Deck 13: Personal Selling and Sales Promotion 

Question 1

Sleek Designs markets a wide range of kitchen cabinets, counter tops, and ceramic tile. Its salespeople are initially divided on the basis of their expertise in a product category. They're then further divided into teams addressing large home improvement retailers, kitchen and bath suppliers, and specialty home improvement stores. Which of the following sales force structures has most likely been combined to form this complex sales force structure?

A) product and territorial
B) geographical and product
C) market and customer
D) territorial and market
E) product and market

Answer 1

E

Question 2

Appliance maker Whirlpool assigns individual teams of salespeople to big retail customers such as Leon's Furniture, the Brick Warehouse, Lowe's, Best Buy, and Home Depot. Each Whirlpool sales team aligns with the large customer's buying team. Whirlpool has most likely adopted a _ sales force structure.

A) market
B) team-based
C) territorial
D) complex
E) product

Answer 2

A

Question 3

Manufacturers relay customer concerns about company products and actions back inside to those who can handle them.

Answer 3

False

Question 4

The concept of lends even more importance to the salesperson's customer-relationship-building abilities.

A) sales force territory
B) sales force management
C) salesperson-owned loyalty
D) sales force structure
E) sales promotion

Question 5

Personal selling can be very effective in complex selling situations.

Question 6

Loretta Inc., a Canadian-based watch manufacturer, sells its products in the United States, France, China, Russia, and India. To manage sales, Loretta appoints a number of sales representatives to each location. Sales representatives report to area managers, and area managers coordinate sales in their respective areas before reporting to regional managers. Loretta has most likely adopted a _ sales force structure.

A) customer
B) distributor
C) territorial
D) complex
E) product

Question 7

Why is it beneficial for a firm to coordinate its marketing and sales efforts? What actions can a company take to bring its marketing and sales functions closer together?

Question 8

Rug Designs Inc., a manufacturer of large area rugs, markets its products throughout Canada using a network of regional sales offices. They are using a sales force structure.

A) customer
B) market
C) territorial
D) regional
E) product

Question 9

Order getters typically participate in creative selling, social selling, and relationship building.

Question 10

Which of the following is true of a territorial sales force structure?

A) It benefits firms with many technological products requiring technically skilled salespeople.
B) It differentiates the sales force solely on the basis of product expertise.
C) It is used by firms that organize their sales forces along customer or industry lines.
D) It clearly defines each salesperson's job and establishes accountability.
E) It requires salespeople to sell a wide variety of products over a broad geographic area.

Question 11

A company that sells only one product line to one industry with customers in many locations would typically use a .

A) market sales force structure
B) complex sales force structure
C) territorial sales force structure
D) product sales force structure
E) customer sales force structure

Question 12

Explain how salespeople link a company with its customers.

Question 13

GE employs different sales forces within different product and service divisions of its major businesses. For example, within GE Infrastructure, the company has separate sales forces for aviation, energy, transportation, and water processing products and technologies. GE has most likely adopted a _ sales force structure.

A) product
B) market
C) territorial
D) customer
E) complex

Question 14

Which of the following statements is true of a product sales force structure?

A) A product sales force structure is characterized by specialization along product lines.
B) A product sales force structure is used when a company has only one product line.
C) A product sales force structure uses a single sales force across different product lines.
D) A product sales force structure requires every salesperson to be an expert in all the product categories of the company.
E) A product sales force structure organizes the sales force along customer or industry lines.

Question 15

In which of the following structures does a company organize its sales force along customer or industry lines?

A) product sales force structure
B) demographic sales force structure
C) service sales force structure
D) market sales force structure
E) territorial sales force structure

Question 16

Which of the following examples represents a product sales force structure?

A) Verra Designers operates from its landmark store in Montreal and customers from all over the world come to this store to buy original merchandise at steep prices.
B) AmWeb produces an expensive brand of herbal cosmetics called "Green You" that are sold in select boutiques and beauty parlors by selling teams assigned to serve small groups of key customers.
C) Carlton Computers sells its range of highly specialized computers through special teams, each of which has received training in the configuration, uses, and USPs of a single model in the range.
D) Nutters Inc., producers of cookies and other baked goods, markets its products throughout the country through a network of area and regional sales officers.
E) Venson's produces frozen dinners at its factory in Quebec, and it sells them across the country through a network of sales representatives organized into regional and territorial tiers.

Question 17

If a company assigns individual teams of salespeople to big retail customers, it most likely has a(n) sales force structure.

