ere seen peta ee en cS Tam CM cima) rhe cola) Bee eed Dao lea sted Crests Exes) Question 1 View this Question Online = The first stage in the customer life cycle is? 4, Acquisition 2. Reaching 3. retention 4, Conversion 5. None of the above Answer (Detailed Solution Below) Option 2: Reachingcoaching India's Super Teachers for all govt. exams Under One Roof era Customer Relationship Management (CRM) Question 1 Detailed Solution The correct answeris Reaching Life Cycle of a Customer: Following are the stages in the customer life cycle: + Reaching: The initial stage in which a business targets its prospective customers through advertisernents in print and digital mediais known as reaching, + Acquisition:In this stage, a business tries to attract the customers by providing them information related to the benefits of a product, The main aim of thisis to influence the customer into buying the product. + Conversion:The point at which the customer decides to buy a product is conversion of a prospect into a customer, + Retention: Every businesswants to retain its customers asit maintains a constant revenue stream for along time, To do this, a businessoffers certain facilities and add-ons to its existing customers such as shorter waiting times, loyalty bonuses and discounts, trial packs or subscriptions of new products and services etc Se aPC ar Telia CORec eee erotica Start Complete Exam Preparation rues fe Dar Does cieln researc Exotic) D> Download App Question 2: SATRCEiS eRe TERS lateness pases suTeUI ase niente aantap teve sear arcu corte ra ar i ace teae eR Sah ee a al ls ead em POEUN ee re NRT TT A eet eae up and new dients while smoothing out corporate on 1 Eco strategy ‘ocial Marketing None of the above Answer (Detailed Solution Below) Option 2: Customer Relationship Marketing Customer Relationship Management (CRM) Question 2 Detailed Solution The correct answeris Customer Relationship Marketing. Customer Relationship Marketing (CRM): 1 2 Customer Relationship Marketing (CRM) refers to all marketing activit establishing, developing, and maintaining successful relationships istomers, The theories and concepts of CRM draw upon a number of di including service quality, services marketing, customer retention ec: jes related to interpersonal and social interaction. However, the practice of relationship marketin marketing and selling. CRM, Customer Relationship Manag fs strategy that enables organizations to € get closer with their customers, to ir needs, improve customer service, enhance customer satisfacti .¢ ther ximize customer loyalty and retention. Thus Customer Relation: agement permits organizations to grow long haul associations with build up liants while smoothing out corporate execution. The eco-strategy provides a comprehensive framework that will help companies create optimal value thus maintaining the balance between the goals of various internal and external stakeholders and optimization levels of risk and the use of ICT. Green marketing refers to the practice of developing and advertising products based on their real or perceived environmental sustainability. Social marketing is an approach used to develop activities aimed at changing or maintaining people's hehavior for the benefit of individuals and society asa whole.Eee eo) Pela meen) (CM eum ete ye laced) aoa era PEA Practice Tac oes Colne Cresteatrng eae Download App Question 3: View this Question Online = In relationship marketing, Orientation is on 1. product benefits 2. product cost 3. rR ores 4, product price 5. None of the above Answer (Detailed Solution Below) Option 1: product benefits Customer Relationship Management (CRM) Question 3 Detailed Solution The correct answeris Product Benefits © Key Points + Relationship marketing is a marketing strategy that concentrates on long-term customer relationships. + Rather than focusing on one-time salesyit emphasizes customer retention, satisfaction and loyalty, and fong-ter gement. + The primary aim of cusi relationship marketing is to develop emotional customer conneetionsta the brand tHaPcan increase lang- term sales transactions + With the growing internet and social media platiorms, relationship marketing has gradually esa+ Relationship Marketing Orientation suggests that the traditional short-term transaction- oriented exchange research has to be replaced with research into long-term buyer-seller relationships which can be done through focusing on product benofits rather than the price, features or even price. Ca ee eer Start Complete Exam Preparation Cee Re ost Mock Tests Paez Download App Question 4: View this Question Online > Development and introduction, growth, maturity/ stability, and decine are the stages of 1, SEO - Search Engine Optimisation 2. SMM - Social Media Marketing 3. PLM- Product Life Cycle Management 4, None of the above. 