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Strategic Marketing Ch 5

Terms in this set (100)

A comprehensive business model for increasing revenues and profits by focusing on customers is called ________.
customer relationship management (CRM)
Which terms refers to whether or not a particular offering meets or exceeds a customer's expectations?
customer satisfaction
The degree to which an individual will resist switching, or defecting, from one offering to another is called ________.
customer loyalty
A major brand of snack products has enlisted the help of its customers to come up with new flavors for its most popular brand of potato chips. This is an example of customer ________.
value co-creation
________ is the term used to describe efforts by a firm to make sure that customers have on excellent experience with the firm and its offerings on every encounter.
Customer experience management
________ ________ ________ is a comprehensive business model for increasing revenues and profits by focusing on customers.
Customer relationship management (CRM)
Because social media allow customers to easily share information, praise, criticism, suggestions, and ideas about providers products and services, they serve as a critical component for ________, particularly among younger customers.
customer empowerment
The level of liking an individual harbors for an offering is called ________.
customer satisfaction
The dollar value of a customer relationship generated for a firm through building a life-long relationship with a customer is called ________.
customer lifetime value
Customer ________ refers to the degree to which an individual will resist switching, or defecting, from one offering to another.
loyalty
An estimate of the projected financial returns from a customer over the long run is called _____.
return on customer investment
When customers and providers combine forces and work together to produce offerings of value, it is called customer ________.
value co-creation
Customer experience management is ________.
an organization-wide effort to ensure all aspects of a customer's encounters with the firm meet or exceed their expectations
Place the elements of the CRM process cycle in the correct order.
1. Knowledge Discovery
2. Marketing Planning
3. Customer Interaction
4. Analysis and Refinement
Customer ________ reflects the extent to which a firm consistently provides its customers various avenues to connect with the firm and actively shape the nature of their encounters and connect and collaborate with each other.
empowerment
A ________ is where the selling firm touches the customer in some way, thus allowing for information about him or her to be collected.
customer touchpoint
________ ________ ________ is the dollar value of a customer relationship based on the present value of the projected future cash flows from the customer relationship.
Customer lifetime value
A data ________ provides the opportunity to combine large amounts of information and then use techniques to learn more about current and potential customers.
warehouse
Return on ________ ________ is an estimate of the projected financial returns from a customer over the long run.
customer investment
________ ________ represents a key use of the output from the knowledge discovery phase.
Marketing planning
Which phase of the CRM process represents the actual implementation of customer strategies and programs?
customer interaction
Knowledge Discovery
The process of analyzing the customer information acquired through various customer touchpoints.
Marketing Planning
Information enables the capability to develop marketing and customer strategies and programs.
Customer Interaction
The actual implementation of the customer
strategies and programs.
Analysis and Refinement
Where organizational learning occurs based on customer response to the implemented strategies and programs.
In the ________ phase of CRM, organizational learning occurs based on customer response to implemented strategies and programs.
analysis and refinement
Customer ________ are occurrences in which the selling firm touches the customer in some way and allows for information about him or her to be collected.
touchpoints
A(n) ________ touchpoint allows for two-way information exchange between the customer and a firm's salesperson, customer service representative, interactive website, and so on.
interactive
Which of the following establishes the best environment for handling all the customer data generated through the touchpoints and transforming those data into useful information for marketing management decision making and planning?
data warehousing
________ involves taking output from the knowledge discovery phase to develop marketing and customer strategies and programs.
Marketing planning
The actual implementation of the customer strategies and programs takes place in the _______
stage of the CRM process cycle.
customer interaction
When organizational learning occurs based on the customer response to the implemented strategies and programs, this is referred to as ________ and ________.
analysis; refinement
What is the "dark side of CRM"?
a feeling by customers that information a firm collects about them will be used for unintended purposes
Interactive touchpoints might include which of the following situations?
A salesperson sells you an upgrade to fix a problem with your cell phone.
A customer service representative helps you follow up on a gift delivery.
A telemarketer offers you information on a special deal for existing cable customers.
A data ________ handles all the customer data generated through the touchpoints and transforms that data into useful information for marketing management decision making and marketing planning.
warehouse
Select all of the components that are part of a customer-centric culture.
Increasing formalization of customer analysis processes.
Redefining the selling role within the firm to focus on customer business solutions.
Focusing on continuous improvement principles stressing customer satisfaction and loyalty.
Adopting a relationship business model overall, with mutually shared rewards and risk management.
