Deck 16: Personal Selling, Databases, and Direct Marketing

Question 1

Personal selling is an important component of integrated marketing communications, especially for business-to-business transactions.

Answer 1

True

Question 2

Personal selling offers one major advantage not found in the other forms of marketing: two-way communication.

Answer 2

True

Question 3

Order getters are salespeople who process routine orders from customers.

Answer 3

False

Question 4

Order takers are salespeople who actively generate potential leads and persuade customers to make a purchase.

Question 5

Cross-selling involves the marketing of additional items with the purchase of a particular good or service.

Question 6

The most basic type of buyer-seller dyad is the contractual agreement.

Question 7

In the contractual agreement within the buyer-seller dyad, the relationship may or may not involve trust.

Question 8

In many countries outside of the United States trust relationships are expected and company executives are insulted at the suggestion the agreement should be solidified through a written contract.

Question 9

The highest level of buyer-seller dyad is the electronic data interchange (EDI) relationship.

Question 10

The second step in the selling process is determining customer wants.

Question 11

The third step in the selling process is determining customer wants.

Question 12

The fourth step in the selling process is answering customer questions.

Question 13

The fifth step in the selling process is answering customer questions.

Question 14

The sixth step in the selling process is closing the sale.

Question 15

The goal of prospecting is to develop a list of viable companies or consumers that would be the most likely to make a purchase.

Question 16

The first part of prospecting is to develop a list of leads; the second part of prospecting is to qualify those leads.

Question 17

In the pre-sales approach stage of the selling process, the salesperson gathers information about the potential customer to determine the best sales approach.

Question 18

For order takers, the first step in the selling process normally is preparing the pre-sales approach.

Question 19

The needs-satisfaction selling approach is sometimes referred to as the canned sales approach.

Question 20

For transaction type of buyer-seller dyads, the most common selling approaches would be stimulus-response and problem-solution.

Question 21

If the dollar value of a sale is high, there is a tendency to shift to a higher level sales approach, such as the problem-solution sales approach.

Question 22

A major disadvantage of the stimulus-response sales approach is that if a prospect raises concerns not in the script, the salesperson is often not prepared to provide an answer.

Question 23

With the problem-solution and mission-sharing sales approaches, few objections and questions are raised if the sales team has done a good job during the sales presentation.

Question 24

While closing the sale is the most important step in the selling process, for many salespeople it is the most difficult because they lack the skill to present an effective closing.

Question 25

To make a database viable, only customer contact personnel should be able to add or delete information about customers, although everyone in the company should be able to access the data.

Question 26

Names and addresses of customers are the most common information form of internal data collected by firms.

Question 27

In developing a database, it is important for businesses to track the purchases of customers and attach it to other information that is available, such as the customer's name, address, phone number, and e-mail address.

Question 28

In most cases, internal data is sufficient to develop a viable data warehouse.

Question 29

An important source of data for data warehouses is checkout scanners in retail stores.

Question 30

The most common form of data mining is predicting future customer behaviors.

Question 31

Through database marketing, a company like Staples can develop a profile of the firm's best customers so they can target other consumers and businesses that match that profile.

Question 32

Customer relationship management involves differentiating customers in terms of their needs and value to the organization.

Question 33

Customer relationship management involves customizing the marketing approach for each customer, but not modifying the product offering.

Question 34

Database marketing is based on two concepts: the lifetime value of a customer and the share of the customer.

Question 35

Customers have different future potential value to a firm, based on the share of the customer the firm holds.

Question 36

By combining the lifetime value of a customer with the share of the customer, a firm is able to rank-order its customers based on their current and potential value to the firm.

Question 37

According to a survey conducted by Direct Marketing, the majority of funds used for direct marketing are spent on marketing to current customers.

Question 38

Because of the high cost of printing and mailing catalogs, most catalog retailers have gone to more selective distribution lists.

Question 39

A major driver of Internet sales is direct response television.

Question 40

In terms of types of personal selling, order takers are salespeople who

A) process routine orders from customers
B) actively generate potential leads and persuade customers to make a purchase
C) directly support or assist in the selling function in some manner, but do not process orders or directly solicit orders
D) are involved in going to potential customers' places of business to solicit accounts

Question 41

In terms of types of personal selling, order getters are salespeople who

A) process routine orders from customers
B) actively generate potential leads and persuade customers to make a purchase
C) directly support or assist in the selling function in some manner, but do not process orders or directly solicit orders
D) are involved in going to potential customers' places of business to solicit accounts

