Pfi ste r08 1. What can superior service breed in the customers of an RET business? Correct Answer: loyalty 2. American consumers are generally satisfied with just a purchase of a vacation product. a. True *b. False 3. Unhappy clients will spread negative word-of-mouth to more people than the number of persons told positive things by a satisfied customer. *a. True b. False 4. Superior customer service requires a. training staff b. establishing customer-friendly systems c. creating positive and memorable experiences *d. all of the above e. b and c 5. In what ways can superior service benefit a small business? Correct Answer: new customer acquisition, usage, and retention 6. Companies with high service ratings tend to have lower sales and marketing costs. *a. True b. False 7. Research cited in chapter 8 shows that only _________ of 27 unhappy customers complain to the business. a. 26 *b. 1 c. 12 d. 8 e. 18 8. Compared with a service, an experience tends to a. have active involvement by the guest b. have an operator staging the engagement c. have the ability to fulfill psychic needs of the guest *d. all of the above e. a and b 9. What are the three types of service an RET business offers? Correct Answer: fix things, provide assistance, add value 10. An RET service is considered perishable. *a. True b. False 11. With _________, service providers can offer customers individualized experiences at reasonable prices. a. just-in-time manufacturing b. experiential programming c. commodities *d. mass customization e. none of the above 12. Keys to hiring and retaining high-quality frontline staff include a. not hiring in a panic b. celebrating success c. empowering staff to take responsibility *d. all of the above e. a and b 13. For an RET business, an incident where a client is upset about service received is called what? Correct Answer: a moment of truth 14. Handling client complaints appropriately can increase customer loyalty. *a. True b. False 15. According to Sawyer and Smith (1999), a small business can spend _________ times more to get a new customer than to retain an existing one. a. 2 *b. 6 c. 15 d. 9 e. 0.5 16. An RET business can build strong customer relationships by a. tracking the preferences of repeat customers b. offering frequent buyer programs c. greeting customers by name *d. all of the above e. a and b 17. What acronym is one procedure for service recovery known by? Correct Answer: HEAT 18. The number one priority for exceptional service providers is guest safety. *a. True b. False 19. The top 10 service principles include a. underpromise and overimplement b. little things mean little c. buyers' expectations are always advancing d. all of the above *e. a and c 20. An RET business owner can evaluate service quality with techniques such as a. e-mail surveys b. in-room comment cards c. exit surveys *d. all of the above e. a and b