MKT 3427 Chpt 6

b

A collection of beliefs, behaviors and work patterns held in common by people employed by a specific firm is a(n): A) organizational values B) organizational culture C) mission statement D) company philosophy E) belief pattern

b

A customer walks into a ShipNow location with four boxes and a document envelope, all going to different destinations in different amounts of time with different security and notification needs. 1) The salesperson's job is to: A) talk the customer into shipping with ShipNow B) sell the customer the correct combinations of shipping times and services for the customer's needs C) enter the shipping information into the computer and print out labels D) make sure the customer understands that shipping rates are probably cheaper at the post office E) build a rapport with the customer to make sure the customer understands the interaction

b

A customer walks into a ShipNow location with four boxes and a document envelope, all going to different destinations in different amounts of time with different security and notification needs.Although the salespeople at ShipNow are in contact almost exclusively with the customers who ship packages, who are the other primary customers of ShipNow? A) the accounting departments of the companies that ship with ShipNow B) the companies and individuals that receive the packages C) the ShipNow delivery drivers D) the billing departments of local ShipNow locations E) the companies that make the products that are shipped by ShipNow customers

d

A customer walks into a ShipNow location with four boxes and a document envelope, all going to different destinations in different amounts of time with different security and notification needs.ShipNow requires every new store salesperson to ride along on deliveries with drivers for two weeks before beginning the sales course necessary to be able to have contact with customers. What might be the purpose of the ride-alongs? A) to give the salesperson empathy for the stresses the drivers endure delivering packages B) to give the salesperson a driver mentor within the company C) to give the driver an extra hand with deliveries during the rushed holiday shipping season D) to give the salesperson in-depth knowledge of the delivery process E) to give the company a trial period to determine if the salesperson actually can lift heavy boxes

d

A customer walks into a ShipNow location with four boxes and a document envelope, all going to different destinations in different amounts of time with different security and notification needs.Some customers of ShipNow ship so many packages regularly with the company that ShipNow develops special services and pricing for them. Before a salesperson sells a delivery service that is not listed in the normal retail services menu, the salesperson should: A) base the pricing on the prices offered to larger customers B) calculate the commission on the order to make sure it is not better to quote the customer retail pricing C) look up the name of the driver who will be making the deliveries D) check with the logistics department that it is possible for the company to perform this service at a profit E) ask a supervisor for the authorization to sell to the customer

c

A customer walks into a ShipNow location with four boxes and a document envelope, all going to different destinations in different amounts of time with different security and notification needs.What should the salesperson focus on to differentiate ShipNow's product from other shipping services? A) the different times ShipNow is able to offer that other shippers cannot B) ShipNow's prices are lower than cost C) the added value the salesperson creates by making the shipping process and service options easy for the customer D) auxiliary products ShipNow sells, like boxes and packing tape E) internet tracking of packages

b

A manufacturer tests, modifies, and retests an original idea several times before it is offered to the consumer. This process is called: A) performance data B) product development C) product application D) manufacturing process E) design process

e

A problem a salesperson could run into with regard to knowing the product extensively is: A) focusing on researching the product instead of on sales activities B) doing a thorough presentation C) knowing more than the other salespeople D) having a bad attitude at sales meetings E) misjudging how much the customer knows about the product

specific benefits

Benefits that this particular customer would find important for their needs/problems

b

Companies who understand quality improvement approach it as: A) an unnecessary expense B) a long-term business strategy C) the responsibility of the research department only D) an important one-time project E) an administrative task

d

Customized service agreements add value to a sale by: A) allowing salespeople to charge more money for features that are usually free B) requiring salespeople to spend more time with customers C) convincing customers to spend more money on longer terms D) incorporating the customer's special priorities, feelings, and needs E) requiring that customers trust salespeople to keep their verbal promises

a

Effective written proposals include the following parts: A) budget, objective, strategy, schedule, and rationale B) facts, assumptions, price, strategy, and schedule C) objective, strategy, price, schedule, and assumptions D) strategy, tactics, price, rationale, and schedule E) strategy, budget, price, rationale, and assumptions

general benefits

Global benefits that all customers would potentially benefit from

d

In terms of product knowledge, a salesperson: A) can know too much about the products they sell B) is often better off appearing to be "in the dark" at times C) should provide the prospect with as little information as possible D) cannot, generally, know too much about the products they sell E) should assume the stance of a novice user

d

Paula Hillison sells a line of copy machines that feature a "quick change" toner cartridge. The empty toner cartridge can be replaced quickly, without any mess, in a matter of seconds. Which of the following statements represents the most effective presentation of this feature? A) "We have recently developed the only office copy machine that features a quick change toner cartridge." B) "After years of research and development, our engineers developed a quick change toner cartridge." C) "If you purchase one of our copy machines, you will enjoy the benefits of a quick change toner cartridge." D) "All of our copy machines are equipped with a quick change toner cartridge, which means you no longer waste time replacing an empty toner cartridge." E) "We have set a new industry standard with the quick change toner cartirdge."

