Ch 18 review

30. The Pillsbury Bake-Off requires people to submit a recipe using Pillsbury baking products. Finalists are brought to Pillsbury kitchens to bake their recipes so the winner of a cash prize can be chosen. This is an example of a: a. contest b. sales promotion game c. sweepstakes d. push money deal e. POP (participant of Pillsbury)

A

31. Seagram's Coolers has asked bartenders in New York City to submit cocktail recipes to its Web site. From these entries, the winning recipe will be selected. The winner of this _____ gets to take a friend on a five-night trip to Tahiti. a. contest b. push money deal c. sampling d. relationship game e. sweepstakes

A

40. Which of the following statements about online sales promotions is true? a. Internet sales promotions are more effective and cost-efficient at generating responses than their offline counterparts. b. One of the few types of sales promotion that cannot be used online is sampling. c. Online coupons have lower redemption rates than off-line coupons. d. Loyalty marketing programs are ineffective when used at Web sites to encourage traffic. e. There is no way for a marketer to build long-term, mutually beneficial relationships with customers online.

A

41. Trade sales promotions support a _____ strategy. a. push b. hierarchical c. disintermediation d. discontinuous innovation e. pull

A

45. General Mills is offering resellers a 10 percent discount on all cases of its granola bars purchased during the month of June. General Mills is offering a: a. trade allowance b. life cycle extension promotion c. P-O-P discount d. push money deal e. product development deal

A

49. You are responsible for sales promotion for Replenishmints, long-lasting breath mints that contain a blend of vitamins and other nutrients specifically formulated for smokers and for people exposed to tobacco in their environment. You need to introduce the mints to supermarket managers and owners, attract and identify new store contacts, and test market the response to Replenishmints. Which type of trade promotion will help you reach your objectives in the most cost effective way? a. trade shows b. trade allowances and direct incentives c. push money d. contests and sweepstakes e. direct sampling and store demonstrations

A

5. What are the two types of sales promotion? a. consumer and trade b. informative and reminder c. start-up and continual d. adoptive and diffusive e. personal and impersonal

A

52. All of the following statements describe an advantage of personal selling over other forms of promotion EXCEPT: a. Personal selling is less expensive on a per contact basis. b. Personal selling is better for providing customers with detailed demonstrations of products. c. It is easier to vary the message according to what the customer needs to know with personal selling. d. It is easier to direct the marketing effort to directly to qualified prospects with personal selling. e. Personal selling costs can be controlled by adjusting the size of the sales force.

A

68. The seven steps of the selling process closely follow the: a. AIDA concept b. hierarchy of needs c. traditional communications model d. process of forecasting and satisfying industry demand e. JIT process

A

69. _____, or prospecting, is the identification of those firms and people most likely to buy the seller's offerings. a. Lead generation b. Lead qualification c. Customer mining d. Referral calling e. Cold calling

A

46. _____ is money offered by a manufacturer to employees of channel intermediaries to encourage them to sell the manufacturer's product. a. A trade allowance b. Push money c. A selling deal d. A premium payment e. A direct trade sales promotion

B

47. Broyhill is offering the sales force at Meers Furniture Emporium a $50 reward for each Broyhill Pleasant Isle Living Room Collection sold in the next 30 days. What type of trade sales promotion is the $50? a. a trade allowance b. push money c. a selling deal d. premium payment e. a direct commission

B

48. The use of trade shows, conventions, and conferences to contact customers: a. has been decreasing in recent years b. costs much less per potential customer than personal sales calls c. is most effective for mature products d. is usually directed toward the consumer goods market e. has a disadvantage in that it is usually impossible to display the product itself

B

50. Trade sales promotions are popular among manufacturers because they can do all of the following at trade shows EXCEPT: a. introduce new products b. create long-term relationships between manufacturers and customers c. enhance the corporate image d. test the market response to new products e. gather competitive information

B

53. Kinko's has built a long-term business relationship with PeopleSoft in which PeopleSoft awards much of its training and education materials printing to Kinko's. Which promotional activity was most likely used to make this $5 million deal? a. direct sales management b. personal selling c. public relations d. sales promotion e. research and development

B

56. For which of the following products would its producer be more likely to choose personal selling rather than advertising or sales promotion to market it? a. garden hose b. high-definition television c. dry cleaning d. coffee mug e. breakfast cereal

B

59. Jefferson Smurfit Company is a multibillion-dollar supplier of packaging materials. One of its salespeople rearranged production schedules at three different plants to satisfy an unexpected demand for boxes from General Electric. The salesperson's action is typical of the company's sales philosophy and indicates an emphasis on: a. consultative promotion b. relationship selling c. adaptive selling d. transformational selling e. transactional buying

