CRM Practice

Which of the following statements about the application of CRM systems to customer qualification are true?

-An organization's goal in customer qualification is to decide whether pursuing relationships with specific customers make good business sense. -Many CRM software programs can create customized sales funnels based on specific organizational needs and sales characteristics. -Pursuing unqualified leads can be costly to a company.

Online analytical processing (OLAP) is the technology behind many business intelligence applications. Of the following, what three facts about OLAP and CRM are true?

-OLAP includes predictive what-if analysis, report generation, and forecasting. -CRM systems incorporate data mining through online analytical processing. -CRM analytics are considered a form of online analytical processing (OLAP).

From the following list, select all the departments or areas of an organization that provide customer interaction metrics.

-marketing -sales -service

A company is trying to determine why their CRM software is not generating better leads and asks you to analyze their process. Which of the following could be reasons why their CRM is not successfully generating leads? More than one answer may be correct.

-the company only has a presence on Facebook—it has no social media presence on any other platform. -the CRM is not set up to track which emails potential customers are clicking on to get to their e-commerce site.

HubSpot reported that in a recent survey of sales professionals, 92% of the participants considered sales prospecting to be the most difficult stage in the sales process.

False

Organizations can use CRM software to help them identify marketing qualified leads (MQLs).

True

How does using a CRM to track customer acquisition rates help organizations improve their future customer acquisition rates?

by revealing whether their marketing efforts are effective or require changes

What is one of the greatest risks of an organization storing customer data?

data breaches

The value that the future lifetime revenue an organization's customers will generate minus customer acquisition costs and customer retention costs is called customer

equity

One benefit of using a CRM system to segment a market (rather than another type of market segmentation tool) is that a good CRM tool

facilitates using the company's own, collected data about customers.

The concept of "share of customer" focuses on getting

the most business from the fewest customers.

A new app wants to use CRM to analyze whether a new feature would generate reliable income. Which of the following could be used to determine this? More than one answer may be correct.

-The company uses the CRM to track how many users access this new feature and how much time they spend using it. -The company uses the CRM to track how much more or less time users who access that feature spend in the app overall.

Which of the following is an example of how CRM market analytics improve the quality of customer data collection? More than one answer may be correct.

-The data that is collected from various sources is determined to be high-quality data. -Providing insight into how users interact with the CRM system allows companies to implement better data collection strategies.

Which of the following data types are qualitative data? More than one answer may be correct.

-attitude and opinion -motivation to purchase

How do CRM systems make it easier for businesses to target a market segment? More than one answer option may be correct.

-by providing a variety of analytical tools, including some for identifying and understanding the target market -by collecting data from customer transactions, which can be used for target market identification -by helping organizations precisely identify their target markets and best utilize resources when marketing to potential and existing customers

The design of a CRM system that collects data on customer interaction should include which of the following elements?

-customer interaction monitoring -information on individual customers -automation factors

Describe how organizations use CRM systems to utilize social media. More than one answer may be correct.

-incorporate social media data into stored customer information -use customer likes and dislikes to enhance customer relationships -uncover competitor information based on customer postings

What do customer relationship management (CRM) systems help businesses to do to retain their existing customers? More than one answer may be correct.

-maintain customer engagement -provide services to customers -measure customer satisfaction

In which customer interaction instances is automated messaging especially useful? More than one answer may be correct.

-when a customer transaction warrants an initial acknowledgment -when information about task scheduling needs to be conveyed

Sales managers must identify the customer leads that best fit the company's goals. CRM assists in this aspect of a company's sales process, which is known as

customer qualification.