MAC Customer Insights 2 — Questions and Answers
Question 1: Which technique segments customers based on their most recent purchase, purchase frequency, and total spend?
- Cluster analysis
- RFM analysis (Correct answer)
- Conjoint analysis
- CHAID analysis
Correct answer: RFM analysis
RFM (Recency, Frequency, Monetary) analysis segments customers using three behavioral dimensions to identify high-value segments.
Question 2: A company finds that customers who buy product A also tend to buy product B. Which analytical method uncovered this relationship?
- Regression analysis
- Market basket analysis (Correct answer)
- Factor analysis
- Survival analysis
Correct answer: Market basket analysis
Market basket analysis (association rule mining) identifies products frequently purchased together to reveal cross-sell opportunities.
Question 3: What is the primary purpose of a customer journey map in marketing analytics?
- To calculate customer lifetime value
- To visualize touchpoints and pain points across the customer experience (Correct answer)
- To segment customers by demographics
- To forecast future purchase behavior
Correct answer: To visualize touchpoints and pain points across the customer experience
Customer journey maps document each interaction a customer has with a brand, highlighting friction points and opportunities for improvement.
Question 4: Voice of the Customer (VoC) programs primarily collect data through which method?
- Web server logs
- Transactional databases
- Surveys, interviews, and feedback forms (Correct answer)
- Clickstream analysis
Correct answer: Surveys, interviews, and feedback forms
VoC programs capture customer opinions, expectations, and preferences directly through surveys, interviews, focus groups, and feedback channels.
Question 5: Which metric measures the percentage of customers who continue using a product or service over a given period?
- Churn rate
- Retention rate (Correct answer)
- Conversion rate
- Engagement rate
Correct answer: Retention rate
Retention rate measures the proportion of customers who remain active customers from one period to the next.
Question 6: A marketer wants to understand the emotional drivers behind customer purchases. Which research approach is most appropriate?
- A/B testing
- Cohort analysis
- Ethnographic research (Correct answer)
- Log-linear modeling
Correct answer: Ethnographic research
Ethnographic research observes customers in their natural environment to uncover deep emotional and behavioral motivations that surveys may miss.
Question 7: What does 'share of wallet' measure in customer insight analysis?
- The percentage of a customer's total spending in a category that goes to your brand (Correct answer)
- The proportion of revenue from top-tier customers
- The average order value per customer
- The share of a customer's social media activity mentioning your brand
Correct answer: The percentage of a customer's total spending in a category that goes to your brand
Share of wallet quantifies how much of a customer's total category spending is captured by your brand versus competitors.
MAC Customer Insights 2
Which technique segments customers based on their most recent purchase, purchase frequency, and total spend?