Deck 7: Product-Selling Strategies That Add Value

Question 1

Salespeople who focus on transactional selling will be the ones best able to compete with online vendors in the future.

Answer 1

False

Question 2

The potential product exists when salespeople offer the customer more than they expect.

Answer 2

False

Question 3

Product positioning is a concept that applies only to new products.

Answer 3

False

Question 4

The generic product is the basic,substantive product you are selling.

Question 5

Mature and well-established products are usually characterized by intense competition as new brands enter the market.

Question 6

Once a positioning strategy has been developed it should remain constant through out the life cycle of that product.

Question 7

When selling a new or emerging product,the salesperson should be emphasizing brand superiority.

Question 8

To understand the potential product,salespeople should "talk" to their customers.

Question 9

The more complex the product,the greater the role of mass advertising as opposed to personal selling in positioning it.

Question 10

Most companies use a combination of marketing and sales strategies to position their products.

Question 11

Intangibles elements can be used to position a product.

Question 12

A complex product can be best positioned using a mass communication method such as advertising.

Question 13

For a growing number of customers,short-term savings that result from low prices are more important than long-term value.

Question 14

The objective of product positioning is to gain competitive advantage.

Question 15

Delivering a generic product will not give a salesperson the right to compete in the marketplace.

Question 16

Pricing decisions are made primarily during the introductory stage of the product life cycle.

Question 17

The three parts that make up the cluster of satisfactions concept are; the product itself,the company that makes it and the sales person who sells it.

Question 18

In most cases,the same sales strategy is used to sell a new and emerging product as a mature,well-established product.

Question 19

"Unbundling" product features is a good strategy to use when the customer is not overly concerned with price.

Question 20

In competitive markets,setting a product's price may be a firm's most complicated and important decision.

Question 21

In order to bring the Ryan Hotel and Convention Centre up to industry standards,each guest room was redecorated with new wallpaper,drapes,carpeting,mattresses and sofas.Annie Delia,sales manager for the Centre,has recommended that guest rooms be upgraded with the addition of wide desks,voice mail,fax machines,and 24-hour room service.From the viewpoint of most business travelers,this change would result in creation of a(n):

A)value-added product.
B)generic product.
C)expected product.
D)potential product.
E)hyper-premium product.

Question 22

Most retailers will not allow food or beverages in their stores.Alive & Well offers free beverages to customers who visit it.This is an example of offering customers a(n)________ product.

A)expected
B)hyper-premium
C)generic
D)potential
E)value-added

Question 23

As the level of competition increases,especially in the case of a mature product,salespeople must look more carefully into the ________ product.

A)generic
B)potential
C)hyper-premium
D)value-added
E)expected

Question 24

'La Mirage" a hotel in the ski resort town of Whistler,BC,offers off-season pricing to encourage conference room bookings during the summer.This is an example of:

A)seasonal pricing.
B)promotional allowance.
C)trade pricing.
D)discount pricing.
E)low price strategy.

Question 25

Which of the following product selling strategies is least important when selling mature and well-established products?

A)provide outstanding customer service
B)point out unique features
C)emphasize brand superiority
D)emphasize company superiority
E)change customer habits

Question 26

In relationship selling,when you invest in developing a good understanding of the customer's needs and problems,it is called:

A)positioning.
B)perception analysis.
C)customer satisfaction.
D)win-win strategy.
E)value creation.

Question 27

Customer Relationship Management (CRM)can be an effective tool to provide value-added products to customers.

Question 28

Mohini has agreed to display a large poster of "Ringo Star" Sauce and devote a corner of her store to display "Ringo Star" Sauces.In return the salesperson from "Ringo Star" Sauces gives Mohini a price reduction.This is an example of a:

A)"a special".
B)promotion allowance.
C)time period pricing.
D)quantity discount.
E)price discount.

Question 29

Devon's customers want information on the product,the company and the salesperson.In this case they are seeking:

A)strategic selling.
B)customer-oriented selling.
C)a cluster of satisfaction.
D)value-based selling.
E)transactional selling.

Question 30

It is difficult to build customer loyalty if you are selling only the expected product.

Question 31

Customer satisfaction arises from:

A)the product itself.
B)what others think about them owning the product.
C)the salesperson who sells and services the product.
D)a combination of the product,company,and salesperson.
E)the company that makes or distributes the product.

Question 32

Ritz Carlton must offer not only a comfortable guest room,but also a clean one.This is an example of a(n)________ product.

A)hyper-premium
B)expected
C)potential
D)value-added
E)generic

Question 33

The decisions,activities,and communication strategies that are directed toward trying to create and maintain a firm's intended product concept in the customer's mind are known as:

A)product life cycle.
B)adoption curving.
C)potential product.
D)product positioning.
E)value-added concept.