Taking a proactive leadership role in educating customers about value chain opportunities available.
What is the phase of the CRM process that uses the output from the knowledge discovery phase?
marketing planning
The ever-increasing quantity and complexity of data that is continuously being produced by various technological sources is referred to as ________.
big data
________ ________ represents the actual implementation of the customer strategies and programs.
Customer interaction
Naomi just received data on company sales figures by salesperson and product. She organizes the information into a Microsoft Excel spreadsheet because putting the data into tables with columns will make the information more clear. This is an example of ________ data.
structured
A key component of a strong customer relationship with a firm is ________.
a high level of trust
The most valuable sources of big data for marketers are those that ________.
capture data on potential customers.
capture data on current customers.
yield actionable insights.
A(n) ________ touchpoint allows for two-way information exchange between the customer and a firm's salesperson, customer service representative, interactive website, and so on.
interactive
The collection of customer information through ________ systems in retail locations is commonly used to determine a customer's relative value and can also provide insight into what kinds of products would most appeal to a customer.
point-of-sales (POS)
A firm that is ________ places the customer at the core of the enterprise including everything that happens, both inside and outside the firm.
customer-centric
What term is used to describe the record of specific actions a user takes on a website in reverse chronological order that provides valuable insight for use by marketing managers?
web log
________ ________describes the ever-increasing quantity and complexity of information that is continuously being produced by a variety of technological sources.
Big data
Data generated through ________ is very diverse and can include profile data as well as posts and emotional reactions to posts.
social media platforms
Structured data refers to data that is ________.
easily placed into specific categories and stored for future analysis
In social media, ________ are individuals who have built a reputation for their knowledge and expertise on a specific topic and post about that topic generating large followings of enthusiastic, engaged people who pay close attention to their views.
influencers
Business systems, social media platforms, internet-connected devices, mobile apps, commercial entities, and government entities are all sources of information for ________ ________.
big data
What is the premise behind influencer marketing?
A consumer's purchases are often influenced by the views, opinions, and behavior of others.
True or false: The information systems that companies use for different internally and externally facing business functions provide critical information for maximizing the value of customers.
True
As more smart devices enter the market and more products gain the capability to become network-connected, companies can better understand ________.
how customers use the specific product.
which product features are not popular.
how to modify future product design.
The use of ________ data at an early stage in a customer's browsing of an e-commerce website can provide insight into the state of the customer's intentions and subsequently allow marketers to increase the likelihood that the customer will make a purchase by dynamically altering aspects of the site.
clickstream
Data from a retailer's mobile ________ is frequently used to help customers find in-store deals when shopping or to load coupons.
app or application
Marketing managers study the way that users communicate with each other on social media, and who they communicate with in order to better understand ________.
how individuals and groups wield influence on others
Some commercial entities collect big ________ on customers in order to sell it to other companies as their primary business model.
data or information
Which description exemplifies a social media influencer?
The host of a popular YouTube channel devoted to health and beauty evaluates various new beauty products for her viewers.
Marketing ________ include a set of methods facilitated by technology that use individual-level and market-level data to identify meaningful patterns that can improve marketing-related decisions.
analytics
________ is a form of social media marketing involving endorsements and product placement from influencers, people, and organizations who have a purported expert level of knowledge or social influence in their field.
Influencer marketing
Descriptive, diagnostic, predictive, and prescriptive are all terms used to identify different types of ________.
marketing analytics
What two factors are at the source of the increasing amount of structured and unstructured data being made available to marketing managers?
network connectivity
smart devices
Data from a mobile app show that Sam enjoys earning game awards badges. This encourages Gamers, Inc. to provide in-game advertisements for other games that award badges at the point where Sam will soon stop playing the first game. This type of activity is considered a(n) ________ opportunity.
cross-promotional
True or false: The primary business model of some companies is to collect Big Data on customers in order to sell it to other companies.
True
Taking data in raw form and transforming it into measures that provide insight into the past and hopefully a basis for further explorations of the data is the essence of ________ analytics.
descriptive
A set of methods, facilitated by technology, that include individual-level and market-level data to identify and communicate meaningful patterns for the purpose of improving marketing-related decisions is called ________.
marketing analytics
Gathering insights into the relationship of different marketing-relevant factors that can help marketing managers make appropriate future decisions is the purpose of ______ analytics.
diagnostic
What are four types of marketing analytic approaches include?
predictive analytics
descriptive analytics
prescriptive analvtics
diagnostic analytics
The value of ________ analytics is that it helps to provide direction into the impact of possible changes in marketing-relevant factors on related outcomes.
predictive
________ analysis is a type of analytic method that identifies the general attitude contained with a message by an analysis of its content.
