Deck 18: Sales Promotion and Personal Selling

Question 1

What is the term for marketing communication activities in which a short-term incentive is offered to induce the purchase of a particular good or service?

A)publicity
B)sales promotion
C)promotion
D)advertising

Answer 1

B

Question 2

AFLAC Insurance Company has a duck in its ads that says the company's name instead of "quack." Since the advertising campaign began, AFLAC has created a duck premium, developed a line of clothing with the AFLAC duck, and used the AFLAC duck on its website. What has the AFLAC duck become a tool for?

A)push strategies
B)comparative advertising
C)cause marketing
D)sales promotions

Answer 2

D

Question 3

Papa John's boosted its online pizza ordering service with a promotional tie-in with the release of King Kong on DVD. Consumers who ordered the pizza (online, by phone, or in-store) received $3 off the purchase price of the King Kong DVD. What is this an example of?

A)premium
B)trade discount
C)rebate
D)coupon

Answer 3

D

Question 4

What is one of the best methods for creating and rewarding brand loyalty among consumers who might otherwise switch to competing brands?

A)a directed coupon mailing
B)a sweepstakes
C)a loyalty marketing program
D)a sampling program

Question 5

Why do some marketers offer rebates instead of price reductions to induce short-term sales?

A)Rebates are especially good at enticing purchases, but most consumers never bother to redeem them.
B)A price reduction of this type would likely be an example of price discrimination.
C)Rebates have a much higher redemption rate than coupons.
D)Rebates result in brand-loyal consumers.

Question 6

When Darrell purchased a 2.2-kilogram bag of 9Lives cat food, he received a free can of the manufacturer's new gourmet cat food. What is the can of cat food an example of?

A)a product placement
B)a trade sample
C)a premium
D)a loyalty incentive

Question 7

What is the usual goal of sales promotion (regardless of what form it takes)?

A)immediate purchase by consumers
B)return on investment
C)cost control
D)market share leadership

Question 8

What is the term for a cash refund given to consumers for the purchase of a product during a specific time period?

A)a premium
B)a trade discount
C)a rebate
D)a functional allowance

Question 9

What are coupons, premiums, contests, free samples, and frequent buyer programs examples of?

A)personal selling
B)publicity
C)advertising
D)consumer sales promotion

Question 10

What type of coupon has the highest redemption rate?

A)paper coupons
B)Internet coupons
C)flyer coupons
D)instant coupons on product packages

Question 11

Why have packaged-goods marketers such as Kellogg's and Betty Crocker recently increased their use of coupons?

A)intense competition and the introduction of new products
B)the growth of frequency programs
C)POP activities
D)user incentives from retailers

Question 12

When Rick purchased a Xerox colour printer for his law office, he was able to mail in a proof-of-purchase and his cash register receipt to receive a cheque from Xerox for $200. What did Rick receive?

A)a premium
B)a trade allowance
C)a purchase allowance
D)a rebate

Question 13

Which of the following best describes sales promotion?

A)It is a publicity tool.
B)It is directed only to the ultimate consumer market.
C)It is more difficult to measure than advertising.
D)It offers a short-term incentive to buy.

Question 14

Consumers can send away for a foam version of the Gear Giggle glasses sold in stores with two proofs of purchase of Minute Maid 10-pack juice boxes. What are the glasses an example of?

A)a loyalty incentive
B)a trade sample
C)a premium
D)a product placement

Question 15

What is the objective of a loyalty marketing program?

A)to encourage brand switching
B)to appeal to bargain hunters who consistently buy the lowest priced brand
C)to take away customers from the competition
D)to build long-term, mutually beneficial relationships between a company and its key customers

Question 16

Whenever Hugo buys a soft drink at his nearby convenience store, he gets a stamp for the card that he carries in his wallet. When he has eight stamps, he can exchange the card for a free drink. What is this an example of?

A)a self-liquidating premium
B)a frequent buyer program
C)a loyalty incentive
D)an in-store rebate

Question 17

When Jane Ming purchased a subscription to Canadian Living magazine, she received a free cookbook entitled Christmas Cookies. What is the cookbook an example of?

