Question 1

What three elements should be used as the basis for designing customer service programs?

Accepted Answer

Pretransaction, transaction, and posttransaction are the essential elements of designing customer service programs. Pretransaction involves providing information to customers and answering their queries before purchase. Transaction looks at the post-purchase experience of the customer, including payment methods, ease of purchase, and delivery. Posttransaction is about providing after-sales service such as maintenance, warranty, and repair services. These three stages are crucial in delivering exceptional customer service.

Question 2

Which of the following is an example of a posttransaction service offered by retailers?

Accepted Answer

Delivery is a post-transaction service offered by retailers as it occurs after the purchase has been made and ensures that the customer receives their products.

Question 3

Which of the following is an important factor to consider when determining the service level to be offered by a retailer?

Accepted Answer

Target market income is an important factor to consider when determining the service level to be offered by a retailer as it affects their purchasing power and expectations for service. If the target market has a higher income, they may expect a higher level of service and attention to detail. It's crucial to match the service level with the expectations of the target market. The other options listed may be important considerations but are not as directly related to determining the level of service to be offered.

Question 4

Nordstrom's return policy to "Replace anything on demand,no matter how expensive,no questions asked," is an example of a:

Accepted Answer

Nordstrom's return policy is a posttransaction service, as it addresses customer concerns after the purchase has been made. This policy also enhances the store's reputation for high-quality customer service, which contributes to its price image.

Question 5

_____ retailing includes all the activities designed to attract,retain,and enhance customer relationships.

Accepted Answer

Relationship retailing focuses on building strong relationships with customers through strategies such as loyalty programs, personalized marketing, and exceptional customer service. The goal is to create a long-term relationship with the customer, leading to increased retention, repeat business, and positive word-of-mouth marketing. The other choices do not specifically refer to customer relationship building.

Question 6

Dorothy Lane Market offers weekly cooking classes.These demonstrations are an example of the retailer providing its customers with:

Accepted Answer

The cooking classes offered by Dorothy Lane Market are informational aids as they provide customers with knowledge and skills related to cooking and food preparation.

Question 7

The three basic tasks of retailing are:

Accepted Answer

The three basic tasks of retailing are getting consumers from your trading area into your store, converting these consumers into loyal customers, and doing so in the most efficient manner possible. These tasks can be achieved through strategies such as effective advertising and marketing, competitive pricing, offering a personalized customer experience, and efficient inventory management. Store credit and frequent buyers programs may be additional strategies, but they are not the core tasks of retailing.

Question 8

A retailer ensures that customers are able to locate a needed item by having proper in-store signage,displays,helpful employees,and a well-designed layout.This is an example of:

Accepted Answer

The answer of A retailer ensures that customers are able...

Question 9

A retailer seeks to ensure that the indoor temperature is within the highest standards of comfort.This policy is an example of:

Accepted Answer

The answer of A retailer seeks to ensure that the...

Question 10

High-performance retailers can develop programs to attract,retain,and enhance relationships with their customers by offering _____ benefits.

Accepted Answer

High-performance retailers can attract, retain and enhance relationships with their customers by offering financial and social benefits. Financial benefits can include discounts, loyalty programs, reward points, cashback, and store credit. Social benefits can include personalized shopping experiences, invitations to exclusive events, dedicated customer service, and social media engagement. By offering both financial and social benefits, retailers can create a strong connection with their customers, increasing customer loyalty and advocacy.

Question 11

Which of the following statements is FALSE regarding the service level a retailer should offer its customers?

Accepted Answer

It is not relatively easy for retailers to determine the optimal number and level of customer services to offer as it depends on various factors such as customer preferences, competition, location, and store size/type. It requires careful analysis and research to determine the appropriate level of customer service to offer.

Question 12

A retailer of luxury products offers personal shopping,free gift wrapping,and free delivery.The retailer is most likely considering which factor when determining the customer services offered?

Accepted Answer

The answer of A retailer of luxury products offers personal...

Question 13

All of the following EXCEPT _____ are transaction services that retailers should offer customers.

Accepted Answer

The answer of All of the following EXCEPT _____ are...

Question 14

Nordstrom offers its customers a free dress shirt if it is ever out of stock on any of the basic sizes.This policy is an example of:

Accepted Answer

The policy offered by Nordstrom is related to merchandise management as it ensures that the basic sizes are always in stock and if not, a free dress shirt is provided to the customers. This helps in ensuring customer satisfaction and managing inventory.

Question 15

If a retailer cannot offer the same services as its competitors:

Accepted Answer

If a retailer cannot offer the same services as its competitors, offering lower prices can be a competitive strategy to attract customers by providing value in a different way.

Question 16

A transient customer is a consumer who:

Accepted Answer

The answer of A transient customer is a consumer who:
...

Question 17

_____ are services provided to customers after they have purchased merchandise or services.

Accepted Answer

Posttransaction services refer to the services provided to customers after they have made a purchase. These services can include installation, repairs, maintenance, and customer support.

Question 18

_____ are services provided to the customer prior to entering the store.

Accepted Answer

Pretransaction services are those that are provided to customers before they enter the store or make a purchase. This can include things like information about products or services, assistance with finding the store or parking, or help with placing an order online.

Question 19

When service meets or exceeds customers' expectations,it is said to be _____ service.

Accepted Answer

When a service meets or exceeds customers' expectations, it is considered high-quality. Top-notch and exemplar are synonyms for high-quality and could also be acceptable choices, but "100 percent guaranteed" and "high-performance" do not necessarily connote quality.

Question 20

Which of the following activities is NOT a transaction service?

Accepted Answer

Convenient hours are not a transaction service but rather a convenience factor that may attract customers to a business. The other options listed all involve completing a transaction or facilitating a purchase in some way.

Quiz 12: Customer Service and Retail Selling