Chapter 9 - Customer Relationship Management (CRM) Flashcards Preview

Marketing 2210 > Chapter 9 - Customer Relationship Management (CRM) > Flashcards

Flashcards in Chapter 9 - Customer Relationship Management (CRM) Deck (18)
Loading flashcards...
1

Customer relationship management (CRM)

A system that gathers information about customers that can help to build customer loyalty and retain those loyal customers.

2

Data mining

An analytical process that compiles actionable data on the purchase habits of a firm's current and potential customers.

3

Customer-centric

A philosophy under which the company customizes its product and service offerings based on data generated through interactions between the customer and the company.

4

Learning (CRM)

In a CRM environment, the informal process of collecting customer data through customer comments and feedback on product or service performance.

5

Knowledge management

The process by which learned information from customers is centralized and shared for the purpose of enhancing the relationship between customers and the organization.

6

Empowerment

Delegation of authority to solve customers' problems quickly - usually by the first person who learns of the customer's problem.

7

Interaction

The point at which a customer and a company representative exchange information and develop learning relationships.

8

Touch points

All possible areas of a business where customers have contact with that business.

9

Point-of-sale interactions

Communications between customers and organizations that occur at the point of sale, usually in a store.

10

Data warehouse

A central repository of data from various functional areas of the organization that are stored and inventoried on a centralized computer system so that the information can be shared across all function departments of the business.

11

Database

An organized system of data collection that allows for assessment, usually by computer.

12

Response list

A customer list that includes the names and addresses of individuals who have responded to an offer of some kind, such as by mail, telephone, direct-response television, product rebates, contests, or sweepstakes, or billing inserts.

13

Compiled lists

Customer lists that are developed by gathering names and addresses gleaned from telephone directories and membership rosters, sometimes enhanced with information from public records, such as census data, auto registrations, birth announcements, business start-ups, or bankruptcies.

14

Recency-frequency-monetary (RFM) analysis

The analysis of customer activity by recency, frequency, and monetary value.

15

Lifetime value (LTV) analysis

A data manipulation technique that projects the future value of the customer over a period of years by using the assumption that marketing to repeat customers is more profitable than marketing to first-time buyers.

16

Predictive modelling

A data manipulation technique in which marketers try to determine, based on some past set of occurrences, the odds that some other occurrence, such as an inquiry or a purchase, will take place in the future.

17

Campaign management

Developing product or service offerings customized for the appropriate customer segment and then pricing and communicating these offerings to enhance customer relationships.

18

CRM cycle

Marketing research --> business development --> customer support --> and so on.