CEC Customer Retention & Loyalty Programs 3

Question 1

An ecommerce brand wants to re-engage lapsed customers who haven't purchased in 6 months. Which campaign type is MOST appropriate?

Accepted Answer

Win-back campaign with a personalized incentive

Answer

Win-back campaigns specifically target lapsed customers with personalized messaging and incentives designed to reignite purchase intent.

Question 2

Which loyalty program structure rewards customers for non-purchase actions like reviews, social shares, and referrals?

Accepted Answer

Engagement-based rewards program

Answer

Engagement-based programs reward a variety of brand interactions beyond purchases, deepening customer involvement and advocacy.

Question 3

What does 'churn rate' measure in ecommerce?

Accepted Answer

The percentage of customers who stop purchasing within a given time period

Answer

Churn rate quantifies customer attrition, helping businesses understand how quickly they are losing their customer base.

Question 4

A fashion retailer sends birthday discount emails to loyalty members. This is an example of which retention strategy?

Accepted Answer

Lifecycle marketing

Answer

Lifecycle marketing delivers relevant communications triggered by specific moments in the customer's personal timeline or purchase journey.

Question 5

Which of the following BEST describes a 'coalition loyalty program'?

Accepted Answer

Multiple brands partnering to offer a shared loyalty currency redeemable across all partners

Answer

Coalition programs pool multiple brands' loyalty offerings, giving customers more redemption options and incentivizing cross-brand purchases.

(CEC) Certified Ecommerce Consultant Practice Test