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CHAPTER 12

CHAPTER 12
38問 • 2年前
  • BA
  • 通報

    問題一覧

  • 1

    is an old-fashioned word that has traditionally been used to describe fidelity and enthusiastic devotion to a country, a cause, or an individual.

    Loyalty

  • 2

    business context describes a customer’s willingness to continue patronizing a firm over the long run, preferably on an exclusive basis, and recommending the firm’s products to friends and associates.

    Loyalty

  • 3

    argues that the economic benefits of customer loyalty noted above often explain why one firm is more profitable than a competitor

    Reichheld

  • 4

    describe as keeping every customer the company can serve profitably.

    Zero defections

  • 5

    popularized the term zero defections

    Reichheld and Sasser

  • 6

    can create value for individual consumers through factors such as inspiring greater confidence, offering social benefits, and providing special treatment.

    Relationship

  • 7

    are not automatically loyal to any one firm

    Customer

  • 8

    included feelings by customers that in an established relationship, there was less risk of something going wrong, greater confidence in correct performance, and the ability to trust the provider.

    confidence benefits

  • 9

    embraced mutual recognition between customers and employees, being known by name, having a friendship with the service provider, and enjoyment of certain social aspects of the relationship.

    Social benefits

  • 10

    included better prices, discounts on special deals that were unavailable to most customers, extra services, higher priority when there was a wait, and faster service than most customers.

    Special treatment benefits

  • 11

    Building customer loyalty is difficult. Just try and think of all the service firms you are loyal to. Most people cannot think of more than perhaps a handful of firms they truly like (i.e., give a high share-of-heart) and to whom they are committed to going back (i.e., give a high share-of-wallet).

    True

  • 12

    For example, Starwood Hotels & Resorts found that their top 2% of guests generated a whopping 30% of its profits! 16 Generally speaking, heavy users who buy more frequently and in larger volumes are more profitable than occasional users.

    Search for Value, Not Just Volume

  • 13

    Marketers should adopt a strategic approach to retaining, upgrading, and even ending relationships with customers. Customer retention involves developing long-term, cost-effective links with customers for the mutual benefit of both parties, but these efforts need not necessarily target all the customers of a firm with the same level of intensity.

    Manage the Customer Base Through Effective Tiering of Service

  • 14

    These customers form a very small percentage of a firm’s customer base, but are heavy users and tend to contribute a large share of the profits. This segment is usually less price sensitive, but expects higher service levels in return, and it is likely to be willing to invest in and try new services.

    Platinum

  • 15

    includes a larger percentage of customers than the platinum, but individual customers contribute less profit than platinum customers. They tend to be slightly more price sensitive and less committed to the firm.

    gold

  • 16

    These customers provide the bulk of the customer base. Their numbers give the firm economies of scale. Hence, they are important so that a firm can build and maintain a certain capacity level and infrastructure, which is often needed for serving gold and platinum customers well. However, iron customers on their own may only be marginally profitable. Their level of business is not enough to justify special treatment

    Iron

  • 17

    Customers in this tier tend to generate low revenues for a firm, but often still require the same level of service as iron customers, which turns them into a lossmaking segment from a firm’s perspective.

    Lead

  • 18

    The foundation for building true loyalty lies in ____

    customer satisfaction

  • 19

    Highly satisfied or even delighted customers are more likely to consolidate their buying with one supplier, spread positive word-of-mouth, and become loyal apostles of a firm. • In contrast, dissatisfaction drives customers away and is a key factor in switching behavior.

    true

  • 20

    occurs at low satisfaction levels. Customers will switch if switching costs are high or there are no viable or convenient alternatives. Extremely dissatisfied customers can turn into “terrorists” providing an abundance of negative word-of-mouth for the service provider.

    Zone of defection

  • 21

    found at moderate satisfaction levels. Here, customers are willing to switch if they find a better alternative

    Zone of indeferrence

  • 22

    is located at very high satisfaction levels, where customers have such high attitudinal loyalty that they do not look for alternative service providers. Customers who praise the firm in public and refer others to the firm are described as “apostle

    Zone of affection

  • 23

    often defined as combining both behavioral and attitudinal loyalty, also referred to as share-of-wallet and share-of-heart

    true loyalty

  • 24

    includes behaviors such as buying again, a high share-of-wallet, providing positive word-of mouth, and attitudinal loyalty

    behavioral loyalty

  • 25

    can be seen as a necessary but not sufficient driver of true customer loyalty.

