Deck 5: Sales Knowledge: Customers, Products, Technologies

Question 1

According to the text, salespeople who are product experts develop ethical, long-term relationships with customers.

Answer 1

False

Question 2

The three major categories of premiums are contests and sweepstakes, consumer premiums, and dealer premiums.

Answer 2

True

Question 3

Nowadays, salespeople are not expected to be knowledge brokers for their sellers.

Answer 3

False

Question 4

Monitoring advertising and sales promotion activities enables salespeople to include current data and prices into sales presentations.

Question 5

Prospects want to do business with salespeople who know their business and the products they sell.

Question 6

In the area of sales promotions, the letters POP stand for priced-on-purchase.

Question 7

Brenda Hernandez is a manager of a plant that processes recycled plastic to prepare them for sale to retail supermarkets. She recently saw an advertisement for a machine her company could buy to reduce the cost of reclaiming the recycled plastic by 20 percent. This ad is an example of trade advertising.

Question 8

Shelf-facing refers to the number of individual products placed side-by-side on the shelf.

Question 9

Many companies offer customers various types of discounts, which are usually developed at the business unit level by the firm's product managers.

Question 10

To reduce the amount of time that must be devoted to sales training, modern companies do not teach their salespeople about the company's history.

Question 11

Salespeople should familiarize themselves with the company's price, discount, and credit policies so that they can use them as a competitive advantage.

Question 12

Knowledge of selling is gained only through the company's formal training program.

Question 13

Salesperson knowledge is simply about a product or service.

Question 14

A premium is an article of merchandise offered as an incentive to the user to sample a product or visit a store.

Question 15

One method to obtain information on competitors is through advertisements.

Question 16

A successful salesperson focuses only on gaining knowledge about the specific product being sold because that is the only information that customers demand.

Question 17

According to the Core Principles of Professional Selling, most customers do not care how much a salesperson knows about a product until the salesperson shows honesty and caring.

Question 18

Premiums are used solely to get customers to come into the retailer's store.

Question 19

The use of technology provides salespeople with more efficient account control and better time and territory management.

Question 20

Sales training is the effort put forth by an employer to provide the opportunity for the salesperson to receive job-related skills and knowledge that improve sales success.

Question 21

The rules of netiquette encourage you to use all capital letters in e-mail that needs to be communicated quickly.

Question 22

Markup is the dollar amount of money added to the product cost to determine its selling price.

Question 23

In sales, the need for netiquette mostly arises when using cell phones.

Question 24

Sterling Industries offers customers cash discounts for paying their bills within 10 days. Assume a Sterling Industries customer purchases $10,000 worth of goods on October 1 and the cash discount is "2/10 net 30." If the customer pays his bill on October 9, the amount due will be $9,000.

Question 25

The emergence of the cloud technology has restricted more mobile, portable opportunities for salespeople.

Question 26

Net price is the standard price charged to customers.

Question 27

Customer Relationship Management (CRM), is a technology system that helps companies manage information about existing and potential customers.

Question 28

Etiquette rules for using a cell phone advise users to avoid cell yell.

Question 29

FOB shipping point means the buyer pays all shipping costs.

Question 30

A GIS is capable of revealing customer buying patterns.

Question 31

Sales force automation systems are used for managing customer follow-up calls.

Question 32

For salespeople who need to be constantly in touch with their clients, technology allows a functioning virtual office in the salesperson's home, their vehicle, hotel room, or even local coffee shop.

Question 33

Gross profit is the money that remains after paying the costs of marketing and operating the business.

Question 34

Electronic calendar management can result in improved time management.

Question 35

According to the text, The value of a CRM system lies in its ability to manage knowledge.

Question 36

Salespeople who use a virtual office are not as efficient as those who work out of a stable office.

Question 37

E-mails sent to customers can be written in a more casual format than business letters sent by conventional mail.

Question 38

According to the text, time is the most vulnerable asset a salesperson has to manage.

Question 39

Increased worldwide interaction requires access and exchange of data on a global basis.

Question 40

Cumulative quantity discounts are price reductions received for buying a certain amount of a product over a stated period of time.

Question 41

Which information is the LEAST important for a salesperson to know about a channel member that sells the same products as the salesperson's employer?

A) The channel member's distribution policies
B) Product lines and assortments carried
C) The channel members' pricing policies
D) Past purchases of the salesperson's product
E) Details on inventory, storage, and distribution

Question 42

Which of the following pieces of information would be LEAST important for a salesperson to know about the product she sells?

A) How the product performs
B) How well the product is selling in the marketplace
C) Specific features, advantages, and benefits of the product
D) Physical size and characteristics of the product
E) How to make the product

Question 43

A salesperson, promoting a new type of energy drink to a grocery-store chain, develops a plan integrating promotions within the grocery store, such as in-store sampling, along with national initiatives conducted by the energy drink manufacturer, such as national advertising and social media programming. This exemplified how:

A) the salesperson is using sales promotions to support personal selling.
B) the salesperson relies on other promotional elements as personal selling is not a very effective method to sell to retailers.
C) the selling firm would create awareness of their product and incent grocery consumers to visit the stores and purchase their energy drinks.
D) advertising is more important than personal selling.
E) the selling firm's advertising would support publicity.

