Deck 15: Personal Selling and Sales Promotion

Question 1

What type of telemarketing is it when personal-selling efforts use telephone technology in a sales approach in which the sales representative initiates the calls?

A) outward
B) proactive
C) network
D) outbound

Answer 1

D

Question 2

A university recently purchased a new supercomputer. Why was personal selling NOT likely involved in the purchase?

A) It is an expensive product.
B) It is a technically complex product.
C) It needs a long distribution channel.
D) It requires complicated installation.

Answer 2

C

Question 3

What has the role of a sales representative in the promotion process been changed to from that of persuader?

A) consultant and problem solver
B) process designer
C) technician and expert on product repair
D) close friend and confidant

Answer 3

A

Question 4

Saskatchewan Solvents has a field sales staff, a customer service department, and two individuals who manage the "tech hotline." These individuals not only answer technical questions from customers, but also identify customer needs and recommend products that can fill those needs. They have the ability to initiate and close sales on the spot. What are these individuals essentially participating in?

A) market analysis
B) inside selling
C) telemarketing
D) outside sales

Question 5

Research shows that most consumers dislike the practice of telemarketing and more than 12 million numbers are listed on Canada's Do Not Call List. Why do organizations still use telemarketing?

A) It provides employment to a large number of people.
B) It guarantees a sales order with almost every call.
C) It is cost effective. The average call costs are low.
D) It does not require experienced and trained sales personnel.

Question 6

When products require creative efforts on the part of the salesperson, such as extensive explanation and interaction, what is the best sales method?

A) field selling
B) telemarketing
C) over-the-counter selling
D) indirect selling

Question 7

Which of the following can be classified as a creative approach to over-the-counter selling?

A) clothing retailer Lululemon expanding the capabilities of the fitting rooms in its stores
B) Lululemon stores providing virtual gift cards to customers
C) Lululemon promising its online customers product delivery in five business days
D) Lululemon making its Web portal highly efficient to save its customers search time

Question 8

How can personal selling be broadly defined?

A) as selling consumer products
B) as a promotional presentation conducted person-to-person with the buyer
C) as personalized advertising
D) as the use of various promotional material sent directly to the prospective buyer

Question 9

The IKEA catalogue provides a toll-free number for customers to call and place orders. The staff is pleasant and knowledgeable and will place orders and answer questions. What is this an example of?

A) marketing communications element
B) promotional mix component
C) inbound telemarketing
D) customer-driven technology

Question 10

Which example would likely have personal selling as the dominant promotional element?

A) toothpaste to consumers
B) beer to a foreign populations
C) truck tires to General Motors
D) convenience goods in general

Question 11

What is the personal-selling approach that finds a customer coming to the seller's location and buying desired items largely on his own initiative?

A) order processing
B) site selling
C) over-the-counter selling
D) relationship selling

Question 12

A cosmetics manufacturer decides to educate its customers about its new product during commercial breaks in a popular TV reality show. What form of marketing is this an example of?

A) personal selling
B) network marketing
C) publicity
D) advertising

Question 13

What is the most expensive sales method overall?

A) over-the-counter sales because of the high overhead in retail operations
B) telemarketing because of the technology costs
C) telemarketing because of the high rejection rate from customers who avoid telemarketers
D) field selling, largely because of the travel costs of sales personnel

Question 14

What are telemarketers involved in when they combine field selling with a strong customer orientation using both inbound and outbound communications?

A) market analysis
B) inside selling
C) relationship marketing
D) outside sales

Question 15

Margaret sells a high-end range of cosmetics. All her customers are her family members and friends. She sells these products through an informal gathering at her home, where she demonstrates the products and explains how to use them. Some of her existing customers share their experiences and list the benefits of the product. With what type of personal is Margaret involved?

A) indirect selling
B) network marketing
C) inside selling
D) over-the-counter selling

Question 16

What does a customer-focused firm want its sales representatives to do?

A) work on a commission-based incentive plan because it is a more motivating form of compensation
B) form long-lasting relationships with buyers by providing high levels of customer service
C) become an expert in computer technologies
D) maximize the number of new customer contacts per month

Question 17

EZ2B Microchips depends largely on outbound telemarketing for product promotion. Recently the organization was able to weed out busy signals and answering machines of its customers which doubled the number of calls made by its sales personnel. Which technology is EZ2B using?