5. None of the above Answer (Detailed Solution Below) Option 3: PLM - Product Life Cycle Managernent Customer Relationship Management (CRM) Question 4 Detailed Solution The correct answeris PLM - Product Life Cycle Management. gf+ Product lifecycle management (PLM) refers to the handling of a good as it moves through the typical stages of its product life: developmentand introduction, growth, maturityistability, and decline. + This handling consists of bath the manufacturing of the good and the marketing of it. en ‘e) + SEO stands for search engine optimization, “In simple terms, it means the precess of improvingyour site through suggested changes to increase its visibility for relevant searches. ©; Additional Information SEO - Search Engine Optimization: + Billions of searches are conducted online every single day. This means an immense amount of specific, high-intent traffic. + Many people search for specific products and services with the intent to pay for these things. + These searches are known to have commercial intent, meaning they are clearly indicating with thelr search that they want to buy somethinga business offers. + Ahighly optimized website has better chances of attracting more customers.Wal Analysts. word Research or” Aerie ‘SERP Report d SEARCH ~. oo “T” oprimtzarion _! XO 4 PROCESS Articles Submission 3 eo — ‘Ceation social Book Marking SMM - Social Media Marketing: + The term social media marketing (SMM) refers to the use of social media and social networks to market a company’s praducts and services + These platforms are a way to catch a prospective customer's attention via pests, palls, videos and influencers a er ee eteS Pees Mock Tests ie I es peri Download App Question §: View this Question Online > The best way to improve the customer experience is to 1. Conduct a touch point analysis 2. Make changes based on the resultsof the touch point analysis 3. Measure the impact of the changes. 4, All of the above. Answer (Deiziled Soltition Below) Option 4:A\l of the above. Customer Relationship Management (CRM) Question 5 Detailed Solution The correct answeris All of the above. © Key Points Improving the customer experience requires a comprehensive approach, Here's how each step you mentioned contributes to that: 1, Conducta Touchpoint Analysis: This involves identifying all the paints where a customer interacts with your product, service, or brand. This could include your website, customer service, social media, physical stores, etc. Understancing these touchpoints helps businesses better understand their customers’ experience and identify areas that need improvement. 2. Make Changes Based on the Results of the Touch Point Analysis: After identifying the touchpoints, the next step is to analyse customer interactions at each stage. This can lead to valuable insights about what's working, what's not. and whereimprovements can be made. After this analysis, you can develop a solid plan addressing the identified issues. 3, Measure the Impact of the Changes: After implementing improvements, it’s crucial to measure the impact of these changes on the customer experience. This can be done usinga variety of metrics, such as customer satisfaction scores, net prom: retentioney se eee ee ee eee yee Se determine if the changes are positively influencing the custamer experience. By implementing this cycle regularly, businesses can ensure a continuous improvement process that helps them stay attuned to their customers’ needs and wants, and adapt their offerings accordingly. » Important Points naddition to the above, the process of enhancing customer experience through touchpoint analysis can be supplemented with: Customer Feedback: Regularly soliciting and evaluating customer feedback is vital. Surveys, focus groups, social media, and online reviews are some of the ways you can gather this feedback Understanding your customers’ opinions can provide valuable insights for improving user experience, Customer Journey Mapping: Thisis a visual representation of every experience your custorners have with you It helps to understand how customers move through the sales funneland helpsidentify areas of friction or opportunites for improvernentin the customer experience, Personalization: Offering tailored experiences to customers has become a key differentiator. Whether it's through personalized marketing messages,product recommendations, or personalized in-app experiences, these strategies can significantly enhance the custorner experience: Training and Empowering Employees: Employees should have the necessary training and resourcesto provide excellent service. Empower thern to resolve customer issueseffectively and efficiently, touchpoints. This could range from having a user-frleh ly website, CRM systems, date analysis tools, Using Technology: The proper use of sig a and improve interactions at various or customer service bots. Quality Assurance: Ensure the quality of your product or service meets or exceeds customer expectations, The performance of your product/ service along with the supporting services suchas customer suppert can have a significant impact on the customer experience Improving customer experience requires an ongoing commitment to understanding, meeting, and exceeding customer needs and expectations