quantifying the solution

Process of determining if proposal adds value

product configuration

Product selection process

Maintenance and service contracts

Provide service related information in proposal and/or at the time of sale

e

Quantifying the solution can be performed with a cost-benefit analysis or with a: A) frequency analysis B) regression analysis C) feature- benefit presentation D) pricing model E) ROI calculation

request for proposal

RFP?

a

Ray Fernández is a sales representative employed by Computer Resources, a computer supplier that develops customer solutions that combine computer hardware, software, installation and training. When he brings together many parts of the company's product mix in order to develop a customized customer solution, this is referred to as: A) developing a product configuration B) establishing a priority C) qualifying product benefits D) quantifying product features E) research and development

d

Salespeople who love their products, and possess vast product knowledge, sometimes overload their customers with product data they neither need nor want. This practice is often called a: A) product-style selling B) marketing-style selling C) customer overload D) data dump E) research influence

bridge statements

Statements that connect features to benefits

b

Successful sales presentations convert product features into: A) closed sales B) buyer benefits C) product applications D) selling appeals E) research statistics

e

The "invisible" customer you address a written proposal to is: A) an imaginary ideal customer B) a customer you've communicated with by phone but not in person C) not the customer but the customer's boss D) sometimes a fellow salesperson who proofreads the proposal E) often the person who makes or breaks the deal

c

The Whirlpool company created a house filled with company products so that salespeople could: A) compare them with the competing products they already owned B) see the full life cycle of the appliances C) "live" the brand D) bring customers to see the products in use E) explore decorating options

d

The best form of product information that can teach salespeople about the product is: A) competitors' brochures B) the elevator pitch C) radio commercials D) promotional brochures E) company history

a

The original idea for a product or service is tested, modified, and retested several times before it is offered to the customer in: A) product development B) design studio C) field testing D) development lab E) quality development

a

The owner of a laundromat notices that the laundromat across the street is offering free pick-up and delivery of laundry from Monday to Friday, 9-5. He has observed that many of his customers who drop their laundry off to be washed-dried-folded by his employees seem frazzled and overburdened both when they drop off in the morning and when they pick it up after work. The other laundromat that offers free pick-up and delivery Monday through Friday is an example of: A) a product based on a company's resources, not customers' needs B) a product based on an old-fashioned method of cleaning laundry C) a product developed after trial and error D) a customer-facing sales staff E) a customer loyalty program

a

The owner of a laundromat notices that the laundromat across the street is offering free pick-up and delivery of laundry from Monday to Friday, 9-5. He has observed that many of his customers who drop their laundry off to be washed-dried-folded by his employees seem frazzled and overburdened both when they drop off in the morning and when they pick it up after work.A laundromat is a business that sells a service--washing, drying, and folding of clothes and the use of machines to wash and dry clothes. Since it is difficult to differentiate this service by washing or folding clothes better, how can a laundromat create a better product to offer customers to get their business? A) offering services such as free pickup and extended hours to make it easier to use the laundromat B) training employees to fold clothes in a distinctive pattern C) putting all laundry into plastic bags with the laundromat logo on them to advertise the laundromat D) using floral-scented laundry detergent on all orders E) employing workers who have been washing laundry for years

e

The owner of a laundromat notices that the laundromat across the street is offering free pick-up and delivery of laundry from Monday to Friday, 9-5. He has observed that many of his customers who drop their laundry off to be washed-dried-folded by his employees seem frazzled and overburdened both when they drop off in the morning and when they pick it up after work.Customers who come into the laundromat to wash and dry their own clothes in the common machines will choose the laundromat that is closest to them so they do not have to transport their laundry far. What is fundamentally wrong with the above statement? A) It assumes that all customers come into the laundromat to wash their clothes. B) It assumes that there is a laundromat closer to the customer's house than the one in the question. C) It assumes that there are not two laundromats in equal distance from the customer's house. D) It assumes laundromat customers do not have their own laundry machines at home. E) It assumes that location is the only factor on which a customer chooses a laundromat.

