MKT 372 CORRECT EXAMS ANSWERS AND
QUESTIONS SET A+
✔✔frequent-shopper programs. - ✔✔Wilbur uses Books-A-Million customer card, Kash-
N-Karry customer card, Blockbuster customer card, and Sandwich Shop customer card
when he shops at any of these retailers. Each time he uses them, he gets rewarded
with reduced cost, free merchandise, or a credit. These cards form a part of:
✔✔Frequent-shopper cards are issued on the basis of market basket analysis. -
✔✔Which of the following statements is NOT TRUE of frequent-shopper programs?
✔✔a customer loyalty program - ✔✔When customers join the Daily Needs Reward
Zone, they receive one point on every purchase they make at Daily Needs stores and
DailyNeeds.com. Reward Zone points are converted to reward certificates which can be
redeemed for merchandise at Daily Needs stores or on DailyNeeds.com. Reward Zone
Members also receive exclusive offers throughout the year and a "special reward" for
their birthday. This strategy by Daily Needs is an example of _____.
✔✔Loyalty programs - ✔✔_____ identify and provide rewards to customers who
patronize a retailer.
✔✔a loyalty program - ✔✔Airlines and credit cards that offer points for each dollar spent
are utilizing ____ for effective customer relationship management.
✔✔facilitating a faster checkout. - ✔✔Biometrics helps customers by:
✔✔privacy - ✔✔Although, having information about individual customers helps retailers
provide better services to consumers, consumers are concerned about _____.
✔✔Privacy by design - ✔✔Which of the following principles forming the basis of a new
legislation on consumer privacy encourages retailers to treat consumer privacy as their
default setting?
, ✔✔Customers cannot realize the amount of information being collected without their
knowledge. - ✔✔Which of the following is a reason for consumers to have privacy
concerns regarding cookies?
✔✔files that identify visitors when they return to a website. - ✔✔Electronic retailers can
collect transaction data for their data warehouse, but they can also collect information
by placing cookies on a visitor's hard drive. Cookies are:
✔✔Bookdreams.com placed cookies on her computer to identify her. - ✔✔When Lana
went to Bookdreams.com to look for books on health and wellness, she saw a
personalized greeting and books recommendations. The greeting and books
recommendations were based on her previous visits to the site. Which of the following
best describes how Bookdreams.com knew that Lana has accessed their site?
✔✔opt in - ✔✔When consumers explicitly agree to share personal information, the
agreement is referred to as _____.
✔✔opt out - ✔✔When consumers explicitly tell the retailer not to use their personal
information, they must _____.
✔✔Opt in - ✔✔If a U.S. retailer wants to conform to the European policies concerning
how customer information is collected, which type of policy should it adopt?
✔✔In the U.S., personal information is generally viewed as being in the public domain,
and retailers can use it in any way they desire. - ✔✔Which of the following statements
correctly describes the practices regarding customer privacy in the U.S.?
✔✔CLV is what a customer contributes to a retailer's profits over his or her entire
relationship with the retailer. - ✔✔Which of the following statements best describes a
customer lifetime value (CLV)?
✔✔Jan - ✔✔Based on the following customer purchase data, which customer would
have a higher lifetime value to the retailer?
✔✔A customer who spends $800 twice a year has a higher CLV than a customer that
spends $100 each month. - ✔✔Which of the following statements does NOT describe
how retailers use a customer lifetime value (CLV)?
✔✔Data mining - ✔✔Which of the following retail analytic applications involves the use
of search techniques to gain insights into customers' buying patterns?
✔✔RFM analysis - ✔✔_____ uses the data on recent purchases made by customers to
evaluate the potential contribution of each customer segment.
QUESTIONS SET A+
✔✔frequent-shopper programs. - ✔✔Wilbur uses Books-A-Million customer card, Kash-
N-Karry customer card, Blockbuster customer card, and Sandwich Shop customer card
when he shops at any of these retailers. Each time he uses them, he gets rewarded
with reduced cost, free merchandise, or a credit. These cards form a part of:
✔✔Frequent-shopper cards are issued on the basis of market basket analysis. -
✔✔Which of the following statements is NOT TRUE of frequent-shopper programs?
✔✔a customer loyalty program - ✔✔When customers join the Daily Needs Reward
Zone, they receive one point on every purchase they make at Daily Needs stores and
DailyNeeds.com. Reward Zone points are converted to reward certificates which can be
redeemed for merchandise at Daily Needs stores or on DailyNeeds.com. Reward Zone
Members also receive exclusive offers throughout the year and a "special reward" for
their birthday. This strategy by Daily Needs is an example of _____.
✔✔Loyalty programs - ✔✔_____ identify and provide rewards to customers who
patronize a retailer.
✔✔a loyalty program - ✔✔Airlines and credit cards that offer points for each dollar spent
are utilizing ____ for effective customer relationship management.
✔✔facilitating a faster checkout. - ✔✔Biometrics helps customers by:
✔✔privacy - ✔✔Although, having information about individual customers helps retailers
provide better services to consumers, consumers are concerned about _____.
✔✔Privacy by design - ✔✔Which of the following principles forming the basis of a new
legislation on consumer privacy encourages retailers to treat consumer privacy as their
default setting?
, ✔✔Customers cannot realize the amount of information being collected without their
knowledge. - ✔✔Which of the following is a reason for consumers to have privacy
concerns regarding cookies?
✔✔files that identify visitors when they return to a website. - ✔✔Electronic retailers can
collect transaction data for their data warehouse, but they can also collect information
by placing cookies on a visitor's hard drive. Cookies are:
✔✔Bookdreams.com placed cookies on her computer to identify her. - ✔✔When Lana
went to Bookdreams.com to look for books on health and wellness, she saw a
personalized greeting and books recommendations. The greeting and books
recommendations were based on her previous visits to the site. Which of the following
best describes how Bookdreams.com knew that Lana has accessed their site?
✔✔opt in - ✔✔When consumers explicitly agree to share personal information, the
agreement is referred to as _____.
✔✔opt out - ✔✔When consumers explicitly tell the retailer not to use their personal
information, they must _____.
✔✔Opt in - ✔✔If a U.S. retailer wants to conform to the European policies concerning
how customer information is collected, which type of policy should it adopt?
✔✔In the U.S., personal information is generally viewed as being in the public domain,
and retailers can use it in any way they desire. - ✔✔Which of the following statements
correctly describes the practices regarding customer privacy in the U.S.?
✔✔CLV is what a customer contributes to a retailer's profits over his or her entire
relationship with the retailer. - ✔✔Which of the following statements best describes a
customer lifetime value (CLV)?
✔✔Jan - ✔✔Based on the following customer purchase data, which customer would
have a higher lifetime value to the retailer?
✔✔A customer who spends $800 twice a year has a higher CLV than a customer that
spends $100 each month. - ✔✔Which of the following statements does NOT describe
how retailers use a customer lifetime value (CLV)?
✔✔Data mining - ✔✔Which of the following retail analytic applications involves the use
of search techniques to gain insights into customers' buying patterns?
✔✔RFM analysis - ✔✔_____ uses the data on recent purchases made by customers to
evaluate the potential contribution of each customer segment.
