Question 1

For a marketing research study to be _______, the study should accurately represent the larger population.

Accepted Answer

A representative study accurately reflects the larger population being studied, ensuring that the findings can be applied to the target audience or market. Validity refers to whether the measurement used in the study accurately measures what it intends to measure, reliability refers to the consistency of results over time, and viability refers to the feasibility of conducting the study. While these are all important considerations in research, the requirement for accurate representation of the population is best captured by the idea of a representative study.

Question 2

In order to collect internal market information, companies may use marketing databases, CRM systems and _______ analysis.

Accepted Answer

Website analysis is a tool for collecting internal market information. It helps companies understand how users interact with their website, which can provide insights into customer preferences and behavior. Marketing databases and CRM systems are also used for gathering and analyzing customer data, making website analysis a complementary method for internal market information collection.

Question 3

_______ schemes are a very useful means of collecting data about customers: their types of purchases, frequency of purchase, purchase value and responsiveness to promotional offers.

Accepted Answer

Loyalty schemes are designed to reward customers for repeat purchases and encourage them to continue shopping with a particular brand or retailer. As part of the program, customers often provide personal data that can be used to analyze their buying behavior and preferences, which can inform targeted marketing campaigns and improve the overall customer experience. Retail and brand schemes may also collect customer data, but loyalty schemes are specifically designed for data collection and analysis. Collection schemes are not a commonly used term in this context.

Question 4

A CRM system has allowed many companies to find that they are subject to the Pareto principle, that is, that 80 percent of their profits may come from _______ percent of their customers.

Accepted Answer

The Pareto principle, also known as the 80/20 rule, suggests that 80 percent of results come from 20 percent of causes. In this case, the question is asking about profits from customers, so the best choice is A, which suggests that 80 percent of profits come from 20 percent of customers.

Question 5

One of the ethical criticisms of marketing research is _______ which refers to the practice of selling in the guise of marketing research.

Accepted Answer

Sugging (Selling under the Guise of Market Research) involves using the guise of marketing research to sell products or services. It is an unethical practice as it deceives the participants and violates their privacy. Slugging, lugging, and mugging are irrelevant terms in the context of marketing research.

Question 6

Customer Relationship Management (CRM) allows firms to measure customer retention, customer _______ and customer acquisition.

Accepted Answer

Customer defection refers to the loss of customers, and is an important metric that can be measured using CRM. Customer retention and customer acquisition are the other two metrics that can be measured using CRM, which makes D the correct answer. Choices A, B, and C are not relevant to CRM metrics.

Question 7

Market research can provide valuable customer insights. Truly _______-led companies recognize that they need to always be in touch with what is happening in the marketplace.

Accepted Answer

Market research provides insights into customer behavior, preferences, and trends in the market. Companies that are market-led make decisions based on this information to stay competitive and meet customer demands. Production-led companies prioritize maximizing efficiency in the manufacturing process, product-led companies focus on developing innovative products, and sales-led companies prioritize closing deals and generating revenue.

Question 8

Customer insights can inform many aspects of company decision making, such as _______.

Accepted Answer

Customer insights can provide valuable information about customer needs, preferences and behaviors which can be used to inform product innovation and design decisions. They can also be used to create targeted advertising campaigns that will resonate with customers, leading to increased engagement and sales. Therefore, customer insights can be applied to all of the choices listed above.

Question 9

CRM is a term used to describe the methodologies, technologies and e-commerce capability used by companies to manage _______ relationships.

Accepted Answer

CRM is used by companies to manage customer relationships.

Question 10

When evaluating any marketing research study, the research validity, reliability, the sample frame and sample size and the sample's _______ should be considered.

Accepted Answer

The representativeness of the sample is important because it determines whether the findings of the study can be generalized to the larger population. Validity and reliability are also important, but they pertain more to the quality of the research design and methods used, rather than the characteristics of the sample. Responsiveness and originality are not relevant factors when evaluating a marketing research study. Accessibility can be important, but only in terms of whether the sample was accessible for recruitment and data collection.

Question 11

CRM involves the development of a single _______ with customer information which can be used to inform all staff who deal with customers.

Accepted Answer

The definition of CRM includes the development of a central database with customer information that can be accessed by all staff who deal with customers. Therefore, the best choice is C) database.

Question 12

A marketing _______ should include information on customers: types of purchases, purchase value and responsiveness to promotional offers.

Accepted Answer

A database is a collection of customer information that includes details such as types of purchases, purchase value, and responsiveness to promotional offers. This information is crucial for targeted marketing efforts and to understand and cater to the needs of different customer segments. A process, system, or scheme may relate to marketing but does not encompass this specific type of customer information.

Question 13

Sugging is _______.

Accepted Answer

Sugging is the practice of selling under the guise of marketing research. It involves using research calls or surveys to gather information about potential customers but then switches to trying to sell a product or service to the person being surveyed. This can be deceptive and unethical.

Question 14

Customer information can be provided by analyzing website behaviour. Most websites use Google _______ to monitor consumer behaviour while visiting a website.

Accepted Answer

Google Analytics is the main tool used by websites to monitor consumer behaviour while visiting a website. Glass is a type of wearable technology developed by Google, Search is used to find information on the internet, and Adwords is used for advertising purposes.

Question 15

Good marketing research is research that is _______, in that the research is measuring what it intended to measure.

Accepted Answer

Validity refers to the accuracy and truthfulness of research results. A research method is considered valid if it measures what it is intended to measure. Therefore, good marketing research should be valid. Reliable research is also important, but it refers to the consistency of research results rather than the accuracy of the measurement. Viable and pliable are not relevant to the concept of marketing research validity.

Question 16

Internal market information is potentially useful when companies want to get to know their current customers better. The following techniques can be used: marketing databases, _______ systems and website analysis.

Accepted Answer

CRM stands for Customer Relationship Management, which is a system or strategy used to manage interactions with customers. Marketing databases, MRM (Marketing Resource Management) systems, and website analysis can all be utilized as part of a CRM approach to gather internal market information and better understand current customers. CPR and MPR are not relevant to this context.

Question 17

Market research findings should be _______. This means that similar findings would be found if the study was repeated.

Accepted Answer

Reliability in market research refers to the consistency of the results obtained. If the study is repeated under the same conditions, reliable research findings would yield similar results each time, indicating the dependability of the measurement.

Question 18

A very good place for an organization to begin answering a research problem is by looking at what information it currently already has available to it. This information is known as _______.

Accepted Answer

The information that an organization already has available to it is its internal market information, such as sales data, customer feedback, and employee insights. While external market information, macro environment information, and micro environment information may also be valuable in answering a research problem, they are not the most directly relevant to what the organization already knows.

Question 19

Although marketing research is an important vehicle by which organizations can learn more about their customers, its reputation is being sullied by the prevalence of _______ surveys and other questionable practices.

Accepted Answer

Bogus surveys and other questionable practices damage the credibility of marketing research, making this the most fitting choice. Valid surveys are not damaging to the reputation of marketing research, and proprietary and bonus surveys are not inherently negative.

Question 20

What type of data is normally stored on a marketing database?

Accepted Answer

Marketing databases typically contain a variety of data types, including past transactions, demographic data (such as age, gender, and income), and lifestyle data (such as hobbies and interests). Having all of this data available in one place can help marketers better understand their target audience and create more effective campaigns.

Quiz 4: Marketing Research and Customer Insights