MKTG 403 - Customer Relationship Management

What is the primary objective of CRM process?

• To develop a base of loyal customers who patronize the retailer frequently

• To satisfy customers by providing discounts and special offers

• To increase the foot-traffic into retail stores

• To offer the best prices possible to their target customer

Customer loyalty means

• customers are committed to purchasing from the retailer and will seldom shop at competing stores.

• customers have a high frequency of purchasing merchandise from the retailer.

• customers have most recently shopped and purchased from the retailer.

• customers make the highest amount of their purchases at one retailer and will be loyal to that retailer.

The objective of the CRM process is to

• analyze market trends.

• expand services.

• develop loyalty and repeat-purchase behavior.

• extend hours of operations.

Retailers will use all of the following to retain and increase share of wallet from their best customers except:

• Frequent-shopper programs

• Special customer services

• Promotions

• Lower prices

The first step in the CRM process is

• analyzing data.

• creating a data warehouse.

• developing CRM programs.

• implementing programs.

Wilbur uses a Books-A-Million customer card, Kash-N-Karry customer card, Jerry's Cleaners customer card, and Sandwich Shop customer card when he shops at any of these retailers. Each time he uses them, he gets rewarded with reduced cost, free merchandise, or a credit. These cards form a part of

• assortment planning programs.

• retail analytic programs.

• frequent-shopper programs.

• privacy and CRM programs.

Although having information about individual customers helps retailers provide better services to consumers, consumers are concerned about

• price promotions.

• loyalty.

• privacy.

• data mining.

Which of the following statements best describes a customer lifetime value (CLV)?

• CLV is the value placed upon a retailer by a consumer.

• CLV is a numerical value of how much a "best customer" shops

• CLV is what a customer contributes to a retailer's profits over his or her entire relationship with the retailer

• CLV is what retailers use to rate the value of guaranteed merchandise

Which of the following retail analytic applications involves the use of search techniques to gain insights into customers' buying patterns?

• Factor analysis

• Regression analysis

• Data mining

• Data scraping

________ are applications of statistical techniques and models that seek to improve retail decisions through analyses of customer data.

• Redress analytics

• Strategic analytics

• Data clones

• Retail analytics