across all touchpoints in their journey. The above points act like steps that form an ongoing cycle of improvement © Additional Information Customer experience, often abbreviated as CX, pertains to a customer's total interaction with a company, including their perceptions, feelings, and responses to all aspects of a company'sproducts or services throughout the duration of their relationship. Customer experience includes multiple elements such as: + Touchpoints: Every interaction a customer hes with a business, from navigating a website, talking with customer service, using the product or service, receiving support. ete. + Customer Service: The help and support that a company provides before, during, and after purchase, + Product or Service Experience: This refersto a customer's experience with the actual product or service, such as its functionality and features, its value for the cost, etc + Brend Perception: How a customer perceives a brand, including its reputation and howit aligns with their values, plays into their overall customer experience Top Customer Rel. nship Management (CRM) MCQ@ Objective Questions CaP eC eiloal CBee cotta Start Complete Exam Preioc Phe Coie ee Cree Download App Questions “Mew this Question Online > In the context of CRM, what does the abbreviation SFAstand for? 4, Sales Field Allocation 2. Sales Field Audit 3. Sales Frontend Audit A. ce Automation Answer (Detalied Solution Below) Option 4: SalesForce Autornation Customer Relationship Management (CRM) Question 6 Detailed Solution Customer Relationship Management(CRM) is 2 process of managing a company’s interactions and relationships with customers and potential customers. CP key-Points Sales Force Automation: + Sales Force Automation (SFA) is a technique of using softwareto automate business tasks. + Itis anintegrated application of customizable Customer Relationship Management (CRM) toals that automate and streamline inventory, forecasting, leas, forecasting, performance, end analysis, « SFAls offen used interchangeablywith CRM howe¥ér, CRM does not necessarily imply automation of sales tasks. + SFAis also known as the sales force managementsystem. . + All SFA systems are bull: with nwo core components: + Content management system: Tracks customers, contacts, forecasting, activities, sales history and analytics,» Sales lead tracking system: Tracksleads and opportunity pipeline data, + SFA tools include Web-based (hosted CRM) and in-house systems, + Avweb-based, hosted CRM, integrates the application service provider (ASP)madel with cloud computing and is famous in small organizations without established CRM infrastructures, + In-house SFA provides greater customization but isrnore costly than hosted CRM SFA packages + SFAis also known as Sales Automation (SA) software or CRM software. Therefore, in the context of CRM, the abbreviation SFA stands for Sales Force Automation. a rN Rare ay Ree ces PS ela meu (CM hci me leh acl) ical Pray (im) Preces ieee MasteClasses (5 J Question Bank xtc) Download App Question7 View this Question Online > Which of the following reflects the sum of perceived tangible and intangible benefits and costs to a customer? 1. Customer satisfaction 2. Customer delight 3. Customer value 4, Customer expectation a Answer (Detailed Solution Below) Option 3: Customer value Customer Relationship Management (CRM) Question 7 Detailed Solution Customer value reflects the sum of perceived tangible and intangible benefits and costs to a customer. a key-PointsExplanation: Customer Velue is the perception of what a product or serviceis worth to a Customer versusthe possible alternatives, Worth means whether the Customer feels s/he ar he got benefits and services over what s/he paid. In a simplistic equation form, Customer Value is Benefits-Cost (CV=B-C) [additional Information 1. Customer Satisfaction: + Customer satisfaction (often abbreviated as CSAT) is a term frequently used in marketing, + Itis a measure of how products and services supplied by a.company meet or surpass custorner expectation, + Customer satisfaction is defined as "the number of customers, or percentage of total customers, whose reported experience wita.a firm, its products, or its services (ratings) exceeds specified satisfaction goals.” Customer Delight + Customer delight is surprising a customer by exceeding his or her expectations and thus creating a positive emotional reaction, + This emotional reaction leads to word of mouth, + Customer delight directly affects the sales and profitability of a company asit helps to distinguish the company and its products and services from the competition. Customer Expectation + By definition, customer expectations are anyset of behaviors or actions that individuals anticipate when interacting with a company. + Historically, customers have expected basics like quality service and fair pricing — but modern customers have much higher expectations, such as prozctive service, personalized interactions, and connected experiences across channels re a Ree Da cesta Start Complete Exam Preparation reais Practice macs cad eso iesieacoag ea eee Download App Question3 View this Question Online > Which of the following isnota characteristic of the business-to-business arena ? 