from large customer segments to individual customers

from pursuing all types of customers to pursuing high-potential-value customers

 

9. Which of the following describes a customer-share strategy? (pp. 15–18)
   1. finding a constant stream of new customers
   2. using mass media to build brand and announce products
   3. differentiating products from competitors
   4. selling as many products as possible to one customer at a time

 

10. The core benefit of a Learning Relationship for a customer is: (pp. 18–20)
    1. reduced switching cost
    2. lower priced products
    3. higher quality products
    4. increased product choice

 

11. The core benefit of Learning Relationship for an enterprise is: (p. 20)
    1. increased product innovation
    2. greater profit margins
    3. greater customer loyalty
    4. all of the above

 

12. If an enterprise ranked low in tailoring for customers but high in customer interaction, it would find itself in which quadrant of Peppers and Rogers’ Enterprise Strategy Map? (p. 14)
    1. Quadrant I: Mass Marketing
    2. Quadrant II: Niche Marketing
    3. Quadrant III: Database Marketing
    4. Quadrant IV: One-to-One Learning Relationships

 

13. Keeping long-term customers is more beneficial than continually acquiring new customers because: (pp. 29–30)
    1. Long-term customers tend to pay full price for a product rather than a discounted price.
    2. Loyal customers tend to give more referrals.
    3. Acquiring new customers costs more than keeping current ones.
    4. All of the above

 
Essay questions:
 

1. Compare and contrast the mass marketing era with the interactive era. What are the goals of each? What defines competitive advantage? What are the key technological tools?
2. Define “customer relationship management.” What is its central purpose?
3. What is a Learning Relationship? What are the benefits of a Learning Relationship—both to the enterprise and to the customer?
4. Describe why customer relationship management, or customer strategy, needs to be an enterprise-wide strategy. How would it affect each of the five principal business functions:
   1. financial
   2. production, logistics, and service delivery
   3. marketing communications, customer service, and interaction
   4. sales distribution and channel management
   5. organizational management strategy

Managing Customer Experience and Relationships: A Strategic Framework

Third Edition

 

Don Peppers and Martha Rogers

 

Multiple Choice Test Questions Answer Key

Chapter 1: Evolution of Relationships with Customers and Strategic Customer Experiences

1. c
2. e
3. d
4. c
5. c
6. a
7. a (or d)
8. b
9. d