A) market
B) demographic
C) undifferentiated
D) product
E) territorial

Question 18

Companies that organize their sales force by customer and territory; product and territory; product and customer; or territory, product, and customer are using a sales force structure.

A) territorial
B) complex
C) product
D) market
E) simple

Question 19

Which of the following statements is true of salespeople?

A) They represent a company to its customers by communicating and selling.
B) They do not represent the customers to the company.
C) They represent a new class of professionals who have emerged as part of the steep rise in retailing.
D) They are employed mostly in click-only companies.
E) They do not work with wholesalers and retailers.

Question 20

In consumer product companies such as P&G or Nike, the sales force works directly with customers.

Question 21

Which of the following statements is most likely true of team selling?

A) It can unearth problems and provide solutions that no individual salesperson could.
B) It consists of experts from a single area of the selling firm such as marketing or finance.
C) It is most often implemented when products are simple and distribution costs are low.
D) It is used most often when the group of target customers is small and homogeneous.
E) It simplifies the process of evaluating the individual contributions of sales team members.

Question 22

What is the purpose of a sales manager using a time-and-duty analysis?

A) forming sales teams
B) compensating salespeople
C) recruiting salespeople
D) supervising salespeople
E) prospecting customers

Question 23

Which of the following is most likely true about a sales force in the field?

A) They make most sales from their offices via media interactions.
B) They are prohibited to sell or service accounts directly.
C) They provide administrative backup for outside salespeople.
D) They rely on telemarketing efforts to gain leads and clients.
E) They build relationships with customers through face-to-face collaboration.

Question 24

Lemony Inc. sells its popular bottled lemonade-the company's only product-in various geographic locations through tie-ups and agreements with retailers. Each location is represented by two salespersons, one of whom serves current customers while the other finds new ones. Which of the following sales force structures has most likely been combined to form the complex sales force structure at Lemony Inc.?

A) product and territorial
B) market and customer
C) market and territorial
D) geographical and product
E) market and product

Question 25

Sales force automation systems enable salespeople to profile prospects, forecast sales, and prepare expense reports.

Question 26

Using a customer sales force structure, a company organizes its sales force along customer or industry lines required.

Question 27

A compensation plan with a larger base-salary component and a smaller commission component is most effective for driving salespersons to acquire new businesses.

Question 28

use the phone, Internet, and social media to find new leads, learn about customers and their business, or sell and service accounts directly.

A) Sales assistants
B) Telemarketers and online sellers
C) Technical sales-support people
D) Outside salespeople
E) Sales managers

Question 29

Which of the following is a characteristic of an inside sales force?

A) It receives administrative backup from outside sales forces.
B) It travels to make sales calls on customers in the field.
C) It conducts business from an office via telephone.
D) It eliminates the need to have an outside sales force.
E) It cannot sell or service accounts directly.

Question 30

Weekly or monthly work plans used by management to get information about salespeople are referred to as .

A) ROI plans
B) call objectives
C) sales quotas
D) call plans
E) sales reports

Question 31

The fastest-growing sales trend is _ that involves the use of online, mobile, and social media to engage customers, build stronger customer relationships, and augment sales performance.

A) videoconferencing
B) social selling
C) online selling
D) team selling
E) personal selling

Question 32

How have social media tools most likely affected personal selling?

A) slowing the sales force response rate to customers' problems
B) changing the basic fundamentals of interpersonal selling
C) reducing the use of person-to-person selling efforts
D) increasing the costs of selling products and services
E) increasing the number of product reports given to customers

Question 33

Many large customer companies have implemented team-based purchasing, requiring marketers to employ equivalent team-based selling.

Question 34

Salespeople write up their completed activities in a(n) .

A) sales quota report
B) call report
C) expense report
D) call plan
E) profit-sharing plan

Question 35

Great salespeople possess intrinsic motivation, a disciplined work style, the ability to close a sale and most importantly, the ability to build relationships with customers.

Question 36

Which of the following is most likely true of a sales force?

A) The cost of replacing a salesperson is usually low because minimal training is necessary.
B) On-site sales training is more efficient and less costly than e-learning programs.
C) Individuals within a sales force generally perform at the same level of efficiency.
D) The performance difference between an average salesperson and a top salesperson is generally substantial.
E) A sales force with many new people is typically more productive than one whose members have been around for a long time.

Question 37

Sales managers use a that shows which customers and prospects to pursue and which activities to carry out.