c

The owner of a laundromat notices that the laundromat across the street is offering free pick-up and delivery of laundry from Monday to Friday, 9-5. He has observed that many of his customers who drop their laundry off to be washed-dried-folded by his employees seem frazzled and overburdened both when they drop off in the morning and when they pick it up after work.The owner of the laundromat investigated offering dry cleaning services at the laundromat, but discovered through his research that customers did not have a positive desire for dry cleaning services at the laundromat. What explains this? A) Customers do not have positive desires for any laundry-related services. B) Since the owner of the laundromat asked current customers instead of potential customers, he did not necessarily get truthful answers from the customers he asked. C) Since laundry and dry cleaning have traditionally been done at different stores, the customer does not expect dry cleaning at a laundromat . D) The customer is not willing to pay for dry cleaning at a laundromat. E) Customers do not understand the differences between dry cleaning and washing clothes.

c

The owner of a laundromat notices that the laundromat across the street is offering free pick-up and delivery of laundry from Monday to Friday, 9-5. He has observed that many of his customers who drop their laundry off to be washed-dried-folded by his employees seem frazzled and overburdened both when they drop off in the morning and when they pick it up after work.What is a service the laundromat owner could offer to eliminate stress for his customers that his competitor does not offer? A) free fabric softener on any drop-off order B) free pick-up and delivery Monday to Friday from 9 am to 5 pm C) free pick-up and delivery seven days a week from 6 am to 11 pm D) drop-off and pick-up of laundry only on weekends, when customers are not as stressed E) keeping the laundromat open 24 hours a day

e

The sales director of a medium-sized company selling chemicals to the lumber industry has analyzed sales and found serious problems with sales representatives close rate relative to the number of prospects in the pipeline. The sales director commissioned a research company to come in and analyze the numbers in the CRM system and conduct interviews with prospects who became customers as well as with prospects who did not buy from the company. He also hires a sales training consultant with whom he has worked before to analyze the sales representatives and the training they receive.As the interviews with prospects who did not buy from the company are analyzed, it becomes apparent that prospects felt that the sales representatives did not know about the full line of products they carried or understand their uses. The prospects did not buy, as they felt they could not: A) ensure that the company's billing process was aboveboard B) understand what their business objectives were C) pay the prices the company was charging D) find the room to store the chemicals once they were delivered E) trust the sales reps to sell them the correct products

b

The sales director of a medium-sized company selling chemicals to the lumber industry has analyzed sales and found serious problems with sales representatives close rate relative to the number of prospects in the pipeline. The sales director commissioned a research company to come in and analyze the numbers in the CRM system and conduct interviews with prospects who became customers as well as with prospects who did not buy from the company. He also hires a sales training consultant with whom he has worked before to analyze the sales representatives and the training they receive.The sales director and consulting team discuss changing the entire sales model for the company by eliminating the sales representatives altogether and allowing customers to order on their own from the company website. What is the best argument against this plan? A) The sales representatives rely on the income they receive from their jobs. B) The products are so complicated that customers need a sales representative to help them decide which products to buy. C) The company will need to build a new website the customers can order from. D) The customers are used to the salespeople and have never ordered chemicals from a website before. E) The IT department of the company has not built a commerce website before.

b

The sales director of a medium-sized company selling chemicals to the lumber industry has analyzed sales and found serious problems with sales representatives close rate relative to the number of prospects in the pipeline. The sales director commissioned a research company to come in and analyze the numbers in the CRM system and conduct interviews with prospects who became customers as well as with prospects who did not buy from the company. He also hires a sales training consultant with whom he has worked before to analyze the sales representatives and the training they receive.The training consultant feels that the sales representatives need to understand the entire market to put their customers' needs and buying motives in context. To understand the entire industry market, she recommends that the sales representatives learn more about: A) customers' business plans B) competitor companies' products and pricing C) management's five-year plan D) the history of the lumber industry E) the close rates of other sales reps in their company

a

The sales director of a medium-sized company selling chemicals to the lumber industry has analyzed sales and found serious problems with sales representatives close rate relative to the number of prospects in the pipeline. The sales director commissioned a research company to come in and analyze the numbers in the CRM system and conduct interviews with prospects who became customers as well as with prospects who did not buy from the company. He also hires a sales training consultant with whom he has worked before to analyze the sales representatives and the training they receive.The training consultant finds that the sales representatives do not have a strong product strategy. Without a proper product strategy, sales representatives are unable to: A) choose the correct products to sell to the customer B) develop a marketing campaign for a given product C) sell a product whether the customer needs it or not D) fulfill an order once it has been placed E) contact customers at current contact numbers and addresses

