Companies have been moving from focusing on customer ________ and ________ towards a customer ________ focus.
service; delivery; revenue generating
acquisition; transaction; relationship
acquisition; service delivery; retention
service delivery; satisfaction; marginal costing
costs; revenue; relationship
Which of the following is NOT an example of common CRM applications?
Data collection
Data analysis
Market reinvestment
Sales force automation
Call centre automation
Reichheld and Sasser (1990) have suggested that annual profits per customer increase every year over seven years because of various factors. Which of the following is NOT one of the factors that they discovered created incremental profits?
Increased sales through price discounts to customers
Profit from referrals to other customers
Opportunities to cross-sell other services
Profit from increased purchases
Profit from reduced operating costs
Which of the following is NOT a segment identified in Knox’s Diamond of Loyalty?
Loyals
Retainers
Habituals
Multibranders
Switchers
Short-term hard sell campaigns, managed for transactions not relationships, work best for ________ while partnership and preferred access programs work best for ________.
multibranders; switchers
switchers; multibranders
loyals; switchers
habituals; loyals
switchers; loyals
Good customer relationships begin with a good fit between ________ and ________.
profit expectations; revenue generated
customer needs; service expectations
customer needs; service offerings
business objectives; profitability
Recent research has found a number of specific types of relational benefits that motivate customers to become regular customers of one service provider. Which category of benefits has been found by research to be the least important to customers in terms of value?
Social benefits
Special-treatment benefits
Relationship benefits
Loyalty benefits
Confidence benefits
In terms of socio-cultural traits that impact on buyer-seller relationships, which of the following statements is correct?
As compared to low-context cultures, high-context cultures put more emphasis on direct communication.
As compared to high-context cultures, low-context cultures spend more time on discussing issues and non-task information.
As compared to high-context cultures, low-context cultures tend to avoid confrontation and prefer harmony.
As compared to low-context cultures, high-context cultures take a longer time to establish relationships.
As compared to low-context cultures, high-context culture put less emphasis on face-to-face encounters.
Recent research by Fornell and his colleagues found an association between a firm’s score in the American Customer Satisfaction Index and which of the following?
Higher prices for the firm’s services
Higher prices for the firm’s stock
Lower profits for the firm
More word of mouth for the firm’s brand
Stronger customer loyalty
A coffee shop is considering a customer loyalty program. According to research by Reinhartz and Kumar, what should the owners keep in mind when setting up the program?
Many heavy users are multibrand loyal.
Long-life customers are more costly to serve.
High lifetime revenues drive duration, not profit.
Long-term customers are less price sensitive.
Long-life customers pay higher average prices.