Question 44

According to the text, salespeople need to have sales knowledge to:

A) comply with Green River Ordinances.
B) build the buyer's confidence in the salesperson.
C) eliminate inequities in sales experience.
D) more efficiently manage inventory.
E) win their employers' confidence.

Question 45

Why do some businesses require that new salespeople work on the company's assembly line?

A) Develop empathy
B) Gain product knowledge
C) Analyze channel distribution
D) Monitor customer service facilities
E) Form relationships with co-workers

Question 46

Which type of advertising is undertaken by the manufacturer and directed toward the wholesaler or the retailer?

A) Direct-mail advertising
B) Retail advertising
C) Trade advertising
D) Industrial advertising
E) Cooperative advertising

Question 47

Identify the incorrect statement about the buyer's expectations from a knowledgeable salesperson.

A) Buyers want salespeople to aid them in meeting their professional goals.
B) Buyers want salespeople to have knowledge about product and service, only.
C) Buyers want salespeople to aid them in meeting their organizational goals.
D) Buyers want salespeople to aid them in meeting their personal goals
E) Buyers want salespeople to be able to furnish important information on the environment and help interpret the information.

Question 48

To truly know channels of distribution, a salesperson should know:

A) the financial history of each channel member.
B) when the channel member began operation.
C) what product lines the channel member stock.
D) the names of all the channel member's employees.
E) the number of competitors the channel members have.

Question 49

A salesperson selling ________ to ________ would most likely have the most extensive product knowledge.

A) skis; consumers
B) jewelry; retailers
C) televisions; consumers
D) computers; small businesses
E) rocket components; engineers

Question 50

Terrence sells office equipment and is asked by a prospect, "How does your product compare to the one I'm currently using?" To prepare for this question, Terrence should have:

A) planned a trial close.
B) examined the competition's ads.
C) checked his firm's code of ethics.
D) practiced question-avoidance techniques.
E) talked to former employees of his competitors.

Question 51

As per the text, in order to be a knowledge broker, which one of the following pieces of information would be LEAST important for a salesperson?

A) their customers
B) their customer's business and industry
C) their customer's organization
D) key dynamics and trends that can impact their customer
E) their customer's political beliefs

Question 52

Which term refers to an employer's effort to provide the opportunity for salespeople to learn about the job-related skills, knowledge, and attitudes that lead to sales success?

A) Market positioning
B) Sales training
C) Sales enhancement
D) Market delegation
E) Job development

Question 53

Salespeople need to have knowledge for all of the following EXCEPT:

A) increasing the individual salesperson's self-confidence.
B) meeting buyer's expectations
C) building relationships with their customers.
D) building the buyer's confidence in the individual salesperson.
E) increasing cognitive dissonance among customers.

Question 54

A typical salesperson's product knowledge should primarily include:

A) the product's FAB.
B) the product's SELL sequence.
C) the product's AIDA sequence.
D) who invented the product.
E) how the product is made.

Question 55

Markup can only be derived from the product's cost.

Question 56

Salespeople trying to gather general information about their own company may be LEAST interested in learning about:

A) company growth and accomplishment
B) policies and procedures
C) production facilities
D) service facilities
E) architectural details of the company's building

Question 57

Which of the following statements about sales training is true?

A) Sales training ends when the salesperson actually begins the selling job.
B) An understanding of sales training is only gained through the company's formal training program.
C) Sales training is irrelevant once a salesperson receives the designation of "master sales representative."
D) Sales knowledge gained from sales training benefits not only the salesperson and the company but also the customer.
E) Periodic sales training is intended to keep salespeople humble and aware of their shortcomings.

Question 58

Identify the correct statement about sales training.

A) Knowledge of selling is primarily developed through experience.
B) Most salespeople only go through about two weeks of sales training during their entire selling career.
C) Sales knowledge gained from sales training typically does not benefit the salesperson.
D) The only reason companies engage in sales training is to abide by federal government laws that require equity in positioning.
E) A salesperson has to undergo sales training only at the beginning of a sales career.

Question 59

The value or worth of a product that attracts the buyer to exchange money or something of value for the good or service is its:

A) price.
B) gross profit.
C) contribution margin.
D) markup.
E) net profit.

Question 60

Which type of advertising is aimed at individuals and organizations who purchase products used for manufacturing other products?

A) Direct-mail advertising
B) Retail advertising
C) Trade advertising
D) Industrial advertising
E) Cooperative advertising

Question 61

In most cases national and retail advertising is aimed at:

A) manufacturers.
B) wholesalers.
C) final consumers.
D) trade specialists.
E) industrial users.

Question 62

Proctor & Gamble wants to reach all users of the firm's products, both industrial buyers and consumers. The firm would most likely use ________ advertising because it has the greatest reach.

