MKT 360 ch6

Suppose you are making sales call, and your customer says, "I have heard that your company's products contain artificial vanilla, but we want only natural vanilla in the cookies we buy." You respond, "Yes, it is true that we use artificial vanilla, because natural vanilla is astronomically expensive. Repeated taste tests have proven that consumers cannot taste the difference, and they much prefer a lower price point for their cookies." Which of the following techniques have you used for overcoming objections?

Acknowledge technique

From the following list, select all of the activities that help salespeople increase their listening effectiveness.

Asking appropriate follow-up questions Understanding the difference between active and passive listening Taking detailed notes during customer meetings Staying in the moment when interacting with customers Understanding the role that silence can play in the communication process

In the ______________ close, the salesperson makes a statement indicating an assumption that an agreement has already been reached, when this is not the case. (As you type your answer, be careful with spelling.)

Assumptive

In the _____________ technique for overcoming sales objections, the salesperson transitions the objection from a negative to a positive by discussing how the perceived negative will actually benefit the customer.

Boomerang

In the ______________ technique for overcoming sales objections, the salesperson transitions the objection from a negative to a positive by discussing how the perceived negative will actually benefit the customer.

Boomerang

Suppose you sell musical instruments for a living. A customer is interested in purchasing a flute but complains that it feels a bit heavy. You respond, "Yes, it is true that this flute is heavier than some other flutes. But a heavier flute helps produce much richer tones, and we find that good tone is essential to most musicians." Which technique for overcoming sales objections have you used?

Boomerang

When using the ______ technique for overcoming objections, the salesperson admits that the objection is valid but also discusses other benefits that offset the objection.

Compensation

Why is a price objection sometimes considered good news?

Customers rarely raise a price objection unless they are seriously thinking of buying your product.

In the _______________ technique of overcoming objections, salespeople acknowledge that they can understand why the customer would have the concern but state that the objection is not valid.

Denial

Suppose that you sell luxury cars. Your customer says to you, "I know your company makes a big deal of safety, but all cars have the same set of safety features these days, so you really can't charge a premium for safety." You respond, "That is actually not true. The U.S. Consumer Protection Agency has stated point-blank that we have the best, most innovative set of safety features for you and your family. In addition, for the past 25 years, Consumer Reports has consistently stated that our safety features are head and shoulders above everyone else." Which technique for overcoming objections have you used?

Denial

Which of the following is the most common commitment-gaining technique? This technique involves the salesperson simply asking for the commitment.

Direct-request technique

______ needs require immediate customer attention.

Explicit

An objection based on a product's value or the customer's budget is the same as a price objection.

False

Customers tend to be aware of latent problems.

False

During the sales process, talking to customers is usually more important than listening to them.

False

In general, in any sales situation an innovator problem-solving style is preferable to an adaptor problem-solving style.

False

In today's marketplace, it is quite easy to differentiate one company's products from another company's products.

False

Objections raised by customers indicate that the salesperson is not doing his or her job well.

False

Salespeople should use high-pressure techniques only as a last resort when attempting to close a sale.

False

Situational questions should be broad, focusing on the problem that needs to be solved at the company level.

False

Situational questions tend to be very valuable to customers.

False

When planning a sales call, it is best to think of your call objectives as _______.

Fluid

Suppose you are in a sales call, and you anticipate that your customer is going to object to the amount of time it will take to deliver an order. You say, "I do want to let you know upfront that we can't rush these orders. We source our products from skilled artists in Malaysia, and they need time to work their craft. All of our products are hand-made, so we cannot rush the completion of them." Which technique for overcoming objections have you used?

Forestall

Place the steps in Carew International's bonding process model in order from first step to last step.

Listen, acknowledge, explore, respond

_______ questions help the customer and salesperson better understand the benefits available to the firm if the customer's problem gets solved.

Need-payoff

In the ______ technique for overcoming objections, the salesperson acknowledges the objection and asks if it can be discussed at a later point in the sales call.

Postpone

Concerns about installation and warranties are often part of _____ objections.

Product

Which type of objection refers to the customer's concerns about the selling company, the salesperson, or both?

Source

When you encounter a time objection, which of the following scenarios are likely? (Check all that apply.)

The customer wants to get rid of the salesperson. The customer is considering the offer but needs more time to consider the information and offer.

Which of the following do the salespeople who embrace their role as consultative problem solvers recognize? (Check all that apply.)

Their sales success largely depends on their ability to deliver customized solutions for individual customers. The most important thing they can do as salespeople is to provide and execute solutions in response to their customers' problems. The price their customers are willing to pay is largely based on the solutions they provide.

Identify true statements about good salespeople. (Check all that apply.)

They are consultative. They deliver creative solutions to solve customers' problems. They create value for the customer. They are customer oriented rather than product oriented. They are excellent questioners and listeners.

Often, the __________ objection results when too many things are competing for a buyer's attention.