Question 34

When a price-conscious buyer has a low price buying strategy and does not see the value of some of the features,a good way to make a sale to such customers is to:

A)reduce the price to what they are willing to pay.
B)suggest a competitor's lower priced product.
C)provide a cluster of satisfactions.
D)educate them about those features.
E)"unbundle" those product features and offer them a cost-saving.

Question 35

When Dimitri offers a price discount to Kim for buying larger quantity of product,he is offering a:

A)price discount.
B)deal.
C)quantity discount.
D)trade discount.
E)illegal discount.

Question 36

Offering customers a value-added product is a way of developing customer loyalty.

Question 37

Low price always equates to good value for all customers.

Question 38

Which of the following statement about positioning products is false?

A)It may be necessary to reposition products several time in their life.
B)Advertising directed toward a mass market will often fail to position a complex product.
C)Salespeople have assumed an important role in positioning products.
D)Product positioning applies to both new and existing products.
E)The best way to position new products is setting a low price.

Question 39

Which of the following statements about pricing policies is false?

A)Low price means more value in transactional selling.
B)Some companies maintain a pricing strategy that focuses on meeting competition.
C)Economic theory says that more people will want a product at a lower price than at a higher price.
D)The ability to offer the lowest price is usually the most critical factor in the sale of products and services.
E)Pricing strategies often reflect the product's position in the product life cycle.

Question 40

The salesperson should emphasize building strong relationships with customers when selling mature and more well-established products.

Question 41

When Madeline is proposing her solutions to a customer's needs,she realizes they are buying not only her services,the product she sells,but also:

A)peace of mind.
B)the company she works for.
C)improved warranties.
D)after sales service.
E)new and improved features.

Question 42

The stages a product goes through from the time it is first introduced to the market until it is taken off the market is called:

A)the positioning cycle.
B)total product management.
C)the product life cycle.
D)the adoption process.
E)the business life cycle.

Question 43

When Julia tries to create the perception that her product is the highest quality product in her industry,she is engaging in:

A)brand imaging.
B)product positioning.
C)relationship positioning.
D)product management.
E)relationship management.

Question 44

The worksheet used to achieve product differentiation,understand competition,and prepare an effective value proposition is called a:

A)SWOT analysis worksheet.
B)Competitive Advantage worksheet.
C)Strategic Selling worksheet.
D)Total Product worksheet.
E)Competitive Analysis worksheet.

Question 45

When Sandie considers the positioning of the various products she buys,her concept of the product's attributes are:

A)a loosely held set of beliefs.
B)highly influenced by the mass media.
C)relative to the concept of competing products.
D)relative to the price.
E)firmly set in place.

Question 46

Laura's professionalism as a salesperson dictates that she explore what remains to be done,that is,what is possible.This is called exploring the:

A)potential product.
B)generic product.
C)expected product.
D)target market.
E)relationship.

Question 47

One of the best ways for a company to differentiate it's product or service in a competitive market would be through:

A)its management.
B)develop new packaging.
C)its advertising.
D)its branding.
E)its salespeople.

Question 48

Ella has watched several products grow through the product life cycle.She has witnessed:

A)market introduction,market adoption,market fatigue,and market decline.
B)early adopters,early majority,late majority,and laggards.
C)market introduction,market growth,market maturity,and market decline.
D)market adoption,market growth,market decline,and product drop off.
E)market introduction,market growth,market adoption,and market decline.

Question 49

Sarah works in a very competitive industry.She often works hard to distinguish herself and her products from the competition.She does this by offering her customers:

A)the generic product.
B)a value-added product.
C)a list of configuration options.
D)a potential product.
E)the expected product.

Question 50

In the north american market,tomato ketchup could be classified as a:

A)new and emerging product.
B)consumer product.
C)transactional product.
D)mature and established product.
E)brand.

Question 51

In today's marketing environment,it is not possible to simply provide the:

A)generic product.
B)intangible product.
C)tangible product.
D)expected product.
E)lower priced product.

Question 52

As the competition intensifies,the salesperson needs to:

A)explore the potential product.
B)lower the price.
C)provide the expected product.
D)provide the generic product.
E)provide the value-added product.

Question 53

When a salesperson wants to determine a customer's feelings and perceptions about the product, she/he is learning about the:

A)value-added product.
B)positioning.
C)expected product.
D)customer's point of view.
E)generic product.

Question 54

Henri has worked with some products for several years.Over the life cycle of these products he has seen these products:

A)move from specialized to mass use.
B)drop dramatically in price.
C)use the same positioning strategies.
D)differentiate themselves.
E)reposition themselves several times.

Question 55

When Melanie sells new innovative products,she is often faced with the challenge of:

A)developing a new sales presentation.
B)gathering competitive information.
C)gathering product information.
D)creating a new level of expectation.
E)lowering the price.

