ESB Customer Relationship Management 2

Question 1

What is 'customer segmentation' in CRM?

Accepted Answer

Dividing customers into groups based on shared characteristics to tailor marketing efforts

Answer

Separating internal departments by customer type

Answer

Splitting the company budget by number of customers

Answer

Assigning each customer to a single salesperson

Question 2

Which of the following best describes 'customer retention'?

Accepted Answer

Keeping existing customers engaged and continuing to buy

Answer

Attracting new customers through advertising

Answer

Storing customer data in a secure database

Answer

Tracking customer complaints in a log

Question 3

An entrepreneur sends personalized birthday discount emails to customers. This tactic primarily supports which CRM objective?

Accepted Answer

Customer loyalty and engagement

Answer

Lead generation

Answer

Inventory management

Answer

Competitive benchmarking

Question 4

What is 'churn rate' in a subscription-based small business?

Accepted Answer

The percentage of customers who cancel or stop using the service in a given period

Answer

The rate at which new customers sign up per month

Answer

The number of complaints received per 100 customers

Answer

The average time between customer purchases

Question 5

Which type of loyalty program rewards customers based on the total amount they spend over time?

Accepted Answer

Tiered rewards program

Answer

Referral program

Answer

Points-based program

Answer

Cashback rebate program

Question 6

What does 'upselling' mean in the context of customer relationship management?

Accepted Answer

Encouraging a customer to purchase a higher-end or upgraded version of what they intend to buy

Answer

Offering a cheaper alternative product to a hesitant customer

Answer

Selling products at a discount to clear inventory

Answer

Providing free samples to attract new customers

Question 7

Which of the following is an example of proactive customer service?

Accepted Answer

Notifying customers of a product delay before they discover it themselves

Answer

Responding to a complaint after it is submitted

Answer

Waiting for customers to call with questions

Answer

Offering a refund only when a customer demands it