    Satisfaction

  • 26

    used to describe customers who drop off a company’s radar screen and transfer their purchases to another supplier

    defection

  • 27

    Big customers don’t necessarily disappear overnight; they often may signal their mounting dissatisfaction by steadily reducing their purchases and shifting part of their business elsewhere.

    defection

  • 28

    STRATEGIES FOR DEVELOPING LOYALTY BONDS WITH CUSTOMERS includes: • Deepen the Relationship • Encourage Loyalty Through Financial and Nonfinancial Rewards • Build Higher-Level Bonds

    True

  • 29

    Too many service firms continue to focus on the number of customers they serve without giving sufficient attention to the value of each customer

    Search for value, not just volume

  • 30

    Acquiring the right customers often brings long-term revenues and continued growth from referrals.

    True

  • 31

    acquiring right customer can also enhance employees’ satisfaction, whose daily jobs are improved when they can deal with appreciative customers.

    True

  • 32

    can be amortized over a longer period

    acquisition costs

  • 33

    can be amortized over many years. These customer acquisition costs can be substantial and can include sales commissions, advertising and promotions costs, administrative costs of setting up an account, and sending out welcome packages and sign-up gifts

    upfront costs

  • 34

    New customers often benefit from introductory promotional discounts, whereas longterm customers are more likely to pay regular prices, and when they are highly satisfied they tend to be less price sensitive.

    True

  • 35

    customers who trust a supplier may be more willing to pay higher prices at peak periods or for express work

    true

  • 36

    As customers become more experienced, they make fewer demands on the supplier (for instance, they have less need for information and assistance, and make use of selfservice options more).

    true

  • 37

    They may also make fewer mistakes when involved in operational processes, thus contributing to greater productivity

    true

  • 38

    Positive word-of-mouth recommendations are like free sales and advertising, saving the firm from having to invest as much money in these areas.

    true

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    BA · 10問 · 1年前

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    ENUMERATION

    10問 • 1年前
    BA

    問題一覧

  • 1

    is an old-fashioned word that has traditionally been used to describe fidelity and enthusiastic devotion to a country, a cause, or an individual.

    Loyalty

  • 2

    business context describes a customer’s willingness to continue patronizing a firm over the long run, preferably on an exclusive basis, and recommending the firm’s products to friends and associates.

    Loyalty

  • 3

    argues that the economic benefits of customer loyalty noted above often explain why one firm is more profitable than a competitor

    Reichheld

  • 4

    describe as keeping every customer the company can serve profitably.

    Zero defections

  • 5

    popularized the term zero defections

    Reichheld and Sasser

  • 6

    can create value for individual consumers through factors such as inspiring greater confidence, offering social benefits, and providing special treatment.

    Relationship

  • 7

    are not automatically loyal to any one firm

    Customer

  • 8

    included feelings by customers that in an established relationship, there was less risk of something going wrong, greater confidence in correct performance, and the ability to trust the provider.

    confidence benefits

  • 9

    embraced mutual recognition between customers and employees, being known by name, having a friendship with the service provider, and enjoyment of certain social aspects of the relationship.

    Social benefits

  • 10

    included better prices, discounts on special deals that were unavailable to most customers, extra services, higher priority when there was a wait, and faster service than most customers.

    Special treatment benefits

  • 11

    Building customer loyalty is difficult. Just try and think of all the service firms you are loyal to. Most people cannot think of more than perhaps a handful of firms they truly like (i.e., give a high share-of-heart) and to whom they are committed to going back (i.e., give a high share-of-wallet).

    True

  • 12

    For example, Starwood Hotels & Resorts found that their top 2% of guests generated a whopping 30% of its profits! 16 Generally speaking, heavy users who buy more frequently and in larger volumes are more profitable than occasional users.

    Search for Value, Not Just Volume

  • 13

    Marketers should adopt a strategic approach to retaining, upgrading, and even ending relationships with customers. Customer retention involves developing long-term, cost-effective links with customers for the mutual benefit of both parties, but these efforts need not necessarily target all the customers of a firm with the same level of intensity.

