Chapter 5 Crm Process Cycle Knowledge Discovery

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APPLICATION QUESTIONS

1. Consider each of the brands below. Assuming that a strong CRM system is in place in each

brand’s parent firm, what specific actions can marketing managers take in each case to

ensure high satisfaction and loyalty among the most profitable customers?

a. Aeropostale

b. Wynn Las Vegas

c. Your own college or university

d. Subaru automobiles

e. GE home appliances

2. Consider the CRM process cycle of knowledge discovery, market planning, customer

interaction, and analysis and refinement. Pick a company of interest to you and identify

one of its important brands or product lines (it can be a good or a service). Chart what

you believe the CRM process cycle should be for that firm, paying particular attention to

identifying the relevant customer touchpoints. Be as specific as you can in describing

each of the cycle elements.

Student answers will vary based on companies/brands/product lines chosen. As an

example, consider AT&T’s cellular phone business:

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3. In the chapter you read about several Big Data sources. For each Big Data source listed

below, identify an organization that you believe uses (or could use) that data source and

then briefly describe how you believe the organization currently uses (or could use) data

from each source to answer a specific marketing question or make a marketing-related

decision (questions and decisions you identify can be different for each data source).

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Students should be able to provide a variety of organizations based on their personal

experience as consumers. Some examples follow.

a. Social media platforms

b. Customers’ Internet-connected devices

c. Mobile applications

d. Commercial entities

e. Government agencies

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4. Select an organization that employs a highly personalized approach to selling products or

services to its customers online. Ideally, this is one that you have used in the past so that

you are more familiar with it.

Most students will quickly choose Amazon, so it may be best to eliminate that choice to

get students to think of other options. Another example is the clothing company Stitch

Fix.56

a. What are some different ways that the selected organization employs personalization

in its marketing efforts?

b. What are some specific actions/behaviors that customers engage in on the

organization’s website that enable personalized marketing efforts you identified

above?

c. What are some specific actions/behaviors that an organization could collect data on

that might provide evidence that the personalization efforts identified above have had

a positive effect?

d. Which type of marketing analytics approach(es) discussed in this chapter would be

best suited for establishing the value of personalization for the organization?

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5. Pick a firm that interests you and for which you have some knowledge of its offerings.

a. How would this firm benefit from a marketing dashboard approach?

Alignment of Marketing with the Firm – A marketing dashboard aligns marketing

objectives with the company’s financial objectives and corporate strategy through the

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b. What elements would you recommend it put onto its dashboard? Why do you

recommend the ones you do?

Goals and Objectives – These are the goals of the company, translated into a set of

marketing objectives. All ideas, initiatives, and metrics should be considered in light

of these.

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c. How could the firm avoid some of the pitfalls potentially associated with marketing

dashboards?

Over-reliance on “inside–out” measurement. Having too many internal measures

puts the focus on what you already know instead of on the unpredictably dynamic

MANAGEMENT DECISION CASE

Outline India: Enabling the Jump from Data to Decisions

This case helps students get to the essence of marketing analytics. By using a company in India,

where the multi-billion-dollar data infrastructure available in much of the west is absent, it may

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Questions for Consideration

1. What general and specific types of market data would you need to perform an analysis of the

Indian market? Which of these data might be less available in a developing country?

If we think of the highest generic categories of data one may use to analyze a market, there

are three categories we can use to start the discussion. For each of these, I’ll contrast

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2. If you were faced with the problem Outline India faces—trying to gather not only a large

amount of data, but making sure that data is of high quality—how might you go about

helping to ensure that the data are accurate and complete?

One way to look at this problem is to consider the resources available. Labor is one resource

India has in relative abundance when compare to the US. As such, it is more economically

3. What are some non-technological barriers Outline India may face when trying to gather data

in the field?

Language – There are 22 languages listed in the Indian Constitution as being officially

recognized for conducting at least regional government business and the exams for public

service within each region. If that wasn’t complex enough, there are dozens of additional

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SUGGESTED VIDEO

Best Buy: Using Customer Centricity to Connect with Customers (7:53 minutes)

Description: Most of Best Buy’s success is understanding Consumer Behavior. The company

has adopted a theory called ‘customer centricity’ – listening to the customer and putting them at

the forefront of the store. Best Buy has researched its consumer to understand fully what the

consumer is looking for.

1. What are the advantages and disadvantages of Best Buy’s customer centricity strategy?

Potential Advantages

Chapter 05

CRM, Big Data, and Marketing Analytics

1 https://www.walmart.com/cp/walmart-mobile-app/1087865, accessed 1/2/18.

2 https://www.dezyre.com/article/how-big-data-analysis-helped-increase-walmarts-sales-turnover/109, accessed

1/2/18.

3 https://www.umbel.com/blog/marketing/14-brands-using-mobile-apps-instead-ads-build-loyalty/, accessed 1/2/18.

4 http://www.asics.com/us/en-us/shoes/c/shoes?gclid=CjwKCAiA-KzSBRAnEiwAkmQ1529imvl_sOij_0EA_BptB-

BHdXKGFAqabpqGwcbjlrs8oam7pweoKRoCPgMQAvD_BwE&gclsrc=aw.ds, accessed 1/2/18.

5 https://www.addthis.com/blog/2015/01/20/examples-of-personalization/#.WkvTRFUrKUk , accessed 1/2/18.

6 https://www.stitchfix.com/?ad=186546591783&gclid=CjwKCAiA-

KzSBRAnEiwAkmQ15wEb2YgWR6O4W4jLJRK65hcbw42KG76EdZAxkpi2mATDA9RpuSv3RRoCPhkQAvD_

BwE , accessed 1/2/18.

7 https://www.fastcompany.com/40447766/heres-why-stitch-fixs-ipo-is-the-tech-exit-you-should-actually-care-about

, accessed 1/2/18.

8 https://www.stitchfix.com/?ad=186546591783&gclid=CjwKCAiA-

KzSBRAnEiwAkmQ15wEb2YgWR6O4W4jLJRK65hcbw42KG76EdZAxkpi2mATDA9RpuSv3RRoCPhkQAvD_

BwE , accessed 1/2/18.

9 https://www.quora.com/How-accurate-are-Indias-official-statistics-about-population-of-India-and–

census/answer/Narayanan-Unni?srid=0Iw9