A)a rebate
B)a premium
C)a trade sample
D)a loyalty incentive

Question 18

What are cobranded credit cards used in conjunction with?

A)self-perpetuating discounts
B)loyalty marketing programs
C)consumer discount programs
D)functional consumer discounts

Question 19

HarperCollins and Sutter Home Winery formed a partnership to launch a promotion that features neck hangers on 1 million bottles of wine, each of which offers $2 off a HarperCollins book. What is this neck hanger an example of?

A)a premium
B)a trade discount
C)a purchase allowance
D)an in-store coupon

Question 20

What are the two types of sales promotion?

A)consumer and trade
B)informative and reminder
C)adoptive and diffusive
D)personal and impersonal

Question 21

Which of the following statements best describes contests and sweepstakes?

A)Contests depend on luck, and participation is free.
B)Contests are generally effective tools for creating long-term relationships with customers.
C)Sweepstakes are promotions that require participants to exhibit some skill.
D)Sweepstakes usually draw about 10 times more participants than contests.

Question 22

Rogers Cable mailed 15,000 small business owners in and around Toronto a CD called 100+ Essential Web Sites for Small Business Owners that lists and links the top websites on improving retail sales. Rogers hopes that recipients of the CD will view this as just one of many useful services Rogers can provide them. What is this CD an example of?

A)a direct buyer program
B)a sampling
C)a pull product
D)a push product

Question 23

Montana's Best is a new precooked meal-in-a-bag product made from bison meat. The company is having difficulty gaining consumer acceptance of its bison products even though bison is high in protein and low in cholesterol, fat, and calories. Those who have tried the meat have agreed that it is tender and as delicious as any choice steak, and it is less expensive. Montana's Best should focus on which of the following sales promotion tools?

A)sponsorship
B)sampling
C)in-pack couponing
D)premiums

Question 24

Which of the following statements best describes online sales promotions?

A)Internet sales promotions are more effective and cost-efficient at generating responses than their offline counterparts.
B)One of the few types of sales promotion that cannot be used online is sampling.
C)Online coupons have lower redemption rates than off-line coupons.
D)Loyalty marketing programs are ineffective when used at websites to encourage traffic.

Question 25

Which of the following is NOT an example of a trade sales promotion?

A)push money and training
B)premiums and coupons
C)free merchandise and store demonstrations
D)trade shows

Question 26

Why did manufacturer of Claritin, a drug for allergy sufferers that was designed to not make them sleepy, give physicians free samples of the drug?

A)Its formula is similar to other allergy relief medicines currently on the market.
B)Sampling is a way to get rid of excess products.
C)Sampling allows the consumer to try the product risk-free.
D)Trial-size containers are a form of advertising.

Question 27

What is one of the major advantages to using point-of-purchase promotion?

A)its low costs
B)its ability to create long-term relationships with customers
C)the fact it has a captive audience
D)the low monetary requirements

Question 28

Which type of strategy do trade sales promotions support?

A)Push money
B)hierarchical
C)discontinuous innovation
D)pull

Question 29

What is the term for money offered by a manufacturer to employees of channel intermediaries to encourage them to sell the manufacturer's product?

A)a trade allowance
B)push money
C)a selling deal
D)a premium payment

Question 30

Seagram's Coolers has asked bartenders to submit cocktail recipes to its website. From these entries, the winning recipe will be selected. What is the term that best describes this?

A)contest
B)push money deal
C)sampling
D)sweepstakes

Question 31

Which of the following are promotional exhibits targeted to consumers and set up at the retailer's location to build traffic, advertise the product, or induce impulse buying?

A)point-of-purchase displays
B)trade shows
C)direct demonstrations
D)freestanding kiosks

Question 32

Under a partnership agreement between HarperCollins and Sutter Home Winery, consumers can visit the Sutter Home website monthly to learn which book and which wine are being featured. Each visit to the website qualifies the consumers for the opportunity to take their reading group for a weekend stay at the Sutter Home Victorian Inn and free books from HarperCollins. Since there is no skill involved, how will this prize package be awarded?

