Chapter 10 Vocabulary Name Match The Keyword With The Approp

Chapter 10 Vocabulary Namematch The Keyword With The Appropriate

Match the keyword with the appropriate description:

  • CRM
  • Cost of dissatisfied customer
  • Customer satisfaction
  • Churn rate
  • TQM/CQI
  • Customer loyalty program
  • Trust
  • Contingency plan
  • Touch point
  • Relationship rating points

1) total quality management and continuous quality improvement

2) backup systems or procedures

3) acquire, retain and satisfy the customer

4) number of customers who leave during a given time

5) cementing interpersonal relationships

6) values assigned by customer to a service provider

7) cost of acquiring new customer or replacing a current one

8) incentive program to reward customers

9) when service provider or organization is in contact with customer

10) describes how well organization meets or exceeds customer expectations

True/False Statements

Trust is not a major concern for most customers. False

To take responsibility for the customer relationship, personalize your approach. True

As customers develop long-term relationships with a company, they become more tolerant of poor service. True

Handling complaints quietly and effectively is a good strategy for maintaining customer retention. True

Having an enthusiastic attitude is one way to impact customer relationships. True

Customers often choose to return to companies when they already have a satisfactory customer relationship. True

An important step often overlooked in dealing with a customer is the follow-up. True

Companies use social media as a contact point to promote products and reward loyalty. True

Customer satisfaction and loyalty are the results of effective product and service delivery, resolution of problems, and elimination of dissatisfaction. True

Loyalty rewards, discount prices and coupons, and points for cash are ALL strategies to build customer interest and repeat business. True

Chapter 10 Quiz

  1. Sheena is a receptionist at a hotel. As she checks out departing customers, she asks quick questions about their stay and their experience at the hotel. This is an example of a(n) Service contact survey.
  2. Samantha, a store manager, decides to create a contingency plan. She first sets a goal that her plan aims to accomplish. Which of the following action must she pursue next according to the planning process model? Examine and evaluate the situation.
  3. Average services is characterized by service that Is expected by the customer.
  4. The goal of customer relationship management is to Acquire, retain and satisfy customers.
  5. It will cost an organization at least five times more to acquire a new customer than it will to keep an existing one. True
  6. Churn rate refers to the number of customers who leave during a given time period. True
  7. Encouraging customer loyalty means companies should frequently make special offers to new customers that are not available to existing customers. False
  8. Moment of truth is defined as any instance when a customer comes into contact with any element or representative of an organization. True
  9. A service provider should criticize his or her competitors in order to counter similar comments from them. False
  10. Customer loyalty is an emotional rather than a rational thing. True

Paper For Above instruction

Customer relationship management (CRM) is a strategic approach that focuses on acquiring, retaining, and satisfying customers through personalized interactions and targeted programs. Central to CRM are the concepts of trust, customer satisfaction, and loyalty, which are critical for sustainable business success. Understanding these key elements involves exploring various vocabulary terms and their relevance to effective customer service and relationship management.

CRM (Customer Relationship Management) is a comprehensive strategy that leverages customer data to enhance interactions, tailor services, and foster long-term relationships. It emphasizes building trust, which is fundamental for customer loyalty. Trust develops through consistent, honest, and transparent communication, leading to a stronger emotional connection between the customer and the organization. Trust is a major concern for most customers because it directly influences their willingness to engage, share information, and remain loyal. Organizations that prioritize trust through reliable service and ethical practices tend to experience higher customer satisfaction rates.

Customer satisfaction reflects how well a company's products or services meet or exceed customer expectations. It is a crucial aspect that impacts loyalty and retention. Companies strive to deliver consistent, high-quality service to ensure customer satisfaction. One measure of customer satisfaction is the touch point, which refers to any contact or interaction between the customer and the organization. Every touch point, whether in person, online, or over the phone, offers an opportunity to reinforce positive perceptions and improve overall satisfaction.

The churn rate indicates the percentage of customers who leave a company within a specified period. High churn rates suggest issues with customer loyalty or service quality. Reducing churn requires understanding customer needs, resolving complaints effectively, and providing value through incentive programs such as loyalty rewards, discounts, and points for cash. These loyalty programs incentivize customers to continue doing business with the organization, thus improving their relationship rating points, a metric used to evaluate the strength of customer relationships.

Total Quality Management (TQM) and Continuous Quality Improvement (CQI) are essential frameworks promoting ongoing enhancements in service quality. They foster a culture of excellence, ensuring that organizational processes consistently meet customer expectations. In doing so, they strengthen customer satisfaction and loyalty. Conversely, a contingency plan is a backup system or procedure designed to maintain operations during unexpected disruptions, safeguarding customer trust and satisfaction.

Customer loyalty programs, such as reward points or special discounts, serve as strategic tools to retain customers and encourage repeat patronage. These programs increase relationship rating points by reinforcing positive experiences and perceived value. Every contact a customer has with the organization, whether through a complaint, inquiry, or purchase, is a touch point that influences their perception and loyalty. Companies must manage these interactions carefully to foster trust and build enduring relationships.

Handling grievances quietly and effectively is vital for retaining customers. When complaints are addressed promptly and satisfactorily, organizations demonstrate their commitment to customer satisfaction, strengthening trust. Importantly, follow-up after service interactions is an often overlooked but critical step in solidifying relationships, showing customers that their feedback matters and that the organization values their input.

Social media has become an influential contact point for organizations to communicate with customers, promote products, and reward loyalty. Effective use of social media enhances visibility, engagement, and customer perception. Ultimately, customer satisfaction and loyalty are the results of consistent delivery of quality products and services, resolving issues efficiently, and eliminating dissatisfaction. Marketing strategies such as loyalty rewards, coupons, and incentive points incentivize repeat business and deepen customer relationships.

In conclusion, building and maintaining strong customer relationships requires a comprehensive understanding of relevant vocabulary and strategic application. Trust, satisfaction, and loyalty are interconnected, and organizations that excel in managing these elements through effective communication, quality improvement, and responsive service are more likely to achieve long-term success.

References

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