had a high probability of purchasing all-natural Christmas wreaths if the opportunity were made available.

L.L.Bean,Inc.has been reducing the number of catalogs it sends out over the past several years while increasing its sales and profits.With _____,L.L.Bean now uses a number of criteria about buyers and prospects to judge their likelihood of buying from a particular catalog.

What is knowledge management? What type of companies use knowledge management?

When viewed as an interaction between the organization and the customer,a transaction can produce all of the following data EXCEPT:

By listening to customer feedback and informally gathering specific comments on benefits and features that the marketing department thought interested customers,the manufacturers of SUVs have made sure that every seat has at least one cup holder.The manufacturers of SUVs used:

_____ is the process by which learned information from customers is centralized and shared in order to enhance the relationship between customers and the organization.

SCENARIOS Butterball Turkey In 1981,the producers of Butterball Turkey opened the Butterball Turkey Talk-Line opened.Created to assist struggling chefs with preparing the holiday bird,the Butterball Turkey Talk-Line was initially staffed with six home economists who responded to 11,000 phone calls in its first year.The Butterball Turkey Talk-Line is known as "the granddaddy of all help lines." Today the staff of 45 home economists and nutritionists responds to over 100,000 questions each November and December.In keeping with its history of technological advances,Butterball launched butterball.com in 1995,one of the first consumer Web sites,complete with turkey preparation tips and favorite recipes from the Butterball kitchens.Butterball Turkey's commitment to providing premium products and renowned customer service has prevailed as a long-standing tradition to call on,not just at the holidays,but all year long.Butterball has maintained a prominent position on America's holiday tables,a position it is designed to hold for,undoubtedly,many years to come. -Refer to Butterball Turkey.Butterball's touch points are its:

Fingerhut,the catalog retailer,used _____ to determine that customers who change residences are three times more likely than customers who have not moved to buy tables,fax machines,and decorative products but no more likely to buy jewelry or footwear.As a result,Fingerhut created a catalog for people who have changed residences.

The technological environment has no influence on customer relationship management (CRM)systems.

_____ was the technique used to suggest that the customer who wanted to buy the $29 shirt would also be a likely prospect for the cigar humidor.

The difference between traditional marketing and customer relationship marketing can be compared to the difference between:

In a speech,David Poirier,executive VP,CIO of Hudson's Bay Company,a Canadian retailer,said,"We [Hudson's Bay Company] had all kinds of data in different places.We didn't have a single view of the customer until we focused on finding one method to manage relationships with our customers." Hudson's Bay would use a _____ to profile customer segments for better CRM marketing efforts.

The process of centralizing data in a CRM system is sometimes referred to as the interpolation of external and internal touch points.

_____ is the process of finding hidden patterns and relationships in the customer data stored in the data warehouse.

Channel interactions include store visits,conversations with salespeople,and wireless communication.

As a predictive tool,data mining has limited utility.

_____ is the overlay of information to customer or prospect records for the purpose of better describing or better determining the responsiveness of customers or prospects.