Case Synopsis, Uses, Discussion Questions, and Answers
CASE 21 Active Endeavors: Analyzes Its Customer Database
Synopsis: Active Endeavors is an outdoor apparel and accessory retailer. The store has a database
address, transaction date,
Use:
Chapter 10 Customer Relationship Management
Discussion Questions
1. Describe the type of customers in each group.
The students need to understand what recency, frequency, and monetary values mean. Recency
is a measure of how recent the last purchase is. When the recency value is low, the likelihood of
making a purchase is expected to be high. Frequency is a measure of long-run purchase
frequency. It can be a cumulative number of purchases or an average frequency over a certain
2. What would you recommend Active Endeavors do to get more business from each
group?
Case Synopsis, Uses, Discussion Questions, and Answers
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Group 1:
The store should do everything it can to retain these customers. They can use the frequent
shopper program and offer new products and deals through regular communications such as
direct mail and e-mails.
Group 2:
They can offer new products and special deals, but good customer service and a memorable
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