Deck 9: Strengthening the Presentation

Question 1

One of the most effective methods of appealing to a buyer's senses is through product demonstrations or performance tests.

Answer 1

True

Question 2

Quantifying a solution is unnecessary when a prospect is in a high-risk situation.

Answer 2

False

Question 3

A salesperson promoting a new brand of tomato ketchup gives free samples to his prospects at the end of his presentation.The salesperson appeals to more than one sense of the prospects in this case.

Answer 3

True

Question 4

Photos are easy to prepare,are inexpensive,and permit a realistic portrayal of a product and its benefits.

Question 5

Salespeople who sell machinery are limited to appeals that will affect a buyer's senses of hearing,sight,and touch.

Question 6

To increase the buyer's understanding of a product,sellers should use the multiple-sense appeals approach.

Question 7

In the context of visual presentations,document cameras are capable of displaying any three-dimensional object without the use of a transparency.

Question 8

Complex charts and diagrams,even if they are helpful,should not be included in handouts because they can confuse a prospect.

Question 9

In a simple cost-benefit analysis,the costs to a buyer and the savings the buyer can expect from an investment are listed.

Question 10

While giving handouts to foreign buyers,salespeople should include a glossary containing definitions.

Question 11

In the context of product demonstrations,salespeople should avoid probing during and after the presentation.

Question 12

An RFP typically does not communicate details about a budget.

Question 13

Customer value proposition should exclude the tangible and intangible benefits of a product.

Question 14

During a product demonstration,a salesperson should always relate product features to a buyer's unique needs.

Question 15

Salespeople should avoid using electronic whiteboards in their sales presentation because they eliminate two-way communication between a salesperson and a customer.

Question 16

Amiables prefer visuals without people in them and a relatively fast-moving presentation.

Question 17

When using video as a presentation tool,a salesperson should make sure the video is long and provides detailed product information.

Question 18

If buyers present at your demonstration have used your product before,then they should be discouraged from participating.

Question 19

While using visuals,salespeople must use tables and clip art instead of graphics and high-quality drawings.

Question 20

Gift giving must be done with care and not violate the rules of the buyer's company.

Question 21

A low inventory turnover rate for stores that carry a large inventory typically indicates that a product is selling really fast.

Question 22

In the context of sales presentations,analyticals prefer:

A) visuals with people in them and a relatively slow-moving presentation.
B) visuals that are cathartic in nature.
C) presentations that are lengthy and use powerful imagery.
D) visuals that use strong,intense colors,cartoons,and fancy photos.
E) visuals that contain lots of details and a list of references.

Question 23

Sales per square foot or sales per shelf foot is a measure of the investment resellers make in the purchase of their stock.

Question 24

A measure that retailers use to assess the return on their space investment is sales per square foot or sales per shelf foot.

Question 25

Inventory turnover is measured by dividing the average retail price of the inventory on hand by the annual sales.

Question 26

Which of the following statements about the use of humor in sales presentations is true?

A) Humor should never be used in sales presentations.
B) It is best to avoid recounting humorous experiences from one's own life.
C) It is recommended that salespeople practice telling jokes so that they are confident when using the jokes in a presentation.
D) Salespeople should not apologize before telling a joke.
E) All of these

Question 27

Profit margin is usually calculated by dividing the markup on the cost price of the good.

Question 28

During her presentation to a prospective customer,Lea informed him about the new wallboard's superiority.She also brought along a sample so that the building contractor could see and feel the superiority of the product she was selling.Lea used a _____ to improve the buyer's understanding of her product.

A) multiple-sense appeal
B) standardized approach
C) collaborative approach
D) style-flexing appeal
E) composite appeal

Question 29

Charts are particularly useful when:

A) presenting copies of recent ads.
B) communicating large amounts of information.
C) attempting to summarize the key points of a sales presentation.
D) performing a what-if analysis using information supplied by a prospect during a presentation.
E) any of the above conditions occur.

Question 30

ECR,AR,QR,and JIT are acronyms referring to systems designed to maximize inventory holdings.

Question 31

_____ are rooms set aside to highlight a company's products and capabilities and are the ultimate presentation rooms.

A) Assessment centers
B) Zoning centers
C) Circular routing centers
D) Collusion centers
E) Executive briefing centers

Question 32

Net present value analysis allows a buyer to compare the net value of future cash inflows to the initial investment.

Question 33

Buyers show a strong preference for investments with a longer payback period.

Question 34

Which of the following statements about a buyer's attention and understanding is FALSE?

A) Vividly communicated features help buyers remember a seller's claims.
B) Salespeople should use humor to gain a prospect's attention during a presentation.
C) To strengthen impact,appeals should focus on only one of a prospect's five senses.
D) A buyer's attention span is affected by his or her personality.
E) Many buyers have difficulty forming clear images from a written or spoken word.

