Lonnie is responsible for online customer acquisition at a direct marketing firm. His
objective is to drive low-cost, high quality traffic to the company’s website. Which
metric would be the best indicator of how efficiently he spent his online advertising
budget?
A) unique visitors
B) cost per unique visitor
C) return visits
D) time spent
E) page views
Answer:
AIRLINE MINI CASE: Transatlantic Airlines flies between popular destinations in the
United States and western Europe, and claims to deliver “a first class experience for
every passenger.” All ticket purchases are made online, and users of the Transatlantic
website must register before they search for flights. Transatlantic uses this information
to determine which consumers are generating the most profits for the company, which
services they purchase most frequently, and which services they are potentially
interested in but are not purchasing. This information is then used to make specific
promotional offers to profitable customers in an attempt to retain their business and to
expand the range of flight services that they purchase. Transatlantic also uses this
information to provide unexpected perks to highly profitable customers, like free
upgrades to first class.
In the AIRLINE MINI CASE, when Transatlantic upgrades the seat assignment of
especially loyal customers, the airline is attempting to increase ________.
A) net revenue
B) production capacity
C) customer satisfaction
D) social responsibility