A) predictive dialers
B) autodialers
C) random-digit dialers
D) toll-free dialers

Question 18

Which of the following is NOT a function of relationship selling?

A) meeting buyer expectations
B) attaining a high level of customer service
C) building a mutually beneficial relationship over time
D) focusing on meeting the customer's short-term needs

Question 19

When is personal selling likely to be the primary component of a firm's promotional mix?

A) when the firm markets inexpensive products that require no special handling
B) when the transactions frequently involve trade-ins
C) when the price of the products is relatively low
D) when the firm markets to a large number of customers in various locations

Question 20

What is likely to be a primary component of a firm's promotional mix when consumers are geographically concentrated?

A) advertising
B) publicity
C) public relations
D) personal selling

Question 21

Which product would often require a high degree of creative selling?

A) flat-screen TVs
B) gasoline
C) laundry detergents
D) ballpoint pens

Question 22

What type of selling do pharmaceutical companies frequently use to market their product?

A) missionary
B) consultant
C) creative
D) order processing

Question 23

Jamie works for a credit union. Whenever a new customer opens a chequing account, Jamie makes sure to mention some of the other financial services the credit union offers. What is Jamie engaged in?

A) cross-selling
B) team selling
C) transaction selling
D) relationship selling

Question 24

What is the first step in the sales process?

A) presenting the product or service
B) prospecting and qualifying
C) demonstrating the product
D) approaching the potential customer

Question 25

What type of selling will a salesperson probably use when a considerable amount of analytical decision making by the customer is involved in purchasing a product or service?

A) missionary
B) order processing
C) creative
D) over-the-counter

Question 26

In the context of the analysis of sales tasks, what are technical support personnel engaged in when they help to install, set up, and maintain equipment for one of their customers?

A) activity of qualifying prospects
B) missionary sales activities
C) activity of order processing
D) creative selling

Question 27

Emily spends much of her time assisting customers with the products her firm sells. While she doesn't sell the products directly, her efforts are considered vital to the company's sales effort. What is Emily engaging in?

A) missionary selling
B) creative selling
C) team selling
D) publicity

Question 28

Which term refers to the part of the sales process consisting of identifying potential customers?

A) screening
B) prospecting
C) classifying
D) exploring

Question 29

What type of selling involves meeting customer needs by listening to them, understanding their problems, paying attention to details, and following through after the sale?

A) consultative
B) transaction
C) missionary
D) cross

Question 30

What should a salesperson do prior to making an approach to a potential customer?

A) outline objections and effective responses
B) break down product features and detail benefits by category
C) participate in sales training exercises
D) collect and analyze information about the potential customer

Question 31

When visiting one of his major accounts, Matt is accompanied by finance and product specialists. These specialists are able to answer specific questions so that a customer can make a purchase decision. What type of selling is this an example of?

A) transaction
B) team
C) cross-
D) missionary

Question 32

Which of the following is NOT part of the consultative selling process?

A) understanding customer problems
B) following through after the sale
C) pressuring customers to make a purchase
D) listening to customers

Question 33

What is increased when technology is used in order-processing tasks?

A) accuracy of processing an order
B) demand for the number of salespeople
C) time required to process an order accurately
D) time required to process an order accurately

Question 34

In the sales process, who is a person that not only needs a product, but also has the resources and authority to purchase it?

A) qualified prospect
B) qualified candidate
C) potential customer
D) interested customer

Question 35

What is the process of qualifying a sales prospect?

A) It is the task of ensuring that the prospect really is a potential customer.
B) It involves gathering information about the prospect to make initial contact proceed more smoothly.
C) It is used more frequently by retail salespersons than it is by wholesalers' and manufacturers' sales representatives.
D) It involves making the initial contact with the prospect.

Question 36

Which of the following would NOT be included in the information collected in the precall phase?

A) common interests or experiences to discuss in the first approach
B) buyer's employment history and trade affiliations
C) competitive products and offerings
D) details about the industry

Question 37

Alpha Trendz, a clothing and apparel manufacturer, carefully studies information available on the Internet. It further checks computerized databases and trade show exhibits before launching its latest range of designer clothes. What stage of the sales process is the company in?

