Marketing Analytics _ pgdm

What does RFM stand for in marketing analytics?

• Revenue, Frequency, and Management

• Recall, Frequency, and Market Value

• Random, Frequency, and Marketing

• Recency, Frequency, and Monetary Value

What is the purpose of market basket analysis in marketing?

• To measure the effectiveness of social media marketing

• To understand the relationships between products frequently purchased together

• To analyze the price trends of individual products

• To track customer demographics and preferences

What are the key components of RFM analysis?

• Temperature, Humidity, Pressure

• Recency, Frequency, and Monetary value

• Size, Color, Weight

• Age, Gender, Location

How is forecasting used in marketing analytics?

• By analyzing past events and data

• By predicting future trends, customer behavior, and sales performance.

• By conducting customer surveys

• By creating historical reports

What is the significance of RFM analysis in customer segmentation?

• It helps in identifying the least valuable customers for targeting

• It is used to track customer complaints and issues

• It is a tool for measuring customer satisfaction

• It helps in identifying the most valuable customers and targeting them for specific marketing strategies.

Explain the concept of cross-selling in market basket analysis.

• Selling products that are completely unrelated to the customer's purchase

• Only suggesting products that are already in the customer's basket

• The practice of suggesting related or complementary products to customers based on their current purchase.

• Ignoring customer preferences and purchase history when making product suggestions

What are the common techniques used for forecasting in marketing analytics?

• Guessing and intuition

• Time series analysis, regression analysis, and machine learning algorithms

• Random selection of data

• Ignoring historical data

How does RFM analysis help in customer retention?

• RFM analysis helps in customer retention by predicting the weather

• RFM analysis helps in customer retention by identifying the customer's favorite color

• RFM analysis segments customers based on their recency, frequency, and monetary value of their purchases.

• RFM analysis helps in customer retention by analyzing social media engagement

Discuss the importance of association rules in market basket analysis.

• Association rules in market basket analysis are irrelevant and unnecessary

• Association rules in market basket analysis are only used for inventory management

• Association rules in market basket analysis help identify patterns and relationships between items purchased together, which can be used for targeted marketing and product placement.

• Association rules in market basket analysis only apply to online shopping

What are the limitations of using forecasting in marketing analytics?

• Simplicity of consumer behavior

• Accurate data inputs

• Inability to account for sudden market changes, inaccurate data inputs, and the complexity of consumer behavior.

• Ability to accurately predict market changes