Lecture 3

Question 1

Customer Engagement

Answer 1

A behavioural manifestation, beyond purchase, from a customer towards a brand / firm. They may affect the brand / firm and its constituents in ways other then purchases

Question 2

The components of Customer Engagement value (CEV)

Answer 2

1. Customer lifetime value (CLV)
2. Custom Influencer value (CIV)
3. Customer knowledge value (CKV)
4. Customer Referral Value (CRV)

Question 3

CLV

Answer 3

Customer life time value; purchasing behaviour

Question 4

CIV

Answer 4

Customer influencer value, the influence of a consumer on other consumers and prospects. Minimizes buyer remorse, encourages share-of-wallet.

Question 5

CKV

Answer 5

Customer Knowledge Value, via feedback provided ideas for innovations and improvements. Contributing to knowledge development. Can be intrinsically motivated or extrinsically motivated.

Question 6

CRV

Answer 6

Customer Referral Value, relates to the acquisition of new customers through a firm initiated incentivized formal referral program.

Question 7

Examples of Customer Engagement

Answer 7

1. WOM
2. Helping other customers (e.g. in forums)
3. Co-creation

Question 8

Customer-initiated CE (examples)

Answer 8

1. WOM; like reviews, complaints
2. Blogging/vlogging
3. Influencers

Question 9

Firm-initiated CE (examples)

Answer 9

1. Voting behavior in contests
2. Co-creation
3. Participation in brand communities

Question 10

Opportunities of CE

Answer 10

1. Positive user generated content increases brand strength.
2. May reduce (service) costs.
3. Many possibilities to communicate with customers.
4. Lots of information available for customer management.