CH 16- FINAL
who performs marketing functions
mainly middlemen and wholesalers -manufacturers ONLY use them when it makes financial sense, they can perform functions better than manufacturers can
sales promotion
-a lot of money spent here -used for short term sales increases -can be bad if overused (BOGO)
marketing functions
-buying, selling -transportation, storage -breaking bulk, building assortment -finance, risk-bearing -information, promotion
3 happy ends to starting in sales
-get top marketing job -prepare for own business -stay in sales
personal selling is important for what
-industrial products -costly products -unsought products
retailer vs. wholesaler
-market (who your customers are, W: business, r: consumers) -mark up (w: 11%, r: 27%) -ownership
basic types of wholesaler
-mechant (buy merchandise from others) -agents (specialize in buying and selling) -manufacturer (4% of location, 28% of sales)
generalizations about selling
-most expensive form of promotion on a per contact basis -most flexible, most targeted form of promotion
why can middlemen often perform functions more efficiently
-number of transactions -economies of scale -specializations
7 stages if selling process
-prospecting (finding new client -preparation (doing homework) -approach (first contact) -presentation (basic sales message, heart of selling process) -questions/objections -closing (close sale) -follow-up (must follow-up esp in long term relationships
specific tasks of sales management
-recruiting for team -training team members -compensating -organizing customers for sales reps
what customers value in salespeople
-represent them -creative --professional -like them (similarity, affinity)
determinants of channel length
-type of product -global vs. domestic -cost of product -bulkiness, size -perishability
What are the four elements of a compensation plan for salespeople? A. A fixed amount, a variable amount, expenses, and fringe benefits B. A fixed amount, a variable amount, expenses, and salary C. A fixed amount, a variable amount, expenses, and commission D. A fixed amount, a variable amount, stock ownership, and fringe benefits E. A fixed amount, a variable amount, salary, and commission
A. A fixed amount, a variable amount, expenses, and fringe benefits
Which of the following is not a step in an effective sales management process? A. Prospecting B. Selecting C. Training D. Supervising E. Compensating
A. Prospecting
In complex selling situations, personal selling can be very effective because it is __________. A. interpersonal B. designed to reach large groups of consumers C. a generic approach D. impersonal E. only used for face to face customer interactions
A. interpersonal
Delta Faucet partnered with Warrior Dash, which sponsored several 5k mud run races around the country over the summer. At each event, Delta built a huge custom shower station, complete with 184 Delta showerheads, where mud-soaked competitors could meet and wash off after the race. This is an example of which type of promotion? A. Samples B. Event marketing C. Trade show D. Contests, sweepstakes, and games E. Point-of-purchase promotions
B. Event marketing
Which of the following is an objective for business promotions? A. Getting more support for the sales force B. Generating business leads C. Urging short-term customer buying D. Getting retailers to buy ahead E. Getting more shelf space from retailers
B. Generating business leads
What action(s) can a company take in order to bring marketing and sales functions together? A. Appoint marketing executives to analyze marketing and sales functions. B. Let brand managers tag along on sales calls. C. Create clear lines of distinction between marketing and sales functions. D. Develop separate reward systems for sales and marketing people. E. Develop different objectives for sales and marketing people.
B. Let brand managers tag along on sales calls.
Which of the following statements about personal selling is correct? A. The role of personal selling is very consistent from company to company. B. Many customers are unable to distinguish the salesperson from the company. C. Personal selling is the nonpersonal arm of the promotional mix. D. Personal selling is a fairly new profession. E. Salespeople represent the company to customers, but they do not represent customers to the company.
B. Many customers are unable to distinguish the salesperson from the company.
Which of the following statements does not reflect the role of salespersons within a company? A. Salespeople relay customer concerns about company products and actions back inside to those who can handle them. B. The concept of salesperson-owned loyalty describes the loyalty that salespersons have toward the company. C. Salespeople represent customers to the company. D. Salespeople act as "champions" of customers' interests and managing the buyerdashseller relationship. E. Salespeople learn about customer needs and work with other marketing and nonmarketing people in the company to develop greater customer value.
B. The concept of salesperson-owned loyalty describes the loyalty that salespersons have toward the company.
A sales contest is considered a part of __________. A. trade promotions B. business promotions C. event sponsorships D. event marketing E. point-of-purchase promotions
B. business promotions
Toro ran a preseason promotion on its snowblower models offering a rebate if the snowfall in the buyer's market area turned out to be below average. This is an example of __________. A. business promotion B. consumer promotion C. trade promotion D. sales contest E. event marketing
B. consumer promotion
Which of the following would NOT be a consideration for decision making in designing the full sales promotion program? A. The size of the promotion B. How to promote the promotion C. How to set it apart from other promotion mix elements D. Conditions for participation E. The length of the promotion
C. How to set it apart from other promotion mix elements
One study found that the best salespersons have four traits in common: intrinsic motivation, a disciplined work style, the ability to close a sale, and the ability to build relationships with customers. Knowing this would be most useful at which stage of sales force management? A. Training salespeople B. Compensating salespeople C. Recruiting and selecting salespeople D. Setting sales force size E. Evaluating salespeople
C. Recruiting and selecting salespeople
Which one of the following statements is not true regarding social selling? A. Social selling helps in nurturing customer relationships. B. Social selling has dramatically changed the customer buying process. C. Social selling has changed the fundamentals of selling. D. Social selling can produce big organizational benefits for sales forces. E. Social selling provides salespeople with powerful tools for identifying prospects.
C. Social selling has changed the fundamentals of selling.
The aim of transaction-oriented marketing is to help salespeople __________. A. develop team selling B. link the customers with the company C. close a specific sale D. develop long-term contacts with customers E. develop customer relationships
C. close a specific sale
The first step in the personal selling process is __________. A. demonstration B. presentation C. handling objections D. prospecting E. preapproach
D. prospecting
When the only goal of personal selling is to close a sale, a company is using a(n) __________ approach. A. relationship B. customer solution C. value selling D. transaction-oriented E. hard-sell
D. transaction-oriented
What is the first decision made in sales force management? A. Training salespeople B. Compensating salespeople C. Evaluating salespeople D. Recruiting and selecting salespeople E. Designing sales force strategy and structure
E. Designing sales force strategy and structure
__________ identifies qualified potential customers and is the first step of the personal selling process. A. Closing B. Follow-up C. Preapproach D. Approach E. Prospecting
E. Prospecting
8 different types of channels
b2b (no mm, 1mm, 2mm, 3mm)- tend to be shorter consumer (no mm, 1mm, 2mm, 3mm)
business vs. consumer selling
business -selling to pros -long term relationships consumer -selling to amateurs -short term relationships
order geting vs order taking
get -aggressive -active selling take -passive selling -big influence on return customer in retail
mismatch between producers and consumers
producers make huge q of limited assortment consumers want tiny q of wide assortment
marketing function purpose
to make products available when, where, how consumers want them