A) trade
B) national
C) relationship
D) retail
E) corporate

Question 63

An advertisement for Carr cabinet doors that is directed at people in the woodworking industry ran in a publication called Custom Woodworking Business. The ad explained why Carr cabinet doors were the perfect finishing touch for all cabinets. This manufacturer used ________ advertising to reach potential users.

A) industrial
B) national
C) trade
D) retail
E) co-op

Question 64

Shelf facings are defined as:

A) the number of individual products placed beside each on the shelf.
B) the number of individual point-of-purchase displays placed within a retail store.
C) the physical placement of the product within the retail store.
D) the actual potential inventory size of a retail outlet.
E) the number of individual products placed beside each other on the retailer's shelf.

Question 65

Which of the following would most likely include a trial sample or request consumers to complete a questionnaire to receive a free product sample?

A) Trade advertising
B) Industrial advertising
C) Cooperative advertising
D) Retail advertising
E) Direct-mail advertising

Question 66

The major obstacle a salesperson faces when trying to get retailers to place new products on store shelves is:

A) retailers' resistance to change.
B) limited shelf space.
C) negative publicity.
D) self-regulation.
E) determining product category.

Question 67

A veterinarian ran a local newspaper advertisement announcing it was the exclusive distributor of Hill brand gourmet pet food. The Hill salesperson reimbursed the veterinarian for the media cost. This is an example of ________ advertising.

A) industrial
B) national
C) trade
D) dual
E) co-op

Question 68

Which of the following is most likely an example of a consumer sales promotion?

A) Free merchandise
B) Trade advertisements
C) Sales contests
D) Retail coupons
E) Shelf facings

Question 69

Local supermarkets and department stores regularly advertise nationally distributed brand products. Which of the following advertisement types are they most likely to use?

A) Retail advertising
B) National advertising
C) Cooperative advertising
D) Trade advertising
E) Industrial advertising

Question 70

Sheila Dunn is the author of a children's book. A retail bookstore chain has agreed to advertise Sheila's book aggressively with lots of countertop literature racks, posters, banners, and life-size images of the characters from her book. All of these are examples of:

A) trade sales promotion.
B) point-of-purchase displays.
C) shelf positioning.
D) shelf facing.
E) retailer premiums.

Question 71

Kellogs cereal manufacturer recently offered miniature versions of a popular cartoon character in their cereal boxes. The term used for this marketing tool is:

A) premium.
B) reward.
C) bonus.
D) incentive.
E) discount.

Question 72

A salesperson was selling industrial power generators to a manufacturing firm when the purchase manager said, "I really like the specifications, but I am not going to give the order without knowing its warranty details" The salesperson, utilizing his tablet, visited her firm's main computer database, and handed the purchase manager a printout of the generator's warranty details immediately. This incident best exemplifies how:

A) a sales-oriented promotional method is effective.
B) changes in the technology have enhanced sales.
C) influential transactional selling methods can be.
D) a partnering relationship develops with consumers.
E) important CRM software is to salespeople.

Question 73

Shelf positioning refers to the:

A) number of individual products placed beside each on the shelf.
B) number of different product lines carried by an individual store.
C) number of individual point-of-purchase displays placed within a retail store.
D) physical placement of the product within the retail store.
E) physical placement of point-of-purchase displays within the retail store.

Question 74

Which of the following statements about how sales technology impacts the productivity of salespeople is incorrect?

A) Sales technology tools are at the heart of salespeople's ability to provide top-quality customer service.
B) Sales technology is impacting salespeople in all aspects of their lives.
C) Sales technology is used to create better strategies.
D) Sales technology helps salespeople increase their productivity and effectiveness.
E) Sales technology cannot be used for order processing and customer service.

Question 75

Which of the following is most likely an example of a trade sales promotion?

A) Free samples
B) Free merchandise
C) Consumer contests
D) Store coupons
E) Consumer demonstrations

Question 76

Manufacturers are LEAST likely to use premiums for:

A) getting prospects to request further information.
B) boosting the future sales of fast moving products.
C) getting customers to come into the retail store.
D) persuading prospects to sample the product.
E) introducing a new product.

Question 77

Companies do all of the following while advertising their products EXCEPT:

A) increase intermediary cooperation.
B) educate potential customers about products.
C) reduce buyers' cognitive dissonance about a purchase.
D) develop leads for salespeople through mail-ins.
E) presell even before a salesperson's call.

Question 78

To make the most efficient use of technology and software applications as sales tools, salespeople should use them to:

A) play games while they wait for a customer.
B) make cold calls.
C) help them avoid using the wrong closing.
D) improve their personal productivity.
E) create personal blogs.

Question 79

Smith-Lockwood, a gift store, ran a half-page advertisement in a regional newspaper for Howard Miller brand clocks. Smith-Lockwood's Howard Miller supplier reimbursed the store's owner for the media cost. This is most likely an example of ________ advertising.

A) industrial
B) national
C) trade
D) institutional
E) co-op

Question 80

Advertisements in a local newspaper for a locally owned garden center are examples of ________ advertising.

A) industrial
B) national
C) trade
D) retail
E) co-op