A Firm That Uses CRM Data to Generate Coupons for Customers

question 134

Multiple Choice

A firm that uses CRM data to generate coupons for customers based on their past purchases is using the CRM data to

• A)reduce order cycle time.
• B)build customer equity.
• C)reduce cognitive dissonance.
• D)tailor customer promotions.
• E)understand how customers interact.

---

Definitions:

Contra-revenue Account

An account that offsets revenue accounts on the income statement, such as sales returns, allowances, and discounts.

Sales Returns

Goods returned by customers after purchase, leading to a reduction in sales revenue.

Debit Balance

An accounting entry that represents the total amount debited from an account, exceeding the credits made into it.

Sales Discount

A sales discount is a reduction in the price of a product or service offered by a seller to a buyer, usually for early payment or to incentivize purchase.