A) order processing
B) planning
C) missionary selling
D) prospecting

Question 38

What is the salesperson's initial contact with the prospective customer called?

A) precall
B) prospecting step
C) approach
D) client-qualifying stage

Question 39

A salesperson of Healthcare Pharmaceuticals Inc. provided free samples of the company's latest range of aspirin to retailers in an effort to promote the firm's goodwill during a sales approach. Later, a wholesaler took orders and delivered the merchandise. Which sales task had been performed by the salesperson?

A) order processing
B) creative selling
C) missionary selling
D) networking

Question 40

A salesperson of a beer company determines that a retail store has only 10 cans of beer left in stock when it normally carries an inventory of 60. The salesperson informs the store manager of the inventory situation. Which sales task is being performed by this salesperson?

A) order processing
B) creative selling
C) missionary selling
D) planning

Question 41

What is the number of salespeople who report to a first-level sales manager called?

A) span of control
B) locust of control
C) expectancy theory
D) national accounts organization

Question 42

What compensation plan for sales personnel gives management more control over how sales personnel allocate their efforts, yet reduces the incentive to expand sales?

A) straight salary plan
B) salary-plus-bonus system
C) pure commission program
D) salary-plus-commission system

Question 43

What is required of a presentation as a result of each purchase decision possessing unique circumstances?

A) flexibility throughout
B) minor preparation ahead of time
C) disorganized to leave room for improvising
D) usually brief on the details

Question 44

What concept explains that motivation depends on the expectations people have of their ability to perform a job, and how performance relates to attaining rewards they desire?

A) marketing theory
B) Maslow's hierarchy of needs theory
C) performance theory
D) expectancy theory

Question 45

What are the post-sale activities employed by salespeople that are critical to strengthening customer relationships known as?

A) sales maintenance
B) post-closing
C) dissonance reduction
D) follow-up

Question 46

What is a growing trend among firms using a customer-oriented organizational structure of the sales function?

A) centralization
B) decentralization
C) vertical structure
D) national accounts organization

Question 47

What is one important advantage of personal selling over most advertising?

A) the cost factor, since personal selling is much cheaper
B) the ability to actually demonstrate the good or service
C) presentations are easier to write than advertisements
D) a strict script makes each presentation the same

Question 48

How can sales managers best foster an ethical work environment?

A) by closely monitoring sales representatives by recording phone calls
B) by sending sales people to sensitivity training
C) by making sure that all employees know what is expected of them
D) by monitoring the competition's ethical dilemmas

Question 49

What is the stage in the sales process in which the salesperson relates product features to customer needs?

A) approach
B) recall
C) demonstration
D) presentation

Question 50

Which of the following is NOT a characteristic of a corporate culture that encourages ethical behaviour?

A) Employees understand what is expected of them.
B) Management focuses only on sales and profits.
C) Open communication exists between employees and managers.
D) Managers lead by example.

Question 51

Which of the following is among the sales manager's greatest challenges?

A) training
B) recruitment and selection
C) compensation
D) evaluation

Question 52

The criteria for sales evaluations have changed to include customer satisfaction, profit contribution, and customer retention as measures of success. What was this change motivated by?

A) complaints from upper-level management about the cost of commission-based compensation programs
B) difficulty recruiting competent employees because of the variability of sales personnel's compensation
C) reluctance to encourage sales personnel to develop new accounts
D) an increasingly long-term orientation that focuses on building customer relationships

Question 53

What does a salesperson need to handle in a professional and informative manner when a potential customer expresses doubt or disagreement with the sales presentation?

A) questions
B) conflicts
C) buyer concerns
D) opposition

Question 54

How do firms that market similar products throughout large areas often organize their sales forces?

A) geographically
B) on a product basis
C) by types of customers
D) by specific accounts

Question 55

There are three general questions a manager should ask when evaluating sales personnel. Which of the following is NOT one of the three questions?

A) What are the employee's weak points?
B) Where does the employee rank relative to the predetermined standards?
C) How does the employee compare to other sales personnel in the industry?
D) What are the employee's strong points?

Question 56

Which piece of information would NOT be relevant to the precall planning process when selling to an organization?

A) financial health of the organization
B) identities of the buyers and their jobs
C) previous employment history of the buyers
D) knowledge base of the members of the staff

Question 57

What part of the sales process is called "the moment of truth"?