1 ga2. Wide geographic spread 3. Lowaverage spend per customer 4, Complex buyer behaviour Answer (Detailed Solution Below) Option 3: Low average spend per customer Customer Relationship Management (CRM) Question 8 Detailed Solution on, of isnot a characteristic of the business-to-business arena. + Lowaverage spend per customer refers to the expenses incurred by each of the customer. + Since, in aB2B business most of the customers are large and the amount spent over purchase is also high. Thus, alow average is not the feature of the E2B arena, De Ae al RCD R See a Start Complete Exam Preparation read Practice Pa ac DS Cier ey reson Exons. Download App Questions View this Question Online > What is the name of the data visualization tool that depicts a logical arrangement ofkey words within a textual content? The size ofeach word in the depiction usually indicates the frequency orimportance of the word. 1, Heat Map 2. Meta TagSenet Reirson PP 4, Word Cloud Answer (Detailed Soluition Below) Option 4: Word Cloud Customer Relationship “C Question 9 Detailed Solution Key-Points se ¢2 List - 1 + AHeat Map is 2 graphical representation of data that usesaHeat Map| color-coding system to represent different values. + The main purpose of Heat Maps is to better visualize the volume of locations/events within a dataset assist) in directing viewers towards areas on data visualizations that matter the most + They are extremely versatile and efficientin drawing attention to the trend. Meta \Tag + Meta tags are snippets of text that describe a page's content. + The meta tags don’t appear on the page itself, but only in the source code of the page. + Meta tags are just little content descriptors that help in telling the search engines what aweb page is about + Meta tags only exist in HTML, usually at the head of the page, and thus are only visiole to search engines. IDendrogralit + Adendrogramis a type of tree diagram representing hierarchical clustering - relationships between a similar set of data + Theyare used more often in biology to show clustering between samples or es, but they can represent any grouped data + Adendrogram can be a column graph, row graph, circular, or can have ¢ fluid shape as well Word Cloud + Aword cloud (or a tag cloud) is the name of the data visualization tool that depicts a logical arrangement of keywords within the textual content. + Tags are usually single words, and the size of each word in the depiction usually indicates the frequency or importance of the word. + Theycan also provide insights when comparing two texts against each other, like product reviews or political speeches Therefore, Word Cloud is the name of the data visualizationtool that depicts a logical arrangement of keywords within textual content. The size of each word in the depictionusuallyMSE eee Ee ee et es ee Sere see cee: & PGR ae Rac ui) CORR eS eonas Start Complete Exam Preparation Pay feed Mock Tests iets een Feri Question 10 View this Question Online > In a CRM system, if the hypothetical retention rate is 1.0, then the survival rate at the end of the 34 year is 1, 0.0 2. 0.25 4.05 ~ Atiswer (Detailed Solution Below) Option 3:1.0 Customer Relationship Management (CRM) Question 10 Detailed Solution CB key-Points Customer retention rate: + Customer retention rate measuresthe number of customers a company retains over a given period of time. + It's expressed as a percentage of a company's existing customers who remain loyal within that specific time frame.* FOrexample if ¢ company starts wii 1UU customers aid roses (U of tiem means tad ie customer retention rate is 9096 of 0.9. + Monitoring the retention metrics is critical for a business to understand lifetime customer value and to quanitfy the efficacy of its customer service program or marketing strategy. i + The retention rate can be determined by three simple pieces of information « The number of existing custarners at the start of the time period (6) « The number of total customers at the end of the tme period (© « The number of new customers added within the time petiod(N) + Customer retention rate (CRR) formula: {(E-MI/S] x 7100 = CRR Chum rate and Survival rate: + Churnrate is simply the ine RBa goer retention rate, + For example, if the customer retention rate is 90% or 0.9 then the churn rate will 10% or O.1 + Customer churn rate formula: (Churned customer / Original number of customers) x 100. + The survival rate is the percentage of customers that stayed during a given period of time. + The survival rate can be calculated by 100% minus the churn rate. Solution: + As mentioned in the question, the retention rate is 1.0 i.e, 100%; which means the churn rate is 0.0 ie. 0%. + Thus the survival rate will be 700% minus the churn rate i.e. (100 - 0) = 100% or 1.0. Therefore, in a CRM system, if the hypothetical retention rate is 1.0, then the survival rate at the end of the 3 year is 1.0. India's #1 Learning Platform Oey ctr Start Complete Exam Preparation ce ala hoes Posh es rei s Download App Execs Question 11 View this Question Online > In case of CRM, what does RF stand forin RFM model? 