Question 1

Research by TARP Worldwide,Inc.found that a full 96 percent of customers who report being "very satisfied" (i.e.,they are in the "top box" in satisfaction)say they will "definitely repurchase" from the same company.

Accepted Answer

A) True 
 B)False

Question 2

Toyota found that intent to purchase a Toyota automobile increased from 37 percent to _____ percent with a positive service experience.

Accepted Answer

A)  93 
B)  89 
C)  82 
D)  79 
E)  65

Question 3

Which of the following is NOT likely to occur when a company uses an offensive marketing effect?

Accepted Answer

A)  Higher market share 
B)  Increased price premium 
C)  Customer churn 
D)  Customer acquisition 
E)  Improved word-of-mouth communication

Question 4

According to field research conducted with senior executives in 60 companies,almost all companies identify and act on correct non-financial measures.

Accepted Answer

A) True 
 B)False

Question 5

The research on top box scores conducted across 10 studies by TARP Worldwide found what percent of customers who report being very satisfied (i.e.,checked the top box)say they will definitely repurchase?

Accepted Answer

A)  96 percent 
B)  90 percent 
C)  78 percent 
D)  64 percent 
E)  50 percent

Question 6

Offensive marketing effects involve market share,reputation and:

Accepted Answer

A)  Word-of-mouth communication 
B)  Vertical integration 
C)  Price premiums 
D)  High purchase volumes 
E)  Geodemographic segmentation

Question 7

Many companies that have adopted a customer retention strategy are now using the extent of _________ as their main measure of customer loyalty.

Accepted Answer

A)  Word-of-mouth 
B)  Personalized direct mail 
C)  Network television advertising 
D)  Publicity 
E)  Advertising in prestige magazines

Question 8

Which of the following statements about customer perceptions of service and consumer purchase intentions is true?

Accepted Answer

A)  There is no relationship between customer perceptions of service and any consumer intentions 
B)  While there is no relationship between customer perceptions of service and purchase intentions,there is a strong relationship between perceptions of superior service and increased word-of-mouth communications 
C)  Researchers suspect there is little relationship between a customer perception of service and his or her intent to buy 
D)  Customer perceptions of service affect consumer intentions in several positive ways-including the purchase intention 
E)  Customer expectations - not perceptions - affect consumer behavioral intentions

Question 9

_____ marketing is used by companies to prevent customer defection.

Accepted Answer

A)  Vertical integration 
B)  Guerilla 
C)  Defensive 
D)  Flank-movement 
E)  Offensive

Question 10

The research exploring the relative importance of service dimensions on overall service quality or customer satisfaction has confirmed _____ as the most critical dimension.

Accepted Answer

A)  Assurance 
B)  Tangibles 
C)  Empathy 
D)  Responsiveness 
E)  Reliability

Question 11

Which of the following has the strongest effect on a service provider's profits?

Accepted Answer

A)  Market share 
B)  Unit costs 
C)  Location 
D)  Employee salaries 
E)  Customer defection

Question 12

The increased profits a service firm realizes from customer retention result from all of the following EXCEPT:

Accepted Answer

A)  Lower costs 
B)  Increased volume of purchases 
C)  The ability to charge a price premium 
D)  Customer defection 
E)  Increased word-of-mouth communication

Question 13

The key drivers of service quality,customer retention and profits include:

Accepted Answer

A)  The servicescape and internal marketing 
B)  The five dimensions of service quality and service encounters 
C)  External marketing communications and employee training 
D)  Public relations and direct marketing 
E)  All of the above

Question 14

The correlation between a brand's wallet allocation rule and its financial results is ________ than the relationship between previous service and financial measures.

Accepted Answer

A)  Far lower 
B)  Somewhat lower 
C)  Not much different 
D)  Somewhat higher 
E)  Far higher

Question 15

Which type of promotion has more credibility than other sources of information about a service?

Accepted Answer