Question 35

Electronic data interchange (EDI)is a computer-to-computer transmission of data from resellers to vendors and back.

Question 36

Sales asset management system is a computer-to-computer transmission of data from a reseller to a vendor and back.

Question 37

For her sales presentation,Myra wants to design a chart which shows how much faster wounds heal when protected with SoloSite,a water-based ointment.To create the most effective chart,she should:

A) avoid the use of pie charts or other graphical representation.
B) use complete sentences so the buyer does not have to wonder which words are missing.
C) avoid the use of bullets as they arbitrarily differentiate the points in a presentation.
D) intermingle major and minor selling points.
E) none of these.

Question 38

Which of the following statements about the use of humor in sales presentations is true?

A) If used at all,humor should always be derived from the buyer's personal experiences.
B) The punch line of the joke should be subtle so that the buyer is left to guess the idea.
C) Laughing over a good joke will help build rapport and put everyone at ease.
D) It is best to use jokes available on the Web because they are assured to make the buyer laugh.
E) All of these

Question 39

In which of the following instances is the salesperson using the multiple-sense appeals approach?

A) Rhonda uses a canned presentation to deliver a standardized talk about her firm's sanitation systems.
B) William creates a customized sales presentation for a Webcasting session with an overseas client.
C) Jason leaves behind some brochures of his company's modular kitchens at the client's office for circulation among members of the buying center.
D) Norah uses a video to demonstrate the manner in which her company manufactures hospital goods that meet all quality control standards.
E) John makes a joke during his presentation when he notices that the main member of the buying center is visibly bored.

Question 40

Which of the following is a guideline for the proper use of visual aids?

A) Selecting a few visual aids from a portfolio for each presentation
B) Looking at the visual aids throughout the presentation
C) Placing a portfolio with the visual aids between the salesperson and the customer
D) Using all the visuals in a portfolio for every presentation
E) Using detailed videos that outline a product's features in about half an hour

Question 41

Proposals that a buyer receives as a result of issuing an RFP should include:

A) a positioning map.
B) a postscript.
C) an index.
D) an executive summary.
E) all of these.

Question 42

Which of the following statements about portfolios is true?

A) Because of cultural and language differences,portfolios should be avoided in international selling situations.
B) A portfolio should not be placed,like a wall,between the salesperson and the buyer.
C) Items in a portfolio should be placed in an order in which they will be used to make sure none are omitted.
D) Only insurance salespeople place their portfolios in a binder.
E) Every portfolio should include a tangible product.

Question 43

Melanie,a salesperson for printers and scanners,is sending a proposal for printers to the home office of Helix Services in Cedartown.To convince the executives in Cedartown that the local Vinson Mountain branch office needs the printers and copiers she is selling,Melanie would most likely:

A) send just a product catalogue and let the buyer choose the final product.
B) skip the needs identification process since the needs of the home office and the local office are different.
C) secure the support of the Vinson Mountain branch manager.
D) include a clause stipulating that no competitive bidding will take place for this deal.
E) do all of these.

Question 44

Judith,a salesperson for an automobile firm,gives a presentation to a buying agent.During her presentation,she gives the buyer a letter from a customer in New York.The letter praises the efficiency of the supply chain process of Judith's firm and compliments the punctuality and timely delivery of the products.This letter is an example of a(n)_____.

A) fact sheet
B) attestation
C) sales flyer
D) handout
E) testimonial

Question 45

Jorge is developing a presentation for a customer.He wants to show the customer how his product will meet the prospect's needs and how it is different from the offerings of competitors.Jorge is developing a(n):

A) customer value proposition.
B) asset management statement.
C) customer relationship statement.
D) content analysis report.
E) credibility statement.

Question 46

Identify an accurate statement about RFPs (request for proposals).

A) They should contain a customer's specifications for the desired product.
B) They are typically known as proposed negotiation points (PNPs).
C) They are specifically issued by a local government to private buyers to conduct interstate commerce.
D) They should exclude delivery schedules.
E) They are drafted by a seller when he or she is looking for prospective buyers.

Question 47

Identify an accurate statement about testimonials.

A) Progressive sales organizations rarely use testimonials.
B) To be valid,testimonials must be sworn before a notary in public.
C) They are usually written by satisfied users of a product or service.
D) They are more interactive than electronic whiteboards.
E) The effectiveness of testimonials hinges on the seller rather than the needs of the consumer.

Question 48

Jane,a stock analyst,is giving a sales presentation to a group of clients.She talks about the various investment options available.She gives each of them a few sheets of paper that contain all the important points covered in the sales presentation because it would help them remember what was discussed during the sales presentation.In this case,the bunch of papers is most likely known as a(n):

A) proposition.
B) sales flyer.
C) testimonial.
D) attestation.
E) handout.