4, Recency Frequency 2. Right Field3. Radio Frequency CGY ¢ . 4, RecentFingncials . oO Answer lution Below) tion 1: RecencyFrequency Customer Relationship Management (CRM) Question 11 Detailed Solution Customer Relationship Management (CRM) is a process of managing a company's interactions and relationships with custorners and potential customers. Okey RFM Mod Points + RFM is an abbreviation of Recency, Frequency, Monetary Value. + RFM isa marketing analysis tool that helps to identify an organization's best customers by using a few measures, + The concept of recency, frequency, the monetary value was first published in an article by Jan Roelf Bult and Tom Wansheek, "Optimal Selection for Direct Mal + RFM model supports the marketing adage that '80% of the business come from 20% of the customers’. RFM Metrics @ || © RECENCY FREQUENCY MONETARY The freshness of The frequency The intention of customer the customer activi, of the customer 'o spend or purchasing vert purtasesorvets | | ansaions ort ower of cusomer © Eg Time since last Eg. Total umber of order orlast engaged | | transactons or average E.g,Totalor average wit the product hime between transactions transactions value e REM model is based on three quantitative factors! se \ 6° 1, Recency: + The more recently a customer has made the chance that they will continue to ke: and brand in mind for subsequent purchases, + Compared to the customers not purchased fram the businessin months or even longer periods, the likelihoo: ing with recent customers is higher. 2. Frequency: a Na re cot se ea nenNg See van gts Iowa TE AE EDD ae heed eg product « The frequency of the customer's transaction can be affected based on the factors such as the type of praduct, the price point of the product, and the need for replacement or replenichment 3, Monetary Value: « Monetary value refers to the amount of expenditure the customers meke with the business during their transactions, © Here, @ natural indination ist encourage customers who spend the most meney to continue to do so. + With the help of these three factors of the RFM model, firms are able to reasonably predict which customer is more likely to make purchases again, how much revenue could be generated from new customers, and how to turn occasional buyers into habitual ones. Therefore, in the case of CRM, RF in the RFM modelstands for Recency, Frequency. eee ae a nero) Ra Oe otros Start Complete Exam Preparation ieee ar Gs Ds cieoy ced eats Download App Question 12 View this Question Online > The Dendrogram tool is a tool used in CRM in conjunction with which of these methodologies? +. Discriminant Analysis > 2, Cluster Analysis > 3. Regression 4, Pareto Analysis -» (Detailed Solution Below) Option 2: Cluster Analysis me ee psCp Key-Points Dendrogramtool: + Dendrograrn for clustering retail items \s a tool used in customer relationship management (CRM) for implementing homogeneousschemesior all the items in one cluster. + In agglomerative hierarchical clustering dendrograms are developed based on the concept of distance’ between the entities or, groups of entities. + These entities maybe the customers, retail items, businessunits, etc. asper the business problem a B D | Dendrogram -| ; € Z E r] mr : JAB ¢ OE F + In the above exemple, we can see that E and F are’ most similatas the height of the link that joins ther together is the smallest m + The next two most similar objects are A and B,. +The dendrogram tool is also used in CRM in conjunction with Cluster Analysis as represented below: ACB iC O:E-F + Here, observations are allocated to dusters by drawing a horizontal line through the dendrogram + Observations that are joined together belowthe line are in clusters. + In the example above, we have two clusters, + One cluster combines A and B, and a second cluster combines C, D, E, and F, Therefore, the Dendrogramtool is a tool usedin CRM in conjunctionwith Cluster Analysis methodology.Sela efey ii) Cle LL) Tole arc mac lee rasen eres Download App Question 13, View this Question Online > The value that is obtained froma customer's positive word of mouth through which one can get additional customer is called 1, Customer Frequency Value 2. Customer Life Time Value 3, Customer Click Through Value 4, Customer Referral Value Answer (Detaled Solution Below Option 4: Customer Referral Value Customer Relationship Management (CRM) Question 13 Detailed Solution List - 1[Customer BE Bg re nee ae a ema en a ORO the number of times a customer has made a purchase from an organization. + It is an integral part of the trilogy called Recency, Frequency, Monetary Value (RFM). Frequency. The frequency of a customer's \Value transactions may be affected by factors such as the type of product, the price point for the purchase, and the need for replenishment or replacement, ‘Customer