A)through a contest
B)through a sweepstakes
C)through a loyalty incentive plan
D)through a, event sponsorship

Question 33

What is the term for a price reduction offered by manufacturers to intermediaries such as wholesalers or retailers, in exchange for performance of specified functions or purchasing during special periods?

A)a point-of-purchase discount
B)pull money
C)a quantity discount
D)a trade allowance

Question 34

Which of the following would NOT be a target for a trade sales promotion offered by Rubbermaid, a manufacturer of storage and organization products?

A)a kitchen department in a large discount store
B)a wholesaler of plastic storage bins
C)a Rubbermaid distributor
D)a consumer who needs to organize her college dorm room

Question 35

What do point-of-purchase promotions work best for?

A)high-involvement products
B)complex products that require technical knowledge to operate
C)impulse buys
D)expensive products such as perfume and jewellery

Question 36

Broyhill is offering the sales force at Meers Furniture Emporium a $50 reward for each Broyhill Pleasant Isle Living Room Collection sold in the next 30 days. What type of trade sales promotion is the $50?

A)a trade allowance
B)push money
C)a selling deal
D)a direct commission

Question 37

The Pillsbury Bake-Off requires people to submit a recipe using Pillsbury baking products. Finalists are brought to Pillsbury kitchens to bake their recipes so the winner of a cash prize can be chosen. What is this an example of?

A)a contest
B)a sales promotion game
C)a sweepstakes
D)a push money deal

Question 38

Maureen Kye is a sales associate at a store that sells new and used CDs and DVDs. Recently, she was given a DVD containing scenes not in the theatre-released Disney's Pirates of the Caribbean: Dead Man's Chest to encourage her to suggest that customers buy this movie. What is the CD an example of?

A)the use of a pull strategy
B)a trade sales promotion
C)a trade allowance
D)a free consumer sales promotion

Question 39

Schwinn Cycling and Fitness Inc. is offering a chain of sporting goods superstores a 20 percent discount on all Schwinn bicycles if the stores will run their own special promotion on the new Schwinn Paramount Titanium bikes. What is Schwinn offering?

A)a trade allowance
B)a life-cycle extension promotion
C)a P-O-P discount
D)a product development deal

Question 40

Which of the following is NOT an example of a point-of-purchase promotion?

A)television monitors at supermarket checkouts
B)shelf talkers
C)newspaper inserts
D)end-aisle and floor-stand displays

Question 41

Which of the following statements does NOT characterize the traditional personal selling approach?

A)Traditional selling focuses on closing sales.
B)Traditional selling uses short-term follow-ups that focus on product delivery.
C)Traditional personal selling is growing in popularity.
D)Traditional selling use to emphasize pricing and product features.

Question 42

For which of the following products would its producer be more likely to choose personal selling rather than advertising or sales promotion to market it?

A)rosebushes
B)washing machine/dryer combo
C)snack food
D)romance novel

Question 43

Harland & Wolff in Belfast, North Ireland, makes oceangoing vessels. (It was the company that built the Titanic.) Last year its primary customer was the US government. What would you expect Harland & Wolff to rely on to promote its vessels?

A)advertising and sales promotion
B)sales promotion
C)personal selling
D)product innovations and direct marketing

Question 44

Which of the following is a sales practice that involves building, maintaining, and enhancing interactions with customers in order to develop long-term satisfaction through mutually beneficial partnerships?

A)networking
B)adaptive selling
C)stimulus-response selling
D)relationship selling

Question 45

When compared to other forms of promotion, personal selling is which of the following?

A)not as effective at satisfying customers
B)wastes more sales resources than any other promotion
C)a message customized to the immediate needs of the customers
D)best for selling simple, low-involvement products

Question 46

Which of the following does NOT describe an advantage personal selling has over other forms of promotion?

A)Personal selling is less expensive on a per contact basis.
B)Personal selling is better for providing customers with detailed demonstrations of products.
C)It is easier to direct the marketing effort directly to qualified prospects with personal selling.
D)Personal selling costs can be controlled by adjusting the size of the sales force.