a

The sales director of a medium-sized company selling chemicals to the lumber industry has analyzed sales and found serious problems with sales representatives close rate relative to the number of prospects in the pipeline. The sales director commissioned a research company to come in and analyze the numbers in the CRM system and conduct interviews with prospects who became customers as well as with prospects who did not buy from the company. He also hires a sales training consultant with whom he has worked before to analyze the sales representatives and the training they receive.To increase the sales representatives' product knowledge, the sales director arranges for each of them to rotate through the product development department for a month to understand the way the chemicals are developed. What is another department they should rotate through to gain more product knowledge that will help them configure the right mix of products for customers? A) customer service, so that they can learn how the chemicals are implemented and used by the customer B) logistics, so that they can understand how the products are delivered C) billing, so that they understand the problems that arise when customers do not pay promptly D) warehousing, so they can understand exactly how much room the chemicals take up in storage E) human resources, so they can understand what characteristics a successful salesperson should have

c

The speed rating assigned to a motorcycle tire is an example of product: A) qualities B) applications C) features D) benefits E) design

d

The written proposal is: A) a formality that customers do not read B) standardized and can be printed in bulk C) a chance to show your writing skills D) the first "product" the customer receives from you E) more important than the product presentation

c

Throughout the sales presentation, it is usually best to: A) discuss the weakness of competing products B) discuss competing products even if you are not familiar with these items C) avoid shifting the focus of attention away from your product to competing products D) refuse to discuss competing products E) be proactive about discussing competing products

c

Using the pronouns "you" and "your" in a sales letter: A) assumes the customer will definitely buy B) is a traditional form C) keeps the focus on the customer D) should be avoided E) follows standard business letter format

a

When customers ask, "What is the anticipated rate of return on this mutual fund?," they are requesting product information from the category of: A) performance data and specifications B) product design C) manufacturing process D) product application E) general benefits

e

When developing a product strategy, the salesperson must: A) review information on consumer motivation B) adopt the marketing concept C) adopt the sure-win philosophy D) consider price above other aspects of the product E) use feature-benefit analysis

a

Which of the following is NOT an example of performance data? A) A list of product service centers available to customers. B) The AHAM certification seal. C) A label on a storm window that indicates the product's "R" value. D) A window sticker on an automobile that lists the EPA gas mileage figures. E) Research sheets on server downtime and data transfer rates.

e

Which of the following is a buyer benefit that could be used by a person selling automobile tires? A) steel belted B) service in all fifty states C) 30,000-mile rating D) manufactured in the USA E) greater safety

e

Which of the following is an example of a bridge statement? A) '"You will get good gas mileage when you buy this car." B) "These are the finest fund-raising donuts you can buy." C) "This hotel has 24-hour room service and free parking." D) "Buy one, get one at half price." E) "We have trained service technicians, which means you will experience less downtime."

e

Which of the following is true of sales letters? A) Sales letters should follow the standard visual format of an email. B) Sales letters should minimize the use of white space. C) Most sales letters include not more than two paragraphs. D) Because a sales letter is just an introduction, formal language need not be used. E) The use of the personal pronoun "I" should be minimized in a sales letter.

e

Which of the following statements about the sources of product knowledge is true? A) Company product literature is of less value to salespeople than it is to customers. B) The best source of information on the product is the director of sales. C) Plant tours would be of little value to people in retail and service selling. D) A salesperson cannot really understand the product until he or she has spent time on the manufacturing line producing it. E) Spending time using the product can give a salesperson in-depth knowledge of its features.

d

Which of the following statements is true about products and product knowledge? A) Without understanding a company's history an employee cannot understand that company's product. B) Product knowledge is not as important as selling technique for a professional salesperson. C) Knowledge of one's product or service is not important in all areas of professional selling. D) Complexity and variety of products available and the increasing number of new products complicate the buying process. E) Salespeople who learn and impart too much product knowledge slow the buying process down.

c

Which of the following statements regarding general versus specific benefits is true? A) Benefit statements linked to the customer's expressed needs are not especially effective in large or complex sales. B) A feature statement is general, but any benefit is specific. C) An advantage statement for an important product feature that the buyer has not expressed a need for can be described as a general benefit. D) An advantage statement can be a benefit even if it does not meet a specific need expressed by the buyer. E) Specific benefits that the customer does not want will harm the sale.

b

Which of the following statements regarding product benefits is true? A) People do not buy benefits, they buy features. B) A benefit provides the customer with personal advantage or gain. C) Prospects usually display equal interest in features and benefits. D) A feature is whatever provides the consumer with personal advantage or gain. E) Salespeople should never describe features, only benefits.

price objection

barrier to closing a sale

feature

data, facts, or characteristic product or service

product strategy

is a well conceived plan that emphasizes becoming a product expert, selling benefits, and configuring value-added solutions

benefit

whatever provides the customer with an advantage or gain