Exam 17: Integrating Direct Marketing and Personal Selling

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One disadvantage of direct marketing is that it has no way to identify and target specific segments of the population.

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Discuss why the role of personal selling is a critical one in the direct marketing tool kit, and briefly explain the three types of personal selling.

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Personal selling is critically important for establishing face-to-face communication with consumers.Face-to-face interactions enhance persuasion and are often necessary in selling products involving high technology or a high price.Products that are complicated to use, require demonstration, or must be customized to individual consumer needs are also more successfully marketed when the IBP mix includes a personal selling approach.The following are the three types:
Order taking: A familiar sales role, one that involves documenting new purchases from consumers or businesses who want to buy goods or schedule services.What is not generally understood is that order takers very often act as the first line for establishing a dialogue with the customer.
Creative selling: It is needed when the consumer relies heavily on the sales person for technical information, advice, and service.
System selling: It entails offering a set of interrelated components rather than a single item, and sometimes a full range of products and services needed by customers.This often involves industrial manufacturers, producers of heavy equipment, or government buyers who have complex purchasing processes; and prefer dealing with a single firm, or a small group of firms, rather than multiple suppliers.

What is meant by the term direct marketing? What elements have contributed to its growth and popularity in recent years? What are the three principal purposes that a direct marketing program could serve for a company?

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According to the Direct Marketing Association, direct marketing is an interactive system of marketing which uses one or more advertising media to effect a measurable response and/or transaction at any location.It is interactive because it attempts to initiate and maintain a dialogue with customers, and it involves multiple forms of media to be most effective.
Some elements that have contributed to its recent growth and popularity are convenience (including time-savings for the consumer); credit cards (including more liberal views about using credit and accumulating debt); toll-free numbers (which make it simpler and more appealing to respond to direct marketing efforts); and computers (allowing for quick response and comparison shopping on the part of consumers, and easy ways to tract and interact with customers on the part of businesses).
The most common purpose that direct marketing serves is to close the sale with a customer.It can also identify prospects for future contacts.And it can be used to engage customers by seeking their advice, giving them information, addressing their concerns, rewarding their support, or fostering their loyalty.

The missionary salesperson is required to handle the hardest part of selling which is closing the sale.

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The job of a marcom manager is to provide technical assistance by ensuring that the IT department is functioning efficiently.

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Scenario 17-3 As the number of firms utilizing direct marketing continues to grow, so does the number of consumers opposed to the methods often described as "intrusive." To combat the growing number of opposed consumers, marketers need to find creative new ways to optimize their direct marketing campaigns.One such outlet that firms are beginning to experiment with is social media.Executives understand that many consumers view a company's Facebook page more often than the company's home page, so they've grown to realize that setting up some form of an email opt­in on social media sites is a great way to build marketing databases.In addition to opt-in sections, social media allows businesses to interact with consumers, which may make them less inclined to respond negatively to a company's direct marketing efforts.By utilizing social media more often in the future, a number of U.S.companies hope to build stronger and more useful marketing databases. -(Scenario 17-3) What effect has the Internet had on the privacy concerns regarding direct marketing?

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To get more personal data of consumers, companies can use advanced technology to merge offline data, like credit ratings and home value, with online data, like ordinary search activities and Internet navigation.

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Sarah's phone rings one evening at dinnertime.A man says he's calling from a nationwide magazine subscription service; and wants to know about Sarah's hobbies and interests, and her reading preferences.He proceeds to tell Sarah about a special deal if she orders three magazines.This type of telemarketing will most likely:

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There two types of personal selling are order taking and creative selling.

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Which of the following is the largest concern for consumers regarding direct marketing?

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Which of the following is the least complex form of personal selling?

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Creative selling involves answering questions and providing basic benefits of the goods being offered, but it rarely requires communicating large amounts of information or advice.

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An RFM analysis is used to:

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Xercise1, a nationwide fitness center chain, interviews its customers to determine their wants and needs regarding their local center's services, classes, equipment, facilities, business hours, etc.The marketers at Xercise1 are in the process of developing:

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The development of a marketing database commonly leads to interdepartmental rivalries and can create major conflicts between a company and its advertising agency.

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Cross-selling is the practice of identifying past purchasers of one product and suggesting that they purchase other products.

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Marketing databases are used by businesses for three concrete tasks or specific applications.Identify and define all three.Select one of them and demonstrate how it is used by a well-known corporation, manufacturer, retailer, or service provider.

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Which of the following direct marketing mediums currently have the highest response rate?

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Scenario 17-2 AmericanProfile is an e-technology company.It allows companies to search and navigate gigabytes of data, categorize disparate content, and gain secure access to information regardless of where it resides-all from its Web browser.Thus, AmericanProfile can share content across connected servers with partners, suppliers, customers, and employees to form an e-business content network.And it all happens in real time. -(Scenario 17-2) The whole idea behind promoting AmericanProfile is to show companies that gathering information about visitors' households and lifestyles through its website is a crucial step in building a:

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A marketing manager for a company that packages vacations to exotic locations uses a variety of media to promote these trips; including upscale magazines, infomercials, and direct mail.One of the primary objectives is integration.This is because if these programs are integrated, the manager can:

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