Time

Often, the _______________ objection results when too many things are competing for a buyer's attention.

Time

A good salesperson must be an expert at addressing customers' objections.

True

Customers may resist acknowledging a business need if doing so requires them to admit that they made mistakes in the past.

True

Follow-up questions help improve the flow of a conversation.

True

Much of the value that salespeople provide their customers occurs after the sale is made.

True

Product concerns are often voiced in relation to competitive offerings, such as "Your competitor's products offer this feature, but yours does not."

True

The circular sales cycle refers to the ongoing process of follow-up and attention to detail provided after a sale that provides the impetus for the customer to continue doing business with the salesperson and selling company.

True

In the _______________ technique for overcoming sales objections, the salesperson transitions the conversation away from price alone to more fully describe the value that the solution offers.

Value

Which technique for overcoming objections requires the salesperson to candidly admit that the objection is valid?

acknowledge technique

In the ________________ -choice technique, the salesperson provides two legitimate options for the customer to choose between, along with guidance about which is more appropriate.

alternative

From the following list, select all the choices the correctly complete the following sentence. High-pressure sales techniques ______.

are manipulative are inconsistent with a customer orientation are unethical

According to Neil Rackham's research, the most successful salespeople are those who ______.

ask their customers questions to better understand their problems

To address a customer's objections effectively, a good salesperson______.

asks additional questions to develop a full understanding of the objections

When talking with a customer, a salesperson says, "So, I'll make sure that we have ten units of this product delivered here by next Friday" even though the customer has not yet agreed to make a purchase. This salesperson is using an unethical sales technique called the:

assumptive close.

Problem questions are typically ______ at the beginning of the questioning sequence and become ______ based on the information that the customer provides.

broader, narrower

The cues that customers send to indicate a shift in thinking from "If we should do this" to "How we should do this" are called _______.

buying signals

The postpone technique for overcoming objections is also known as the ____________________ - ______________________ - ________________ technique

coming - to - that

In a sales call, buying signals are a sign that the buyer is moving toward ______.

commitment

Suppose you sell word processing software and you are demonstrating the new release of your product, called WriteWell. A customer says, "There are SO MANY features here, and the menu bar is confusing. I don't need all of this stuff." You respond, "Yes, the menu bar is quite full, but we find that at least 80% of the companies in the United States use most of these features at one point or another. They will likely be very useful to you as you work with your suppliers and shippers, who may ask you to use these functions." Which method for overcoming objections have you used?

compensation

Which manipulative closing technique involves a salesperson asking a series of questions designed to elicit a positive response, ending with a request for the business?

continuous-yes close

Focusing on implications is important because ______.

customers can easily lose focus on the negative ramifications of a problem

Which type of question is a direct response to something the customer has said?

follow-up question

When using the _____ technique of responding to customer objections, a salesperson brings up a possible objection rather than waiting for the customer to do so.

forestall

The SPIN acronym refers to the four types of questions that effective salespeople ask: situational, problem, _________, and need-payoff questions.

implication

Which types of questions help the customer and salesperson better understand the consequences arising from uncovered problems?

implication questions

Which types of needs are known to the customer but might not be important enough to merit action?

implied needs

In general, ______ are at ease with a less-structured problem-solving approach and tend to look beyond the status quo for solutions.

innovators

The LAER model for responding to customer objections begins with ______ and ends with _______.

listening, responding

A customer says to a salesperson, "Our current software is ten years old, but it works just fine most of the time." Here, the salesperson is facing a ______.

no-need objection

An ____________ is an explicit expression by a buyer that a barrier exists between the current situation and what needs to be satisfied before buying.

objection

Need-payoff questions mark a transition in the questioning process, from problems to ______.

possibilities

The ___________ objective is what the salesperson most wants to accomplish during a sales call.

primary

In terms of the SPIN acronym, __________ questions are designed to help the customer and salesperson identify issues that need to be addressed.

problem

In the alternative-choice technique, the salesperson:

provides two legitimate options for the customer to choose between.

In the direct- ____________ technique for gaining commitment, the salesperson simply asks for the commitment.

request

In terms of the SPIN acronym, ____________ questions are designed to help the salesperson better understand the situation that the customer is facing.

situational

A customer who says, "I really don't know much about your company or its reputation" is stating a ______ objection.

source

The term "gaining commitment" captures the idea that ______.

the initial sale represents a starting point from which a relationship can develop

Suppose you sell whole-house generators that provide power to a house during widespread power outages. A customer balks at the price, and you respond, "It's true that a generator is an investment, but it has benefits well beyond keeping your electricity going during a storm. A generator greatly adds to your house's resale value, and when you have a generator, you don't have to worry about losing hundreds or thousands of dollars of perishable foods when your refrigerator and freezer don't work. Also, if you run your business from home, not having power can cost you a substantial amount of lost income." Which technique for overcoming objections have you used?

value technique