5380 final

By adding the modeling component, organizations can enhance data mining by making it

A, B, and C

A data mart would usually be accessed by:

All of the above

Concurrent with the LDM process, business owners must address

All of the above

______ is not a challenge to data mining.

Fraud detection

______ implies that the organization fully discloses its information practices prior to obtaining personal data or permission to use it.

Informed Consent

____ emphasize lists, offers, and creative programs.

Mass communication environments

______ is the act of using information gathered from a person's web activity to gain an understanding of that person's needs and using that knowledge to promote to the person.

Online profiling

A Radio Frequency Identification application would most likely interface with a (an)

Operational Data Store

A marketer monitoring a one day promotion would be accessing a (an)-

Operational data store

A POS transaction would probably update databases in the following sequence

Operational data store, data warehouse, data mart

_____is an option that requires a consumer's explicit consent for the use and disclosure of personal information beyond the original purpose for which it was collected.

Opt in

____ is not a data mining activity.

POS sales transmission

______ is the art of tricking people into divulging confidential information.

Phishing

____ is not a statistical method.

RFM

Cluster analysis would not include _____ as a variable category.

Scalable

Useful measures of customer acquisition do NOT include which of the following?

Share of category

Which of the following "can be defined as an online mass collaboration environment where content is created, posted, enhanced, discovered, consumed and shared, participant to participant, without a direct intermediary"?

Social Media

A logical data model is a blueprint to be used in the creation of a physical database.

True

A major data mining challenge is organizational obstacles to attaining the data necessary for analysis.

True

An ancillary benefit of data mining is identification of unusual customer activity.

True

An operational data store is designed for quick read/write access on demand.

True

Company "3E" CRM effectiveness measures consist of company efficiency, effectiveness and employee behavior.

True

Customer equity can be defined as the sum of CLVs of all the company's individual customers less company expenditures discounted to a net present value.

True

Data marts are subsets of a data warehouse.

True

Decision trees are structured like a tree, where leaves represent classifications and branches represent conjunctions of features that lead to these classifications.

True

Different effectiveness measures are needed for company CRM efforts focusing on acquiring new customers than efforts focusing on cross-selling and up-selling to current customers.

True

Most data mining efforts use a data mart as their source for data and information.

True

Organizations in the financial services industry are very proficient in data mining techniques.

True

Regression analysis and correlation are statistic methods that can be used as part of a data mining process.

True

The survival rate is the number of customers remaining between the formation of a cohort and any point in time afterward.

True

Which of the following consists of "a social network of individuals interacting and focusing around a particular interest and sharing information"?

Virtual Community

Company 3E measures of CRM effectiveness include

employee behavior.

Critical incident analysis

is built upon specific items or a single behavior.

The drivers of relationship equity are

loyalty and commitment.

____ is unsolicited "junk" e

mail containing advertising or promotional messages sent to large numbers of people-Spam

Customer Equity is the CLV

of all the company's customers less company expenditures discounted to a net present value.

The drivers of value equity are

price, quality, and convenience.

Cluster analysis uses three key variables as part of its process: recency, frequency and monetary.

False

Data mining has many benefits, but the ability to create new differentiation strategies is not one of them.

False

Fuzzy logic is not a data mining method.

False

Real-time and online processing capabilities cannot be present in a database marketing environment.

False

The maintenance ratio is the cost involved in maintaining customer relationships divided by total CRM expenditures.

False

______ is an example of a privacy seal program.

BBBOnline

_______ is an example of a data mining process.

Browsing information in search of patterns and anomalies

A key executive title responsible for ensuring adherence to a privacy strategy is:

CPO

___ is the process of placing customers into groups such that everyone in the group has similar traits.

Clustering

To raise money or contributions over the internet is called:

Crowdfunding

Data mining usually accesses a ________ for its source of information

Data mart

A Logical Data Model (LDM) is required before building a (an)

Data mart, data warehouse, or operational data store

An emphasis on the individual customer dialogue and segmentation is indicative of a (an)

Database marketing environment

A _____ can be learned by splitting the source set into subsets based on an attribute value test.

Decision Tree

The _____ is a list of phone numbers from consumers who have indicated their preference to limit the telemarketing calls they receive.

Do-Not-Call Registry

_____is not a common data mining method.

ERP

A good privacy policy would include all of the following except:

Executive contact information

A data warehouse is designed to contain a limited amount of information.

False

A data warehouse uses business rule software to update the operational data store on a periodic basis

False

As companies lose customers, their customer satisfaction scores fall.

False

Campaign management software is used to access an operational data store.

False

Company 3E measures would NOT include which of the following?

all are 3E measures

A simple but effective way to measure customer satisfaction is to

ask consumers if the product or service was above, below, or about what was expected.

A specific aspect of service, or a single behavior or characteristic of the service or product, which is used to measure service quality, is referred to as

critical Incident Analysis.

Defection curves

depict the relationship between company profits and changes in customer defection rates.

Data available in membership profiles and the ability to market to networks of "friends" make which of the following efforts even more attractive?

segmentation

Useful measures of customer acquisition do NOT include which of the following?

share of category

All of the following are company-specific reasons to use social networking EXCEPT-

to engage with customers in new ways.

All of the following are customer-orientated reasons to use social networking EXCEPT-

to raise money or contributions.

All of the following are tactical reasons to use social networking EXCEPT

to reach segments such as "influencers," opinion leaders, and high "clout" scorers.

An acquisition/defection matrix indicates

who a company is losing their customers to and gaining them from.