Marketing Test 2

The 80/20 rule is a theory that suggests that

20 percent of heavy users account for 80 percent of the total demand

Channel sales representatives may be accurately described as order-takers.

false

Firms typically determine their promotional budget using one of three methods: the affordable method, the percentage-of-sales-method, and the

objective and task method

Marketing executives appear to believe that salespeople lie from time to time during sales calls. The reason executives believe this occurs is due to what cause?

the pressure to meet sales goals

What is the most common type of sales promotion?

coupons

The fact that you see a McDonald's on practically every highway exit sign listing restaurant choices would indicate that McDonald's is most likely geographically segmenting based on

customer convenience

Kaden is a realtor selling high-end homes priced over $750,000. Before showing a property to prospective clients, Kaden makes sure they are prequalified for a home loan commensurate with the price of the house. This pre-qualification is based mainly on the client's income, which is what type of segmentation variable?

demographic

Business-to-business firms generally segment their markets according to what three variables?

demographic, geographic, and behavioral

In an episode of the Big Bang Theory, the main character, Sheldon, can be seen sitting on the floor of a store with two video game systems in front of him—a PS4 and an Xbox One; he is trying to make a decision on which one to buy. This is an example of

Product placement

Maria's firm manufactures homemade salsa. Her product is sold around the country, but she adds extra jalapenos to her product sold in Texas, New Mexico, and Arizona because those customers prefer the extra heat and spice. Maria also markets the product differently based on the region of the country where it is sold. This represents what type of targeting strategy?

differenciated

Which budgeting method takes a bottom-up approach by defining specific objectives, determining the tasks needed to achieve these objectives and then estimating how much each task will cost?

objective-and-task method

Compare the following forms of advertising and select the medium that is generally the cheapest form.

outdoor advertising

In which step of the personal-selling process would you identify key decision makers, review account histories, and prepare a sales presentation?

preapproach step

An auto insurance company segmented its market by both gender and age and designed different marketing campaigns to appeal to both. In the end, both segments responded the same to the different marketing strategies, in part, because both segments are required to have auto insurance. This firm failed to understand the criteria of market segments needing to be

differentiable

Frequency is the percentage of the target market that has been exposed to a promotional message at least once during a specific time period.

false

In SPIN selling, problem questions are designed to get the buyer thinking about the value of finding a solution to the problem.

false

Firms should consider three important factors during the targeting process: growth potential, level of competition and market share.

false; growth potential, level of competition, and strategic fit

In the summary close, the salesperson acts as if the buyer has already decided to purchase.

false; this is adaptive selling

Psychographic segmentation involves categorizing customers based on what they actually do with their goods and services. S

false; this would be behavioral

The main goal of the first step in the personal-selling process is to

find qualified prospects

Which factor is a demographic segmentation variable?

gender

According to author Daniel Pink, which statement reflects personal selling in the digital era?

Technology that should have made salespeople obsolete have, in fact, transformed more people into sellers.

Revenue per ad dollar is calculated by comparing total revenue to the amount of money spent on advertising.

True

From a publicity standpoint, marketers can use social media to

address any negative feedback posted about the company

What is a nontraditional form of advertising?

advertisements embedded in a video game

Claritin, makers of allergy tablets, expanded its product line to include a chewable, fruit flavored allergy tablet, specifically designed to be easy for children to take. For this product, Claritin is segmenting the market based on

age

Market segmentation produces relatively homogenous groups of consumers called

market segment

it has been Tara's dream to open a bakery, and while she has experience in making all types of baked goods, she always gets rave reviews for her hand-decorated cakes. So, rather than open a bakery that offers a wide variety of baked goods, Tara has decided to open a specialty cake shop to cater to that market only. This is an example of

market segmentation

In B2B contexts, the most common sales objections are described by the acronym BANT. What does the "A" in this acronym stand for?

authority

According to your text, the segmentation base that is often the most difficult to use is

behavioral segmentation

Which public relations tool is typically intended to inform and engage the public?

brochures

Marketers divide magazines into which two types of categories?

business and consumer

How are today's firms reinventing their selling processes and increasing productivity?

by using information systems, analytics, and social networks

What is the theory behind the incremental productivity method?

comparing the additional cost of one new salesperson to expected additional sales revenue

When Royal Caribbean Cruise Lines advertises its cruises on the Travel Channel it is attempting to target a specific audience through

narrowcasting

The advertising technique in which a company promotes its products through appearances on television shows, movies, or other media is called

product placement

All the activities that communicate the value of a product and persuade customers to buy it is referred to as

promotion

Stores like Cabela's, REI, and Bass Pro Shops that cater to the interests of outdoor enthusiasts' most likely use what type of segmentation strategy?

psychographic segmentation

Tuff Tools knows that it spent $20,000 to advertise its new line of tools, but the total revenue it made on the tool line was $90,000. Comparing these two numbers yields the metric known as

revenue per ad dollar

The process of matching the sales force to match market conditions is referred to as

sales force management

Which element of the promotion mix refers to the set of nonpersonal communication tools designed to stimulate quicker and more frequent purchases of a product?

sales promotion

Lin wants to be successful in her selling career, so she strives to improve her ________ knowledge by working on her sales abilities and understanding different selling techniques.

selling realated

According to your text, when selecting a target market, firms should consider three important factors: growth potential, level of competition, and

strategic fit

What factor of the targeting process is at work when a marketer ensures that the target market is appropriate for what the organization is and wants to be as defined in its mission statement?

strategic fit

According to your text, which step of the personal-selling process is the most important and most difficult?

the approach step

A product that is infrequently purchased benefits from the use of personal selling.

true

Customer-oriented salespeople are more likely to adopt a solution-centric approach to the sale—one that is better in the end for both the seller and the buyer.

true

Customers' use of web-based and social technologies means that buyers are initiating contact with sellers much later in the sales process.

true

Sales promotion activities account for the bulk of most firms' promotional budgets.

true

Segmenting by geography allows marketers to capitalize on convenience to the customer.

true

When professional sports players are allowed to wear an advertisement on their jerseys, this is an example of product placement.

true

What are the three basic strategies for targeting markets?

undifferentiated, differentiated, and niche marketing

A salesperson who wants to record customer contact information as well as customer preferences and details about customers' interactions with the company would use

a CRM system (customer relationship management)

Mars, Inc., makers of Snickers candy bars launched its You're Not You When You're Hungry promotion campaign. The company's television commercials portrayed regular people disguised as celebrities behaving badly because they were hungry. Along with the commercials, print ads were released featuring inversion illusions showing the difference between someone whose hunger is satisfied and someone whose hunger is clearly not. In addition, the print ads included a coupon for a Snickers candy bar. This type of promotional strategy is referred to as

integrated marketing communications

One of the worst mistakes a salesperson can make when using the FAB approach is to

list features without tying them to benefits.