SPC Customer Relationship Management 2 — Questions and Answers
Question 1: In CRM, what is a 'touchpoint'?
- A physical product demonstration
- Any interaction between a customer and a company across channels (Correct answer)
- The moment a contract is signed
- A technical support ticket
Correct answer: Any interaction between a customer and a company across channels
A touchpoint is any point of contact between the customer and the company, including emails, calls, meetings, and support interactions.
Question 2: Why is segmenting customers in a CRM system beneficial for sales professionals?
- It eliminates the need for salespeople to remember customer names
- It allows targeted messaging and strategies for groups with similar needs or behaviors (Correct answer)
- It automatically closes deals
- It reduces the total number of customers in the database
Correct answer: It allows targeted messaging and strategies for groups with similar needs or behaviors
Segmentation enables sales professionals to tailor outreach, offers, and communication strategies to specific customer groups.
Question 3: What does 'cross-selling' mean in a sales relationship context?
- Selling to customers in a competitor's territory
- Offering complementary products or services to an existing customer (Correct answer)
- Reducing a customer's subscription tier
- Transferring an account to a different sales representative
Correct answer: Offering complementary products or services to an existing customer
Cross-selling introduces related products or services that enhance the customer's existing purchase and deepen the relationship.
Question 4: A customer complaint is handled quickly and to the customer's satisfaction. According to CRM principles, what is the likely outcome?
- The customer will never complain again
- The customer's loyalty often increases beyond pre-complaint levels (Correct answer)
- The customer will demand a permanent discount
- The company's costs will rise significantly
Correct answer: The customer's loyalty often increases beyond pre-complaint levels
Research shows that effectively resolved complaints can build stronger loyalty than if no problem had occurred, known as the service recovery paradox.
Question 5: Which metric best indicates the health of a long-term customer relationship?
- Number of cold calls made per week
- Net Promoter Score (NPS) (Correct answer)
- Gross margin percentage per SKU
- Number of new accounts opened this quarter
Correct answer: Net Promoter Score (NPS)
NPS measures customers' likelihood to recommend the company, serving as a proxy for overall relationship quality and loyalty.
Question 6: What is a 'win-back campaign' in CRM?
- A contest for the top-performing salesperson
- A targeted effort to re-engage former customers who have lapsed or churned (Correct answer)
- A pricing strategy to win a competitive deal
- A training program for underperforming reps
Correct answer: A targeted effort to re-engage former customers who have lapsed or churned
A win-back campaign uses personalized outreach and incentives to re-engage customers who have stopped buying.
SPC Customer Relationship Management 2
In CRM, what is a 'touchpoint'?