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Exam 19: Personal Selling and Sales Promotion

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Question 91

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A salesperson will be better able to determine the prospect's specific needs by

A) listening carefully to questions and comments and watching reactions during the sales presentation.
B) waiting until after the sale to see how the client is enjoying the use of the product.
C) doing extensive research before the approach and making the sales presentation without adjustment.
D) using trial closings throughout the sales presentation.
E) making a very thorough and detailed sales presentation about the products and services being offered.

F) A) and D)
G) A) and E)

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Question 92

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Identify the major features of effective sales force compensation plans.

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Question 93

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Which of the following is particularly appropriate for pricey high-tech business products, such as jet aircraft and medical equipment?

To increase sales of Chex cereals, Ralston Purina offered a free pound of bananas to customers who bought the large-size box. This form of sales promotion is called a

Sometimes retailers are offered temporary price reductions for purchasing specified quantities of a product. These offers are used to provide an incentive to handle a new product, to achieve a temporary price reduction, or to stimulate the purchase of an item in large quantities. What is this sales promotion?

Scenario 19.1 Use the following to answer the questions. Jafrum, Inc. is a wholesale supplier of motorcycle accessories, clothing, and tools to various motorcycle retail stores around the country. Jafrum does not manufacture these items, but sells them to other retailers and also sells its merchandise through its website. Sean Thompson is one of the salespeople for Jafrum, and is responsible for obtaining new customers, increasing sales to current customers, and visiting the retail stores throughout the country. Recently, he has been given the sales objective from Jafrum's management to increase sales dollars by 15% in the coming year by adding new customers. Sean's current compensation is based on a $1,000 per month draw, plus 5% of all sales over $100,000. His salary last year totaled $42,000. Management has given Sean the choice of going to a compensation plan where he will earn 15% of all sales, but no draw. -Refer to Scenario 19.1. Sean is developing his list of potential new retail customers by accessing the yellow pages online. Here he finds the contact information for every motorcycle store in the 48 contiguous states, and eliminates those who currently are his customers. Sean is involved in which step of the personal selling process?

Jennifer Clarkson, a sales representative for a publisher of college textbooks, had the southern half of the state as a sales territory. Last year, the director of marketing for the publishing company told Jennifer's sales manager to increase her territory to the entire state. Now Jennifer's customers are less satisfied with the company. They are most likely to blame ____ for their reduced level of customer satisfaction.

Generally, consumer sweepstakes are more popular than consumer contests.

Regardless of one's experience, firms always put new employees through a training program geared for their specific firm.

Training programs designed for experienced company salespeople generally are oriented toward product information.

List the three major types of salespeople and indicate how they differ.

Scenario 19.1 Use the following to answer the questions. Jafrum, Inc. is a wholesale supplier of motorcycle accessories, clothing, and tools to various motorcycle retail stores around the country. Jafrum does not manufacture these items, but sells them to other retailers and also sells its merchandise through its website. Sean Thompson is one of the salespeople for Jafrum, and is responsible for obtaining new customers, increasing sales to current customers, and visiting the retail stores throughout the country. Recently, he has been given the sales objective from Jafrum's management to increase sales dollars by 15% in the coming year by adding new customers. Sean's current compensation is based on a $1,000 per month draw, plus 5% of all sales over $100,000. His salary last year totaled $42,000. Management has given Sean the choice of going to a compensation plan where he will earn 15% of all sales, but no draw. -Refer to Scenario 19.1. Sean has narrowed his list and is preparing a packet of information about Jafrum and its products to send to the prospects. He also includes a letter of introduction and says he will contact them within the next two weeks to set up a sales visit. In this scenario, Sean is all of the following except

Kayla is the owner of a group of women's clothing stores located throughout the midwestern United States. Recently, she made a large purchase from a leading clothing manufacturer, and was given ____, which is a gift to a retailer who purchases a specified quantity of merchandise.

It is never good to ask customers questions while giving the sales presentation, as the customer may raise objections that the salesperson cannot overcome.

Scenario 19.2 Use the following to answer the questions. The Presto Company manufactures several types of household appliances, including blenders, waffle makers, and home deep fryers. Presto sells its products to retail stores such as Kohl's, Macy's, and J.C. Penney's, through its own salesforce. Kerry Wilson is one of Presto's salespeople, and is responsible for stores headquartered in Region 1 of the U.S. Kerry has just come from a monthly meeting where she has been informed about the new stovetop grill that will be part of next season's lineup. Presto's marketing department has developed a promotional plan for the new grill and outlined that plan for the sales staff in the meeting. The promotional plan for the next 60 days will include television commercials which demonstrate the new grill, in-store rebates, and a customer contest for the best grilled sandwich recipe. In addition, Kerry and other members of the salesforce will be given a free grill for their own home use so they can become more familiar with the product. Presto is also offering a free trip to New York City for their staff salesperson who has the highest dollar in sales to his or her stores. To encourage the retail stores to push this product, Presto will offer the retail store a $5 discount for each grill that the store purchases after the 60-day promotion is over. -Refer to Scenario 19.2. Presto appears to be using ____ to educate its sales force.

A salesperson with a larger territory will have the advantage of being able to achieve more sales than salespeople with smaller territories.

Tim has just finished compiling a list of potential customers and evaluating their ability, willingness, and authority to buy. He knows his next step in the personal selling process is to

Tyler is a purchasing agent for Kellogg's. He is currently negotiating with his suppliers to receive a _______, which is a temporary price reduction to resellers for purchasing specified quantities of a product.

After compiling a list of potential customers, a salesperson must

The stage of the personal selling process in which the salesperson attempts to make a favorable impression, gather information about the customer's needs and objectives, and build a rapport with the prospective customers is called