Question 42

In terms of types of personal selling, support personnel are salespeople who

A) process routine orders from customers
B) actively generate potential leads and persuade customers to make a purchase
C) directly support or assist in the selling function in some manner, but do not process orders or directly solicit orders
D) are involved in going to potential customers' places of business to solicit accounts

Question 43

In terms of types of personal selling, field salespeople are salespeople who

A) process routine orders from customers
B) actively generate potential leads for salespeople
C) directly support or assist in the selling function in some manner, but do not process orders or directly solicit orders
D) are involved in going to potential customers' places of business to solicit accounts

Question 44

In terms of types of personal selling, missionary salespeople are salespeople who

A) provide information about a good or service
B) actively generate potential leads and persuade customers to make a purchase
C) follow-up telemarketing leads that have been generated
D) are involved in going to potential customers' places of business to solicit accounts

Question 45

Personal selling staff can be divided into all of the following broad categories except

A) order takers
B) order getters
C) support personnel
D) field salespeople

Question 46

Arnold works for Little Debbie snack cakes. His job is to go to retail stores and keep the shelves stocked with snack cakes. Arnold would be classified as a(n) _____.

A) order taker
B) order getter
C) missionary salesperson
D) field salesperson

Question 47

Chad works for Target. He operates the cash register, stock shelves, and answers questions for customers. Chad would be classified as a(n) _____.

A) order taker
B) order getter
C) missionary salesperson
D) field salesperson

Question 48

Carlos works for Dell Computers. He processes telephone orders and Internet orders for customers that contact Dell. Carlos would be classified as a(n) _____.

A) order taker
B) order getter
C) missionary salesperson
D) field salesperson

Question 49

Regina works as a salesperson for a local furniture store and is paid a commission on her sales. Regina would mostly be classified as a(n) _____.

A) order taker
B) order getter
C) missionary salesperson
D) field salesperson

Question 50

Cross-selling would most likely be used by a(n) _____.

A) order taker
B) order getter
C) missionary salesperson
D) support salesperson

Question 51

Jen is an electronic engineer for Raytheon. Her role is to discuss the technical aspect of the product with prospects. Jen would be classified as a(n) _____.

A) order taker
B) order getter
C) missionary salesperson
D) field salesperson

Question 52

Of the following consumer purchases, _____ would be the most likely to be classified as a single transaction.

A) real estate
B) furniture
C) automobiles
D) food

Question 53

Of the following consumer purchases, _____ would be the most likely to be classified as an occasional transaction.

A) real estate
B) clothes
C) automobiles
D) food

Question 54

Of the following consumer purchases, _____ would be the most likely to be classified as a repeat transaction.

A) real estate
B) computers
C) automobiles
D) food

Question 55

In all of the following types of buyer-seller dyads, there is little or no relationship developed between the buyer and the seller except for the

A) single transaction
B) repeat transaction
C) occasional transaction
D) contractual agreement

Question 56

With a(n) _____ buyer-seller dyad, sellers know that it is more difficult for the buyer to switch vendors because of the physical cost of hooking up with a new vendor.

A) electronic data interchange (EDI)
B) strategic partnership
C) trust relationship
D) contractual agreement

Question 57

In most cases, the most difficult part of prospecting is

A) developing a list of potential customers
B) determining which prospects are viable
C) deciding on the criteria for classifying prospects
D) deciding the potential of prospects

Question 58

Instead of using salespeople's time to cold canvass, some companies will hire a(n) _____ to make cold calls; his or her task is not to make a sale but to leave information or a sample of the product.

A) order getter
B) order taker
C) missionary salesperson
D) field salesperson

Question 59

The second part of prospecting is to

A) develop a list of names
B) develop a list of viable names
C) gather background information about each name on the list
D) qualify each name on the list

Question 60

In qualifying leads, the goal is to

A) choose the prospects with the greatest potential for sales and to rank them based on potential
B) gather demographic background information such as phone numbers
C) determine past purchase history and what vendor the company is now using
D) identify the various members of the buying center

Question 61

Derek has developed a list of 35 potential customers. He is now categorizing them into three categories based on each company's sales potential. Derek is in the _____ stage of the selling process.