Lite Time Value + Customer Life Time Value (CLTV) is the present value of future cash flows of ¢ customer contributed towards a business over the entire lifetime of a company. + It is an important metric used by marketing managers while making decisions regarding sales, marketing, product development, and customer support. + Ideally, lifetime value should be greater than the cost of acquiring a customer. Customer IClick- [Through Value + Customer Click Through Rate relersto the ratio of the number of customers exposed to alink ona specific website page or in an email who clicks the link and visits the advertisement of the product or service + This technique is primarily used by digital marketers to quantify the success and effectiveness of an email or advertising campaign.customer's positive word of mouth through which one can get an additional customers is called Customer Referral Value (CRY). CRV requires rigorous, time- intensive methodology, asit must be determined by how many reierralsa customer will make when directly prompted, usually through incentive offered by the firm: CRV helps in determining which customers should be targeted for word of mouth and referral campaigns, Therefore, the value that is obtained from a customer's positive word of mouth through which one can get additional customer is called Customer Referral Value (CRV). & eee Sena Start Complete Exam Preparation Pad mara) (erreurs Brae D> Download App Question 14 View this Question Online > In a CRM database, a set of information stored in a row of the database and pertaining to one customer is called! 1. Cluster 2. Record 3. Factor 4, Flow Answer (Detailed Solution Below)Option 2: Record Customer Relationship Management (CRI Customer Relationship Managem: relationships with customers and pot Oxs0° ion 14 Detailed Solution t is a process of managing a company's interactions and customers,List List - II + The cluster function is widely used in CRM. + It provides businessinsights that enable firms to offer specific, personalized services and products to their Icister customers. * Clustering is used in a commercial environment for Cross-marketing, cross-| selling, deciding media, understanding other goals, etc + Ina CRM detabase, a set of information stored in a row of the database and pertaining to one customer is called Record. + A customer record holds critical data Rebord about a customer including the standard data such as name, order data, billing information, and credit information. + In CRM, factors are agents or representatives that help in achieving organizational goals. + People, processes, and technology are the three most important factors of cRM It is essential to ensure that the process is in place and accounts for the people involved in the orgenization before selecting the right technology. IFagtor + IN CRM, the flow sterts from typically capturing new leads, and the sales team will then work on these new leads and try to close the deal. Flow * It can be done by using CRM features like events, tesks, email marketing reminder and quotes, etc + Upon close, the CRM flow then moves to projects and operations, Therefore, in a CRM database, a set of information stored in a row of the database and pertaining to one customer is calledRecord.PU see Relea) Start Complete Exam Preparation CC a So Wau ered Giese Question Bank Download App Question 15, View this Question Online > The CRM Strategy adopted by Big Bazar in India is all about 4, Frequency Marketing Program 2. Club Membership Pragram _ Relationship Program 4, Experiential Relationship Program Answer (Detailed Solution Below) Option 1: Frequency Marketing Program Customer Relationship Management (CRM) Question 15 Detailed Solution Customer Relationship Managementor CRMis a business approach that uses information about the customers to create a lengasting customer relationship. CRM tekes technology, data, marketing, and all the communication processinto consideration across all custorner interaction points. CRMis en effective business strategy for any business organization, + The frequency marketing programis long-term sales program for the customers. It helps in repeated purchasing by developing commitment and loyalty from the customer base. + Frequency marketing is also known asa loyalty program. + These programs are popular in grocery stores as they offer discounts to their customers, it attracts the customers by giving them a chance to accumulate the points and later redeern those points with some rewards, + Loyalty programs are also used by departmental stores, bookstores, home centers, and other local shops. + CRM strategy adopted by Big Bazaris all about Frequency Marketing Program. ~Experiential Relationship Program + It is also known as XRMis a method of managing the personalized experiences that a compeny delivers to its customers. + The four main pillars of an experiential relationship program are + Providing unique experiences © Offering person to person connection « Creating a personalized relationship » Managing experiences at scele