Sentiment
________ analytics utilizes data to provide summary insights.
Descriptive
________ is the determination of how to give appropriate credit to different elements of the marketing mix through the measurement of their effects.
Attribution
Statistical methods such as linear regression are a form of ________ analytics.
diagnostic
________ ________ is an analytic method that identifies which products or services to recommend based on a determination of how similar a product or service seems to be to those that the customer has demonstrated a preference for in the past.
Content filtering
________ analytics utilizes data to make predictions about future marketing outcomes of interest.
Predictive
Through advanced analytics, Netflix can determine which videos to recommend be placed on a user's home screen and how to group them to enable the users to understand what they have in common and potentially why they are being recommended. This is an example of ________.
collaborative filtering
Gracie's Restaurant Group has been receiving a lot of feedback through marketing analytics. On the restaurant's Facebook page, customers are noting that the service is excellent and that the main dishes are quite good, but the desserts are far too heavy and sweet. This is an example of ________.
sentiment analysis
mass personalization
Everyone receives the same offering.
segment-level personalization
Groups of customers with similar preferences are identified and an offering is developed for each.
individual-level personalization
Each customer receives an offering customized to his or her specific tastes.
A comprehensive system providing managers with up-to-the-minute information necessary to run their operation is called a ________.
marketing dashboard
Samson and Co. is an online provider of reasonably priced clothing. After specific changes in the marketing mix, 15% more customers have been clicking the purchase button. In this case, it is easy to tie the increase in sales to the marketing mix. This is an example of ________.
attribution
An analytic method that Identifies which products or services to recommend based on a determination of how similar they are to those that the customer has preferred in the past is ___.
content filtering
Two primary goals of any marketing dashboard are ________ insight and ________ foresight.
diagnostic; predictive
________ ________ predicts a customer's preferences for products or services based on the observed preferences of customers who are perceived to be similar.
Collaborative filtering
What are the three levels of granularity used in personalization?
mass personalization
segment-level personalization
individual personalization
Which are potential pitfalls in marketing dashboards?
over-reliance on "inside-out" measurement.
too many tactical metrics, not enough strategic insight.
forgetting to market the dashboard internally.
A marketing ________ is a comprehensive system providing managers with up-to-the-minute information necessary to run their operation.
dashboard
______ represents either the revenue or the margin generated by a marketing program divided by the cost of that program at a given risk level.
ROMI
Which of the following are commonly expressed objections about an overreliance on ROMI?
Pursuit of ROMI during flat periods can be viewed as "causing" underperformance and suboptimal levels of activity.
Typically marketing expenditures are not treated as an investment in a company's accounting system.
ROMI requires the profit to be divided by expenditure, yet other performance measures consider profit or cash flow after deducting expenditures.
What are two goals of any dashboard?
diagnostic insight
predictive foresight
In the end, marketing management is both a science and an art. The ________ side understands that sometimes the difference between success and failure depends largely on creativity, insight, and the good fortune to have a great idea that is hitting the market at just the right time.
artistic
Predicting a customer's preference for products or services based on the observed preferences of customers who are perceived to be similar is called ________.
collaborative filtering
over-reliance on "inside-out" measurement
Having too many internal measures puts the focus on what you already know instead of on the unpredictably dynamic external marketplace.
too many tactical metrics; not enough strategic
insight
Because of the focus over the past decade on holding marketing accountable for financial results, intermediary metrics have proliferated.
forgetting to market the dashboard internally
One measure of the success of a marketing dashboard is the level at which it is used by managers and executives throughout the firm.
A goal-driven investment approach to marketing that maximizes the opportunity for a firm's offerings to reach their full potential in the marketplace is called ________.
return on marketing investment
What are commonly expressed objections about an overreliance on ROM?
ROM ignores the effect of the marketing assets of the firm and tends to lead managers toward a more short-term decision perspective.
When executives discuss ROM with different metrics in mind, confusion results and the value of the metric degrades.
Calculating ROM requires knowing what would have happened if the incremental expenditure had not occurred.
In the end, marketing management is both a science and an art. The ________ side craves quantification and relishes the ability to provide numeric evidence of success to superiors in a firm and to stockholders.
scientific
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