Question 47

Lopez is the largest Hispanic-owned meat processor in the United States. To assist retailers in marketing its products, Lopez provides point-of-sale materials and offers special introductory discounts to retailers. What does Lopez use?

A)functional marketing
B)relationship selling
C)consumer promotions
D)trade promotions

Question 48

Which of the following best describes relationship selling?

A)It is also called adaptive selling.
B)It is more concerned with making a sale than with developing customer trust.
C)It is more typically used when selling low-involvement products in the consumer market.
D)It emphasizes a win-win outcome.

Question 49

What sale approach is consultative selling most similar to?

A)"lone wolf"
B)self-service
C)transactional
D)long-term

Question 50

Trade sales promotions are popular among manufacturers because they are effective at trade shows, but which of the following can they NOT do at trade shows?

A)Introduce new products.
B)Create long-term relationships between manufacturers and customers.
C)Enhance the corporate image.
D)Test the market response to new products.

Question 51

As a manufacturer of ready-to-drink iced tea, Nestea sells a highly standardized product to consumers all over North America. What would you expect Nestea to rely on to promote its product?

A)public relations
B)personal selling
C)advertising and sales promotion
D)publicity and direct marketing

Question 52

What do the seven steps of the selling process closely follow?

A)the AIDA concept
B)the hierarchy of needs
C)the traditional communications model
D)the JIT process

Question 53

In which of the following cases is personal selling more important than advertising and sales promotion?

A)The products being sold are standardized.
B)There are many customers for the product being sold.
C)The product being sold has a low value.
D)The products being sold are technically complex.

Question 54

After deciding to end its backing of Canada's top tennis tournament, Molson has now agreed to sponsor the Canadian Open Tennis Championships in a new five-year, $20 million rights fee and media deal. Which promotional activity was most likely used in making this deal?

A)direct sales management
B)personal selling
C)public relations
D)sales promotion

Question 55

Which of the following describes the use of trade shows, conventions, and conferences to contact customers?

A)costs much less per potential customer than personal sales calls
B)most effective for mature products
C)usually directed toward the consumer goods market
D)has a disadvantage in that it is usually impossible to display the product itself

Question 56

What is the set of steps a salesperson goes through to sell a particular product?

A)the (P-O-S) cycle
B)the sales presentation
C)the sales process
D)the sales continuum

Question 57

Which of the following involves direct communication between a sales representative and one or more prospective buyers for the purpose of making a sale?

A)sales promotion
B)public relations
C)personal selling
D)direct marketing

Question 58

Which of the following is used because most businesses depend on repeat sales?

A)traditional personal selling
B)direct promotions
C)all trade promotions
D)relationship selling

Question 59

Jefferson Smurfit Company is a multibillion-dollar supplier of packaging materials. One of its salespeople rearranged production schedules at three different plants to satisfy an unexpected demand for boxes from General Electric. The salesperson's action is typical of the company's sales philosophy. What does it emphasize?

A)consultative promotion
B)relationship selling
C)adaptive selling
D)collaborative promotion

Question 60

You are responsible for sales promotion for Replenishmints, long-lasting breath mints for smokers. You need to introduce the mints to supermarket managers and owners, attract and identify new store contacts, and test market the response to Replenishmints. Which type of trade promotion would most likely help you reach your objectives?

A)trade shows
B)trade allowances and direct incentives
C)push money
D)direct sampling and store demonstrations

Question 61

AutoFry is the leading manufacturer of ventless deep fryers for supermarket deli and food service operations. It has developed a new high-capacity fryer. The company has decided to purchase a mailing list of thousands of food service managers and to send out brochures with a detachable card that the managers can use to request more information. What is AutoFry involved in?

A)lead generation
B)sales presentation
C)the close procedure
D)moving through the sales continuum

Question 62

Mallory, a junior salesperson for Kraft Foods, has been given a list of all grocery retailers in her region. She has been instructed to call each number on the list and see if the respondent is interested in stocking several new Kraft product lines. What is Mallory doing?

A)cold calling
B)networking
C)referring
D)quota setting

Question 63

What is the most basic criterion for determining whether someone is a prospect for a product?

