CLASS MARKETING 310 What is the most common measure of financial performance to
ID: 450951 • Letter: C
Question
CLASS MARKETING 310
What is the most common measure of financial performance to judge the effectiveness of marketing activities?
Question 13 options:
break-even analysis
return on investement or return on marketing investment
balance sheet
profit and loss statement
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Question 14 (1 point)
What is the value of calculating a customer's lifetime value?
Question 14 options:
Because the company can plan on reaching more customers with similar characteristics?
Because low lifetime value customers can be dropped
Because customers with a high lifetime value can influence other customers to purchase the product.
Because the higher the customer lifetime value is the more the company should focus on meeting their needs
What is the advantage of using dashboards to measure the performance of marketing activities?
Question 15 options:
Dashboards make decisions about modifications needed to marketing activities
Dashboards allow managers to see performance data in real time and quickly make changes, if needed, to improve the performance.
Dashboards relieve managers of the responsibility of monitoring data.
Dashboards merge financial metrics with performance metrics.
abreak-even analysis
breturn on investement or return on marketing investment
cbalance sheet
dprofit and loss statement
Explanation / Answer
Qs.13 Correct answer is option b i.e return on investment or return on marketing investment.Because return on investment is one way of considering profits in relation to capital invested.Return on marketing investment is the matrix that can be used to connect marketing performance to the financial performance of the organization.
Qs.14 Correct answer is option d i.e Because the higher the customer lifetime value is the more the company should focus on meeting their needs.Because the purpose of the customer's lifetime value matrix is to assess the financial value of each customer.Calculating customer's lifetime value helps the marketers understand that not all customers are important equally.Based on the customer's lifetime value the marketers predict the most profitable group of customers,understand their need and focus more on them rather than on less profitable customers.
Qs.15 Correct answer is option b i.e dashboards allow managers to see performance data in real time and quickly make changes,if needed to improve the performance.Because an effective dashboard provides a unified view of "how we are doing".This enables a manager to make adjustments and corrections,maximize the effectiveness of marketing and boost marketing return on investment.