Question 49

During the course of a sales presentation,the customer is given the opportunity to see the performance of a sample product.The salesperson and the customer both observe how the product functions.This time period during a sales demonstration is usually known as the:

A) creeping commitment time.
B) encoding time.
C) routing time.
D) dead time.
E) zoning time.

Question 50

Which of the following statements about the use of computers by salespeople is true?

A) Salespeople use collateral management systems to archive,catalog,and retrieve digital media and text.
B) Computers are generally not able to offer excellent visuals and graphics.
C) It is difficult to perform what-if analyses on computers.
D) A computer can store only a small amount of information.
E) Information in smaller computers is more difficult to retrieve than in larger computers.

Question 51

In the context of sales presentations,which of the following tools is a great way to encourage a group to interact or engage in a brainstorming session?

A) Handouts
B) Flyers
C) Electronic whiteboards
D) Fact sheets
E) Digital charts

Question 52

A product demonstration:

A) automatically leads to a sale.
B) allows prospects to check if the product works the way the salesperson claims.
C) occurs only after a prospect has been assured a significantly high return on investment for a product.
D) often distracts a prospect from the reason for a sales call.
E) none of these.

Question 53

A written proposal should have an executive summary,a brief description of the problem and solution,and:

A) a description of the current situation relative to the proposed solution.
B) a collection of testimonials from satisfied customers.
C) a statement of support from the buying committee.
D) photographs of the selling company's offices and buildings.
E) the selling firm's pro-forma balance sheet.

Question 54

Which of the following is good advice for the use of demonstrations as part of a sales presentation?

A) Practicing the demonstration
B) Planning for things that could possibly go wrong
C) Probing both during and after the demonstration
D) Keeping the demonstration simple,concise,and easily understandable
E) All of these

Question 55

For which of the following products would samples be most effective as a sales aid?

A) Flame thrower
B) Funeral service
C) Carpet cleaner
D) Life insurance
E) None of these

Question 56

A salesperson who wants to make effective use of handouts during his or her sales presentation should:

A) avoid keeping any white space in the handout.
B) let the goal of the presentation determine what information should be included in the handout.
C) discuss the contents of the handout while circulating copies among buyers.
D) eliminate the use of graphics in the handout.
E) ensure that the content in the handout and the presentation are identical.

Question 57

Sunil was illustrating the ease with which his company's newly designed lawnmower can be operated.However,during the presentation,the lawnmower stopped working.What is the most appropriate way for Sunil to handle this situation?

A) Sunil should blame the production division of his company for this failure.
B) Sunil should try to convince the buyer that the lawnmower rarely fails.
C) Sunil should use humor and accept that such mistakes do happen.
D) Sunil should gain the buyer's sympathy by describing how badly he needs to close the deal with the prospect.
E) Sunil should end the sales presentation and start afresh by taking another appointment.

Question 58

A request for proposal (RFP):

A) is used when a customer has a firm idea of the product needed.
B) is often referred to as a "payback period request."
C) is used when companies are looking at researching and designing new products.
D) is unlikely to discuss the cost and delivery schedules for a project.
E) is used when a salesperson has a firm idea of his or her company's product.

Question 59

For which of the following products would samples be least effective as a sales aid?

A) Paper towels
B) Oil well drilling platforms
C) Stain removers
D) Automobile seat covers
E) Bottles and aluminum cans

Question 60

A salesperson can maximize the impact of his or her presentation by:

A) providing a lot of numerical data for a client to process and understand.
B) using tables instead of graphs,charts,and pie diagrams.
C) using current and accurate information.
D) designing slides using a standard red and white template for all clients.
E) using a lot of transition effects,clip art,and sound clips.

Question 61

The _____ of an investment is the net value today of future cash inflows minus the investment.

A) net opportunity cost
B) return on investment
C) customer lifetime value
D) net present value
E) adjusted opportunity cost

Question 62

Tonya is a manager of a retail clothing store.A sales rep calling on her offers overnight delivery on all re-orders at no extra shipping cost.This will allow Tonya to carry fewer items in the store than earlier and save money by increasing her:

A) opportunity costs.
B) value analysis.
C) stockouts.
D) inventory turnover rate.
E) multiple outlet profit performance.

Question 63

By investing in a John Deere PowerTech engine for $3,200,a pallet manufacturer was able to show a net savings of $500 in annual maintenance costs.Calculate the return on investment for the engine.

A) 1.6 percent
B) 6.4 percent
C) 15.6 percent
D) 21.3 percent
E) 32 percent

Question 64

Identify a common method of quantifying a solution for a customer.