A) preparing a sales approach
B) prospecting for leads
C) determining customer wants
D) giving a sales presentation

Question 62

In the pre-sales approach of the selling process, the salesperson gathers information about the potential customer to determine

A) the customer's sales potential
B) the customer's needs
C) the best sales approach to use
D) all of the above

Question 63

In the pre-sales approach stage of the selling process, it is important for salespeople to gather all of the following information except

A) expectations about the use of trade promotions
B) who the prospect's customers are and how the product is used
C) risk factors involved in switching vendors
D) the future sales potential of the prospect

Question 64

For order takers, the first step in the selling process is normally

A) prospecting for leads
B) determining customer wants
C) preparing a pre-sales approach
D) giving a sales presentation

Question 65

The stimulus-response sales approach

A) uses specific statements to solicit specific responses from customers
B) involves two organizations developing a common mission and then sharing resources to accomplish that mission
C) is aimed at discovering a customer's needs and then providing solutions that satisfy those needs
D) requires the salesperson to analyze the prospect's operation and offer a viable solution

Question 66

The needs-satisfaction sales approach

A) uses specific statements to solicit specific responses from customers
B) involves two organizations developing a common mission and then sharing resources to accomplish that mission
C) is aimed at discovering a customer's needs and then providing solutions that satisfy those needs
D) requires the salesperson to analyze the prospect's operation and offer a viable solution

Question 67

The problem-solution sales approach

A) uses specific statements to solicit specific responses from customers
B) involves two organizations developing a common mission and then sharing resources to accomplish that mission
C) is aimed at discovering a customer's needs and then providing solutions that satisfy those needs
D) requires the salesperson to analyze the prospect's operation and offer a viable solution

Question 68

The mission-sharing sales approach

A) uses specific statements to solicit specific responses from customers
B) involves two organizations developing a common mission and then sharing resources to accomplish that mission
C) is aimed at discovering a customer's needs and then providing solutions that satisfy those needs
D) requires the salesperson to analyze the prospect's operation and offer a viable solution

Question 69

The _____ sales approach is sometimes referred to as the canned sales approach.

A) stimulus-response
B) need-satisfaction
C) problem-solution
D) mission-sharing

Question 70

Dexter works for Midwest Microsystems Inc. as an outbound telemarketer. The sales approach he is most likely to use when making cold sales calls would be the _____ sales approach.

A) stimulus-response
B) need-satisfaction
C) problem-solution
D) mission-sharing

Question 71

Robin works as an inbound telemarketer for a manufacturer of store fixtures. She handles telephone inquiries by retailers and other channel members. Since each situation is different, it is important for Robin to ask questions. Robin would most likely use the _____ sales approach.

A) stimulus-response
B) need-satisfaction
C) problem-solution
D) mission-sharing

Question 72

If an engineer is part of the selling team because the prospect is not sure what is needed, the best selling approach would be

A) stimulus-response
B) need-satisfaction
C) problem-solution
D) mission-sharing

Question 73

For lower level transaction-type seller-buyer dyads, the most common selling approaches would be

A) problem-solution and mission-sharing
B) need-satisfaction and problem-solution
C) stimulus response and problem-solution
D) stimulus response and need-satisfaction

Question 74

For higher level transaction-type seller-buyer dyads, such as trust relationships and strategic partnerships, the most common selling approaches would be

A) problem-solution and mission-sharing
B) need-satisfaction and problem-solution
C) stimulus response and problem-solution
D) stimulus response and need-satisfaction

Question 75

To an objection, a salesperson replies, "We produce all of the models you need, and we will make sure they meet your specifications." The salesperson is using a(n) _____ approach to meeting the objection.

A) direct answer
B) nondispute
C) offset
D) dispute

Question 76

To an objection, a salesperson replies, "I understand your concern, and it is legitimate." Without responding to the objection, the salesperson continues the sales presentation. The salesperson is using a(n) _____ approach to meeting the objection.

A) direct answer
B) nondispute
C) offset
D) dispute

Question 77

To an objection, a salesperson replies, "I understand your concern, but let me show you all of the models we offer and how we go about ensuring they will meet your specifications." The salesperson is using a(n) _____ approach to meeting the objection.

A) direct answer
B) nondispute
C) offset
D) dispute

Question 78

To an objection, a salesperson replies, "Somebody gave you incorrect information. We can supply every model you use in your business, and we can meet your specifications. I am confident that our product is of superior quality to the ones you are currently using." The salesperson is using a(n) _____ approach to meeting the objection.

A) direct answer
B) nondispute
C) offset
D) dispute

Question 79

To an objection, a salesperson replies, "Since this particular model does not offer the features you need, let me show you a different model. It has all of the features you want and will meet your specifications." The salesperson is using a(n) _____ approach to meeting the objection.

A) comparative-item
B) turn-around (boomerang)
C) offset
D) dispute

Question 80

To an objection, a salesperson replies, "I understand you cannot afford this model right now, but with what your competitors have just introduced, you cannot afford not to switch immediately. Any delay will cost you sales and market share, to your primary competitor." The salesperson is using a(n) _____ approach to meeting the objection.

A) comparative-item
B) turn-around (boomerang)
C) offset
D) dispute