    Manage the Customer Base Through Effective Tiering of Service

  • 14

    These customers form a very small percentage of a firm’s customer base, but are heavy users and tend to contribute a large share of the profits. This segment is usually less price sensitive, but expects higher service levels in return, and it is likely to be willing to invest in and try new services.

    Platinum

  • 15

    includes a larger percentage of customers than the platinum, but individual customers contribute less profit than platinum customers. They tend to be slightly more price sensitive and less committed to the firm.

    gold

  • 16

    These customers provide the bulk of the customer base. Their numbers give the firm economies of scale. Hence, they are important so that a firm can build and maintain a certain capacity level and infrastructure, which is often needed for serving gold and platinum customers well. However, iron customers on their own may only be marginally profitable. Their level of business is not enough to justify special treatment

    Iron

  • 17

    Customers in this tier tend to generate low revenues for a firm, but often still require the same level of service as iron customers, which turns them into a lossmaking segment from a firm’s perspective.

    Lead

  • 18

    The foundation for building true loyalty lies in ____

    customer satisfaction

  • 19

    Highly satisfied or even delighted customers are more likely to consolidate their buying with one supplier, spread positive word-of-mouth, and become loyal apostles of a firm. • In contrast, dissatisfaction drives customers away and is a key factor in switching behavior.

    true

  • 20

    occurs at low satisfaction levels. Customers will switch if switching costs are high or there are no viable or convenient alternatives. Extremely dissatisfied customers can turn into “terrorists” providing an abundance of negative word-of-mouth for the service provider.

    Zone of defection

  • 21

    found at moderate satisfaction levels. Here, customers are willing to switch if they find a better alternative

    Zone of indeferrence

  • 22

    is located at very high satisfaction levels, where customers have such high attitudinal loyalty that they do not look for alternative service providers. Customers who praise the firm in public and refer others to the firm are described as “apostle

    Zone of affection

  • 23

    often defined as combining both behavioral and attitudinal loyalty, also referred to as share-of-wallet and share-of-heart

    true loyalty

  • 24

    includes behaviors such as buying again, a high share-of-wallet, providing positive word-of mouth, and attitudinal loyalty

    behavioral loyalty

  • 25

    can be seen as a necessary but not sufficient driver of true customer loyalty.

    Satisfaction

  • 26

    used to describe customers who drop off a company’s radar screen and transfer their purchases to another supplier

    defection

  • 27

    Big customers don’t necessarily disappear overnight; they often may signal their mounting dissatisfaction by steadily reducing their purchases and shifting part of their business elsewhere.

    defection

  • 28

    STRATEGIES FOR DEVELOPING LOYALTY BONDS WITH CUSTOMERS includes: • Deepen the Relationship • Encourage Loyalty Through Financial and Nonfinancial Rewards • Build Higher-Level Bonds

    True

  • 29

    Too many service firms continue to focus on the number of customers they serve without giving sufficient attention to the value of each customer

    Search for value, not just volume

  • 30

    Acquiring the right customers often brings long-term revenues and continued growth from referrals.

    True

  • 31

    acquiring right customer can also enhance employees’ satisfaction, whose daily jobs are improved when they can deal with appreciative customers.

    True

  • 32

    can be amortized over a longer period

    acquisition costs

  • 33

    can be amortized over many years. These customer acquisition costs can be substantial and can include sales commissions, advertising and promotions costs, administrative costs of setting up an account, and sending out welcome packages and sign-up gifts

    upfront costs

  • 34

    New customers often benefit from introductory promotional discounts, whereas longterm customers are more likely to pay regular prices, and when they are highly satisfied they tend to be less price sensitive.

    True

  • 35

    customers who trust a supplier may be more willing to pay higher prices at peak periods or for express work

    true

  • 36

    As customers become more experienced, they make fewer demands on the supplier (for instance, they have less need for information and assistance, and make use of selfservice options more).

    true

  • 37

    They may also make fewer mistakes when involved in operational processes, thus contributing to greater productivity

    true

  • 38

    Positive word-of-mouth recommendations are like free sales and advertising, saving the firm from having to invest as much money in these areas.

    true