A) approach
B) buyer concerns
C) closing the sale
D) following up after the sale

Question 58

After determining that a prospective customer is a good candidate to actually make a purchase, the salesperson will want to gather as much information about the customer as possible. What is this step in the sales process known as?

A) presales research
B) preliminary planning
C) precall planning
D) background checking

Question 59

Who holds the overall direction and control of the personal-selling effort?

A) marketing managers
B) sales analysts
C) the customer
D) sales managers

Question 60

What skills do sales managers at higher organizational levels need?

A) training
B) operational
C) managerial
D) technical

Question 61

Which of the following is NOT an example of a type of trade allowance?

A) rebate allowance
B) selling allowance
C) slotting allowance
D) off-invoice allowance

Question 62

You are a well-established and profitable manufacturer of furniture. You have developed a completely novel modular furniture series for the business office. What is the mosteffective promotional method to introduce your product at this time?

A) rebate
B) coupons
C) trade show
D) contest

Question 63

What is the sales promotion technique that rewards consumers with an item either for free or at reduced cost when they purchase another product called?

A) sampling
B) prize
C) premium
D) specialty advertising

Question 64

Which sales promotion has the highest response rate?

A) sweepstakes
B) rebates
C) sampling
D) coupons

Question 65

What is the sales promotion that appeals to marketing intermediaries rather than consumers?

A) industry promotion
B) trade promotion
C) publicity
D) public relations

Question 66

A cake mix marketer offers consumers the chance to win a Caribbean vacation if their recipe is chosen as the winner of a baking contest. What is this type of promotion called?

A) industry promotion
B) contest
C) sweepstake
D) spiff

Question 67

Julia noticed that her favourite shampoo is being packaged in a slightly larger bottle for the same price as the regular size bottle. What is this an example of?

A) bonus pack
B) premium
C) sample
D) de facto rebate

Question 68

What were sales promotion techniques originally intended as?

A) integral parts of the marketing plan
B) replacements for other elements of the promotional mix
C) international promotions designed to replace advertising
D) short-term incentives to produce immediate buying

Question 69

What promotion is intended to capture the impulse purchase?

A) trade allowances
B) trade shows
C) point-of-purchase displays
D) push money

Question 70

Dr. Fox is an dentist and has just moved to a new office. She knows that her patients are more likely to take home a toothbrush inscribed with her name, new address, and phone number instead of an ordinary business card. Which type of promotion is the toothbrush Dr. Fox chooses to purchase for her practice an example of?

A) bonus pack
B) specialty advertising
C) premium
D) sample

Question 71

What is a characteristic of a corporate culture that encourages ethical behaviour?

A) Salespeople focus on short-term or quick sales.
B) Management focuses only on sales and profits.
C) Open communication exists between employees and managers.
D) Management announces discounts on bulk sales to wholesalers.

Question 72

What consumer promotion technique has a weakness of high cost?

A) samples
B) refunds
C) bonus pack
D) coupons

Question 73

What is the sales promotion method that aggressively promotes the company's name, product brand, or product message?

A) sampling
B) point-of-purchase displays
C) trade shows
D) specialty advertising

Question 74

Which of the following is usually NOT considered to be a sales promotion tool?

A) point-of-purchase advertising
B) specialty advertising
C) trade shows
D) direct mail advertising

Question 75

What can a sales promotion NOT do?

A) encourage both trial and repeat purchase
B) increase usage rates
C) neutralize competition
D) overcome poor brand image

Question 76

What is the trade-oriented promotion that consists of a display or other promotion located near the site of the actual buying decision?

A) buying allowance
B) trade-showing products
C) push-on-premises display
D) point-of-purchase advertising

Question 77

How do manufacturers motivate sales personnel?

A) through trade allowances
B) through push money
C) through trade shows
D) through sales training

Question 78

Which response rate does sampling produce when compared to other consumer promotion techniques?

A) slightly lower
B) slightly higher
C) significantly lower
D) significantly higher

Question 79

When are sales promotions most effective?

A) when there is no timeframe that needs to be considered
B) when they are used with other marketing strategies
C) when the product is new to the market
D) when there is a monetary reward or savings

Question 80

What form of sales promotion is most widely used?

A) coupon
B) sample
C) premium
D) specialty item