A) Cost-benefit analysis
B) Return on investment
C) Net present value
D) Payback period
E) All of these

Question 65

Jordan,the owner of a motorcycle firm,wants to reduce the cost of maintaining the existing equipment of his firm.Joe,a salesperson,recommends a new type of equipment to reduce the maintenance costs.The cost of the new equipment is $50,000,but it would save Jordan $75,000 in total.If Jordan decides to purchase the new equipment,then his return on investment will be:

A) 120 percent.
B) 150 percent.
C) 125 percent.
D) 175 percent.
E) 130 percent.

Question 66

Jessica is investing in a capital equipment for her printing press.She wants to know how long it will take for her investment to be returned in the form of savings.The new equipment costs $600,000,and the maintenance costs of the new equipment will save her $120,000 per year.The payback period is _____.

A) 5 years
B) 6 years
C) 2 years
D) 11 years
E) 20 years

Question 67

Goodman Woodworks has recently purchased a new saw costing $14,000.Because of a revolutionary new cutting blade,the new saw will not cause the veneer to splinter and will make clean cuts.This will save the firm $1,200 each year,which goes in wastage.Calculate the payback period for the $14,000 investment.

A) 1.67 years
B) 8.6 years
C) 11.67 years
D) 86 years
E) 13 years

Question 68

The profit margin on the sale of a good is 20 percent,and the selling price of the good is $5,000.Calculate the cost of the good.

A) $4,750
B) $4,800
C) $3,750
D) $4,500
E) $4,000

Question 69

Miguel sells high-end computers to clients in his neighborhood.The profit margin is 20 percent,and the cost of each unit of computer is $10,000.The selling price of each unit must be:

A) $12,000.
B) $15,000.
C) $12,500.
D) $14,000.
E) $13,250.

Question 70

The cost of a good is $1,500.A seller sells it at a markup of $500.The profit margin is:

A) 20 percent.
B) 30 percent.
C) 25 percent.
D) 15 percent.
E) 40 percent.

Question 71

The _____ is the return a buyer would have earned from a different use of the same investment capital.

A) sunk cost
B) fixed cost
C) opportunity cost
D) gross revenue
E) net revenue

Question 72

A sportswear manufacturer usually keeps an average of 2,000 units of footwear in stock.The total sale is 60,000 units.The inventory turnover is _____.

A) 40 units
B) 12 units
C) 30 units
D) 18 units
E) 24 units

Question 73

Which of the following is recommended as a good way to deal with the jitters when making a sales presentation?

A) Realizing that professional salespeople do not get nervous
B) Apologizing to the buyer for being nervous before the presentation
C) Avoiding the use of visuals because they will distract the buyer during the presentation
D) Avoiding the use of stress management techniques before the presentation because it will alert the prospect of the nervousness
E) None of these

Question 74

Sonya showed the office manager at Arunden Solutions how he could pay for the new copier she was selling by bringing more of Arunden's printing jobs in-house,saving money that had previously been spent on local printers.Sonya is using _____ to quantify the solution.

A) cost-benefit analysis
B) return on investment
C) net present value
D) payback period
E) opportunity cost

Question 75

Ramiro,the owner of a supermarket,decides to keep relatively high levels of inventory even though it is expensive.Ramiro most likely thinks that the cost of _____ is greater than the benefits of increasing his turnover rate.

A) collaterals
B) portfolios
C) stockouts
D) asset management systems
E) floor space

Question 76

Salespeople can strengthen their presentations by showing the prospect that the cost of the proposal is offset by added value;this process is called:

A) magnifying the benefit.
B) market analysis.
C) multiple-sense appeal.
D) value analysis.
E) content analysis.

Question 77

Jay purchases new capital equipment at his motorcycle factory.The new equipment costs $150,000,and the net savings he is likely to make is $75,000.Calculate Jay's return on investment (ROI).

A) 75 percent
B) 150 percent
C) 200 percent
D) 50 percent
E) 25 percent

Question 78

Fiona,the manager of a retail store,wants to know whether she is maximizing her return on space investment.She will have to calculate the _____ for the area of the store.

A) sales per square foot
B) cost-benefit ratio
C) return on investment
D) QR correlation coefficient
E) sales per employee

Question 79

The _____ is the net profits expected from a given investment,expressed as a percentage of the investment.

A) net revenue
B) return on investment
C) net present value
D) gross investment value
E) opportunity cost

Question 80

The payback period:

A) indicates how quickly the investment money will be returned in the form of cash inflows or savings.
B) reflects the return a buyer would have earned from a different use of the same investment capital.
C) fails to quantify the personal risk involved in any buying decision made by a purchasing agent.
D) indicates the total value of all future sales with a customer.
E) pertains solely to those investments that pose a small risk to the buyer.