Question 56

When Jennifer makes decisions,engages in activities,and communicates with the purpose to create and maintain her firm's intended product concept in her customer's mind,she is engaging in:

A)brand imaging.
B)relationship positioning.
C)product management.
D)product positioning.
E)relationship management.

Question 57

Low involvement buyers care mostly for:

A)service
B)value
C)price
D)quality
E)image

Question 58

When Brian sells his mature,well-established products,he characterizes the competitive environment as:

A)intensely competitive with one competitor.
B)intensely competitive with new products entering the field.
C)unimportant,his product leads the field.
D)oligopolistic.
E)lacking challenge.

Question 59

Generally speaking,as the product moves through the product life cycle,the prices tend to:

A)go through periods of high and low cycles.
B)stabilize.
C)decrease.
D)increase.
E)become more important to customers.

Question 60

Taylor has worked with some products for several years.He noticed that they all had distinct life cycle shapes.These different life cycles could be caused by factors other than:

A)competitive actions,including price changes.
B)each product's perceived advantage over substitutes.
C)his sales presentations.
D)changes in technology,fashion,or demographics.
E)effectiveness of competing promotions.

Question 61

In order to be competitive and achieve customer loyalty,a salesperson should sell:

A)the generic product.
B)the expected product.
C)the most technologically advanced product.
D)the value-added product.
E)at the most competitive price.

Question 62

Giving various types of discounts such as quantity discounts,promotional allowances etc.are examples of a:

A)relationship strategy.
B)differentiation strategy.
C)low price strategy.
D)value-added strategy.
E)bargain.

Question 63

The objective of conducting a competitor analysis as part of the product strategy is to:

A)develop a strategy to overcome the price objections.
B)reposition the product.
C)maximize cluster of satisfactions of the buyer.
D)help with the close of the sale.
E)develop a marketing strategy.

Question 64

The ________ product refers to what may remain to be done,that is,what is possible.

Question 65

The first step in establishing a product price is to determine the firm's pricing ________.

Question 66

The proper sequence of the Total Product Concept,from the perspective of increasing customer value is:

A)generic,value-added,expected,potential
B)potential,generic,value-added,expected
C)generic,expected,value-added,potential
D)value-added,expected,generic,potential
E)potential,value-added,generic,expected

Question 67

Today's better educated and more demanding customers are seeking a ________ of satisfactions.

Question 68

The objective of product differentiation is to:

A)to make the selling job easier.
B)make your product unique and create a competitive advantage.
C)to reposition your product in the consumer's mind.
D)to maximize customer satisfaction.
E)to discourage price comparisons.

Question 69

The objective of developing a positioning strategy is:

A)maximize product visibility in the market.
B)to minimize purchase risks.
C)to encourage brand name recall.
D)to gain competitive advantage.
E)to maximize customer satisfaction.

Question 70

When selling new and emerging products,the emphasis of the product strategy should be on:

A)brand comparisons.
B)developing relationships with customers.
C)removing cognitive dissonance about the new product.
D)creating desire for the new product.
E)managing expectations about the new product.

Question 71

An explanation of price and value is:

A)price is the numeric amount,value is perceived by the customer.
B)value determines price.
C)value is a tangible notion.
D)price determines value.
E)they are the same thing

Question 72

The generic product at a hair salon would be:

A)advice on which hair style will suite the patron's face shape
B)employing hair dressers with very specialized training
C)providing convenient salon hours
D)making a patron feel glamorous
E)a hair cut

Question 73

When selling in mature markets or selling well-established products,a salesperson should:

A)provide free trials of the product.
B)provide more product information.
C)develop relationship with customers.
D)do brand comparisons.
E)provide price discounts.

Question 74

One option available to salespeople facing a buyer with a low-priced buying strategy is to ________ product features

Question 75

High involvement buyers tend to be:

A)mostly concerned about the quality.
B)mostly concerned about the price.
C)mostly concerned about the value.
D)emotionally involved with the brand.
E)mostly concerned about the product benefits.

Question 76

Delivering more than what a customer expects is providing them with:

A)the value-added product
B)the expected product
C)the core product
D)the augmented product
E)the generic product

Question 77

Products are born,grow up,mature,and grow old.In marketing,this process is known as ________.

Question 78

Repeated use of the statement "Quality is Job 1" in marketing campaigns by a car manufacturer suggests that the statement is part of their:

A)positioning strategy.
B)promotion strategy.
C)promotion jingle.
D)competitive advantage.
E)consumer expectations management plan.

Question 79

As the complexity of the product increases,the positioning involves greater use of:

A)on-line marketing.
B)advertising.
C)publicity.
D)technology.
E)sales people.

Question 80

To deliver the expected product we must understand our:

A)company strengths and weaknesses
B)competitor's strengths and weaknesses
C)salesperson's values and beliefs
D)actual or generic product
E)customer's expectations