CCRM CRM Technology 2 — Questions and Answers
Question 1: Which CRM deployment model gives a company the most control over data security and customization?
- Cloud-based CRM
- On-premise CRM (Correct answer)
- Hybrid CRM
- Mobile CRM
Correct answer: On-premise CRM
On-premise CRM is hosted on the company's own servers, giving maximum control over security, customization, and data governance.
Question 2: What is the primary purpose of a CRM system's lead scoring feature?
- Assign a numerical value to prospects based on their likelihood to convert (Correct answer)
- Track the number of leads generated per campaign
- Score customer satisfaction after a sale
- Rank sales representatives by performance
Correct answer: Assign a numerical value to prospects based on their likelihood to convert
Lead scoring assigns numerical values to prospects based on demographic data and behavioral signals to prioritize follow-up efforts.
Question 3: In CRM technology, what does 'workflow automation' primarily accomplish?
- Manually routes tasks to team members
- Triggers predefined actions based on specific events or conditions (Correct answer)
- Generates financial reports automatically
- Backs up the database on a schedule
Correct answer: Triggers predefined actions based on specific events or conditions
Workflow automation triggers predefined sequences of actions—such as sending emails or assigning tasks—when specific conditions are met.
Question 4: A sales manager wants to see all opportunities expected to close this quarter and their probability. Which CRM feature should she use?
- Customer timeline view
- Sales pipeline/forecast report (Correct answer)
- Activity log
- Contact deduplication tool
Correct answer: Sales pipeline/forecast report
A sales pipeline or forecast report aggregates open opportunities by close date and probability, giving managers visibility into expected revenue.
Question 5: What distinguishes a CRM's 'contact' record from an 'account' record?
- Contacts store transaction history; accounts store personal details
- Contacts represent individual people; accounts represent organizations or companies (Correct answer)
- Accounts are for prospects; contacts are for existing customers
- Contacts are internal employees; accounts are external vendors
Correct answer: Contacts represent individual people; accounts represent organizations or companies
In CRM systems, a contact is an individual person, while an account represents the company or organization they belong to.
Question 6: Which integration type allows a CRM to automatically log inbound and outbound emails against contact records?
- ERP integration
- Email client integration (Correct answer)
- Social media integration
- Telephony CTI integration
Correct answer: Email client integration
Email client integration (e.g., Outlook or Gmail plugins) automatically captures emails and links them to the relevant CRM contact or deal record.
Question 7: A CRM reports a high 'customer churn rate.' What does this metric indicate?
- Many new customers were acquired this period
- A large percentage of existing customers stopped doing business with the company (Correct answer)
- Customer satisfaction scores are rising
- Sales cycle length is decreasing
Correct answer: A large percentage of existing customers stopped doing business with the company
Churn rate measures the percentage of customers who discontinue their relationship with the company over a given period, signaling retention issues.
CCRM CRM Technology 2
Which CRM deployment model gives a company the most control over data security and customization?