A) bonus plan
B) sales quota
C) straight commission
D) call plan
E) sales contest

Question 38

Rose is a sales representative for Advanced Products Inc. Her remuneration is based entirely on her sales performance. For every $1000 order Rose secures she receives a $150 payment. In this situation a(n) is the variable amount in a salesperson's compensation.

A) profit-sharing plan
B) salary
C) bonus
D) commission
E) incentive

Question 39

are the standards stating the amount salespersons should sell and how sales should be divided among the company's products.

A) Time-and-duty analyses
B) Sales promotions
C) Sales reports
D) Sales quotas
E) Display allowances

Question 40

The goal of supervision is to encourage salespeople to "work hard" and energetically toward sales force goals.

Question 41

Most salespeople spend much of their time maintaining existing accounts and building long-term customer relationships.

Question 42

In which step of the selling process does a salesperson set call objectives?

A) preapproach
B) qualifying
C) presentation
D) prospecting
E) approach

Question 43

What are the four elements of salesperson compensation? Give an example to show how these elements motivate salespeople in different situations.

Question 44

Harry Potts is a salesperson for a national pet food company. He meets Karen Sharp, a buyer for a large, specialty pet retailer, and speaks to her at length about the product categories and brands of pet food the retailer currently carries as well as future needs. At which step of the selling process is Harry Potts in the above scenario?

A) approach
B) qualifying
C) preapproach
D) prospecting
E) closing

Question 45

The presentation stage of the selling process most likely involves _.

A) gathering information about an organization and its buyers
B) showing how a company's products can solve a customer's problems
C) fixing the final meeting with a customer to close a deal
D) requesting an order from the customer after handling any minor objections
E) cold calling in the absence of potential leads

Question 46

The salesperson completes any details on delivery time, purchase terms, and other matters during the step of the selling process.

A) presentation
B) handling objections
C) closing
D) follow-up
E) prospecting

Question 47

In which of the following steps of the selling process does a salesperson seek out, clarify, and overcome any customer disapproval to buying?

A) follow-up
B) handling objections
C) preapproach
D) closing
E) prospecting and qualifying

Question 48

In which step of the selling process does a salesperson learn as much as possible about a prospective customer before making a sales call?

A) preapproach
B) approach
C) handling objections
D) follow-up
E) demonstration

Question 49

Karen Rogers is a salesperson for Solar Panels Inc. She attends builder trade shows to identify potential customers in an effort to build long-term profitable relationships. Karen Rogers is engaging in which step of the selling process?

A) demonstration
B) prospecting
C) presentation
D) approach
E) preapproach

Question 50

Howard Genks works as a sales representative for Med-Tex, a firm that manufactures hospital supplies. Recently, a prospective buyer walked into the Med-Tex store seeking beds for the children's ward in his private
Clinic. Howard quickly showed the client the range of beds available that were designed specifically for
Children. In which of the following steps of the selling process was Howard?

A) handling objections
B) prospecting
C) qualifying
D) presentation and demonstration
E) follow-up

Question 51

Global Insurance sells health and life insurance policies to Fortune 500 companies for its employees. The company's salespeople regularly contact decision makers to ensure that the necessary paperwork has been filed and that contracts are executed. Updates are also provided regularly about premium changes for health insurance. Which of the following steps of the selling process does this scenario depict?

A) closing
B) follow-up
C) preapproach
D) presentation
E) approach

Question 52

What is the last step in the selling process?

A) follow-up
B) handling objections
C) closing
D) presentation
E) prospecting

Question 53

The salesperson should know how to meet and greet the buyer and get the relationship off to a good start in which step of the selling process?

A) qualifying
B) preapproach
C) prospecting
D) presentation
E) approach

Question 54

Salespeople need to know how to leads, that is identifying good leads and screening out poor ones, at the beginning of the selling process.

A) manage
B) approach
C) qualify
D) consolidate
E) generate

Question 55

Explain how an inside sales force should provide support to an outside sales force.

Question 56

In which of the following steps of the selling process does a salesperson ask a buyer for an order?

A) approach
B) preapproach
C) qualifying
D) prospecting
E) closing

Question 57

In which step of the selling process does a salesperson or company identify qualified potential customers?

A) approach
B) prospecting
C) preapproach
D) demonstration
E) presentation

Question 58

Customer-related selling refers to the use of online, mobile, and social media to engage customers, build stronger customer relationships, and augment sales performance.

Question 59

Many companies motivate their salespeople by setting sales quotas.

Question 60

How do companies use the workload approach to set sales force size?

Question 61

AirNetwork, a telecommunications company, sponsors a rock concert by a famous band in order to further its brand visibility. This is an example of a(n) .