A)degree of autonomy
B)ample resources
C)a need for reciprocity
D)a need that is not being satisfied

Question 64

Which process describes the homework that must be done by a salesperson before he or she contacts a prospect?

A)pre-sales dialogue
B)preapproach
C)closing preamble
D)sale profiling procedure

Question 65

Often the task of lead qualification is handled by a telemarketing group or a sales support person. This frees the sales representative from this time-consuming task. What does the task involve?

A)preapproach
B)database mining
C)co-opting
D)networking

Question 66

Which of the following involves determining which sales prospects have a recognized need, buying power, and receptivity and accessibility?

A)prospect examination
B)customerization
C)lead reciprocity
D)lead qualification

Question 67

What is determined about a prospect during lead qualification?

A)whether he or she has a recognized need, buying power, and receptivity and accessibility
B)whether he or she has any interest in a product
C)whether he or she has a real or imagined need for a product
D)whether he or she has the funds to pay

Question 68

Which of the following is a written document or professional presentation that outlines how a company's product will meet or exceed the client's needs?

A)a customer profile
B)a needs assessment
C)a sales proposal
D)a forecast of needs

Question 69

Which of the following is a form of lead generation in which the salesperson approaches potential buyers without any prior knowledge of the prospects' needs or financial status?

A)quota setting
B)networking
C)lead qualification
D)cold calling

Question 70

Salespeople ensure that delivery schedules are met, that the good or service performs as promised, and that buyers are trained in the use of the product. All of these functions are part of the final step in the selling process. What is that step called?

A)closing
B)lead qualification
C)follow-up
D)the sales presentation

Question 71

Joe Hamas sells for Rush Beverages. He is trying to convince retailers to carry his company's Ginseng Rush XXX, a new all-natural beverage that delivers an energy punch without caffeine. When he gets retailers to agree to stock his product, he asks them for the names of other retail operations that might be interested in carrying it. What is he using to get his sales leads?

A)networking
B)cold calling
C)referrals
D)direct marketing

Question 72

When Madison began selling all-natural cosmetics to consumers, she called friends, relatives, and fellow members of her sorority to see if they were interested in updating their appearances by using her products or eliminating chemicals from their beauty regimen. What is this technique for generating leads called?

A)cold calling
B)networking
C)qualifying
D)following up

Question 73

Kenneth Lincoln is an Account Director for No Crease, a company that offers laundry and ironing services to hospitals and schools. Kenneth is recommending that his account team learn about the AIDA process. Why would he encourage the use of AIDA?

A)It can help in the distribution process.
B)It can help in the networking process.
C)It can help in the selling process.
D)It can help in the cold calling process.

Question 74

What is the term for a determination of the customer's specific needs and wants and the range of options the customer has for satisfying them?

A)stimulus-response continuum
B)needs hierarchy
C)needs assessment
D)sales probability

Question 75

What process is used to identify those firms and people most likely to buy a company's products?

A)prospecting
B)lead qualification
C)sales presentation
D)sales approach

Question 76

Which of the following is a process of finding out about potential clients from friends, business contacts, coworkers, acquaintances, and fellow members in professional or civic organizations?

A)lead generation
B)networking
C)lead intermediation
D)looking for the golden parachute

Question 77

Prospecting is the identification of those firms and people most likely to buy the seller's offerings. What is another term for prospecting?

A)lead generation
B)lead qualification
C)customer mining
D)cold calling

Question 78

Which of the following is most likely to generate sales leads?

A)direct mail and telephone marketing programs
B)cold calling
C)reorders
D)networking

Question 79

Kanudsky, the junior salesperson for NU-VU Food Services Systems, has been given a list of phone numbers for all the food service managers in his city. Kanudsky has been instructed to call each number on the list and see if the respondent is interested in buying a NU-VU pizza/bread baking system. What is Kanudsky doing?

A)cold calling
B)networking
C)using cold referrals
D)lead qualifying

Question 80

During the preapproach, what does the salesperson do?

A)ask for referrals
B)learn as much as possible about the prospect's organization and its buyers
C)create point-of-purchase displays
D)handle pricing objections