A) event marketing
B) point-of-purchase promotion
C) premium
D) price pack
E) trade promotion

Question 62

are offers of a trial amount of a product.

A) Price packs
B) Samples
C) Coupons
D) Rebates
E) Cash refunds

Question 63

Prospecting is the sales step in which a salesperson learns as much as possible about a prospective customer before making a sales call.

Question 64

In the context of the selling process, what is closing? What are the various techniques a salesperson can use?

Question 65

You have been hired by a national office furniture supply company based in Fredericton, New Brunswick. Your primary responsibility is to grow new revenue by finding new customers. What are the different ways of
finding sales prospects?

Question 66

A toothpaste manufacturer that bands two products together, selling two for the price of one, is using which type of consumer promotion tool to build short-term sales?

A) rebates
B) coupons
C) price packs
D) advertising specialties
E) samples

Question 67

What is the primary goal of trade promotions?

A) generating qualified business leads and contacts
B) rewarding customers for frequent purchases
C) boosting long-term relationships with final buyers
D) motivating salespeople to attend trade shows
E) persuading resellers to carry a brand

Question 68

Millie Foods, producers of baby food, offers a monetary sum to retailers who agree to feature its new products on their shelves for a considerable time period. In this case, the promotion tool used by the company is referred to as a(n) .

A) discount
B) price pack
C) rebate
D) sample
E) allowance

Question 69

Black Diamond Cheddar has introduced a new cheddar taste. Displays are set up at various retail stores across Canada and patrons are offered free samples as well as $2 off coupons. Which promotion tool is Black Diamond Cheddar most likely using?

A) rebates
B) point-of-purchase promotions
C) price packs
D) coupons
E) advertising specialties

Question 70

Lucky Elephant, a Canadian brand of candy-coated popcorn, has been in existence since the 1950s. The brand became popular due to its free prize inside every box. Which of the following promotion tools does this exemplify?

A) premium
B) coupon
C) rebate
D) price pack
E) sample

Question 71

Koffee, a brand of instant coffee, gives away a free coffee mug with its logo imprinted on it with every purchase of a 500g packet of its instant coffee powder. Which promotion tool is Koffee using?

A) price packs
B) coupons
C) samples
D) rebates
E) advertising specialties

Question 72

In the weeks just prior to the Superbowl broadcast, many grocery stores have special displays in a highly visible area (usually near the entrance), which promote a gameday favourite snack. In addition, the grocery store includes these products in their weekly advertising and promotions. The grocery store is incentivized to conduct these activities by the brand. This effort to push the product to consumers is called
Promotions.

A) business
B) trade
C) point-of-purchase
D) consumer
E) sales force

Question 73

Which of the following is a promotion tool used for trade promotions?

A) conventions
B) allowances
C) sweepstakes
D) price packs
E) rebates

Question 74

What is value selling? Explain its importance and requirements.

Question 75

Which of the following statements is true of consumer promotions?

A) They include the use of conventions and trade shows.
B) They include a wide range of tools like samples, coupons, and refunds.
C) Their primary objective is to persuade resellers to carry a brand.
D) They include the use of display allowances.
E) They are primarily used to generate business leads and reward customers.

Question 76

Canadian Tire has issued Canadian Tire money since 1958. This highly successful program is an example of .

A) samples
B) point-of-purchase promotions
C) premiums
D) price packs
E) coupons

Question 77

Which of the following is most likely an example of a business promotion tool?

A) a sweepstakes program inviting customers to enter for the chance to win a new car
B) a trade fair showcasing a new audio system developed by an electronics firm
C) a free DVD for customers who purchase a new television at a retail store
D) a toaster being sold at half its list price for any buyer who purchases a food processor
E) a display allowance for retailers who feature a manufacturer's product in a favourable manner

Question 78

The manufacturer of Two-In-One, a combination shampoo and conditioner, shrink wraps a 4-ounce foil packet of a smoothing hair pomade to its combo product. Which of the following promotion tools is being used in this case?

A) advertising specialties
B) coupons
C) samples
D) price packs
E) rebates

Question 79

In which of the following promotion tools does a customer send a proof of purchase to a manufacturer, who then refunds part of the purchase price by mail?

A) premium
B) rebate
C) sample
D) coupon
E) price pack

Question 80

A freestanding insert in the Sunday newspaper for a local restaurant that contains a $5 off coupon for any meal over $20 is an example of a promotion targeted at .

A) government buyers
B) final buyers
C) retailers and wholesalers
D) business customers
E) salespeople