B

70. AutoFry is the leading manufacturer of ventless deep fryers for supermarket deli and food service operations. It has developed a new high-capacity fryer. The company has decided to purchase a mailing list of thousands of food service managers and to send out brochures with a detachable card that the managers can use to request more information. AutoFry is involved in: a. lead qualification b. lead generation c. sales presentation d. the close procedure e. moving through the sales continuum

B

39. One of the major advantages to using point-of-purchase promotion is: a. its low costs b. its ability to create long-term relationships with customers c. the fact it has a captive audience d. its ability to create long-term relationships with intermediaries e. the low monetary requirements

C

43. All of the following are examples of trade sales promotions EXCEPT: a. push money b. store demonstrations c. premiums and coupons d. free merchandise e. trade shows

C

54. When compared to other forms of promotion, personal selling: a. is more important as the number of potential customers increases b. is more effective in selling frequently purchased products c. can use a message customized to the immediate needs of the customers d. is best for selling simple, low-involvement products e. is less expensive

C

57. As a manufacturer of ready-to-drink iced tea, Nestea sells a highly standardized product to consumers all over the United States. You would expect Nestea to rely on _____ to promote its product. a. public relations b. personal selling c. advertising and sales promotion d. publicity and direct marketing e. product innovation

C

61. Relationship selling is also called: a. long-term selling b. win-win selling c. consultative selling d. experiential selling e. interactive selling

C

64. All of the following statements characterize the traditional personal selling approach EXCEPT: a. Traditional selling focuses on closing sales. b. Traditional selling uses short-term follow-ups that focus on product delivery. c. Traditional personal selling takes a team approach to the account. d. Salespeople sell products not advice and assistance. e. Proposals and presentations used emphasize pricing and product features.

C

65. Consultative selling: a. uses limited sales planning b. uses a "lone wolf" approach to selling c. sells advice, assistance, and counsel rather than products d. uses short-term follow-ups, which focus on product delivery e. emphasizes closing the sale during the sales presentation

C

72. In traditional selling, more time is spent _____ than in relationship selling. a. qualifying leads b. following up c. handling objections d. approaching the customer and probing needs e. designing and proposing solutions

C

73. Joe Hamas sells for Rush Beverages. He is trying to convince retailers to carry his company's Ginseng Rush, a new all-natural beverage that delivers an energy punch without caffeine. When he gets retailers to agree to stock his product, he asks them for the names of other retail operations that might be interested in carrying it. He is using _____ to get his sales leads. a. networking b. cold calling c. referrals d. direct marketing e. noncompeting sales

C

32. Which of the following statements about contests and sweepstakes is true? a. Contests depend on luck, and participation is free. b. Contests are generally effective tools for creating long-term relationships with customers. c. Sweepstakes are promotions that require participants to exhibit some skill. d. Sweepstakes usually draw about ten times more participants than contests. e. Contests and sweepstakes are not useful for creating interest and publicity

D

4. Sales promotion: a. is a publicity tool b. is only directed to the ultimate consumer market c. is more difficult to measure than advertising d. offers a short-term incentive to buy e. expenditures have been decreasing in recent years

D

51. _____ is direct communication between a sales representative and one or more prospective buyers for the purpose of making a sale. a. Trade promotion b. Sales promotion c. Public relations d. Personal selling e. Direct marketing

D

58. Northrop Grumman builds ocean-going vessels for the military and maritime shippers. You would expect this company to rely on _____ to promote its vessels. a. publicity b. advertising and sales promotion c. sales promotion d. personal selling e. product innovations and direct marketing

D

6. _____ sales promotions are targeted toward the ultimate end-user market. a. Facilitating b. Intermediary c. Pull d. Consumer e. Trade

D

60. _____ is a sales practice that involves building, maintaining, and enhancing interactions with customers in order to develop long-term satisfaction through mutually beneficial partnerships. a. Networking b. Adaptive selling c. Stimulus-response selling d. Relationship selling e. Needs-dependent selling

D

62. Relationship selling: a. is also called adaptive selling b. is more concerned with making a sale than with developing customer trust c. is more typically used when selling low-involvement products in the consumer market d. emphasizes a win-win outcome e. is declining in popularity among businesses because the costs are becoming prohibitive

D

63. The knowledge that most businesses depend on repeat sales is the basis of: a. traditional personal selling b. direct marketing c. all trade promotions d. relationship selling e. product-oriented selling

D

66. The set of steps a salesperson goes through to sell a particular product is called the: a. (P-O-S) cycle b. stimulus-response hierarchy c. sales presentation d. sales process e. sales continuum

D

71. Which of the following statements about the relative amount of time spent in the selling process by different types of salespeople is true? a. A consultative salesperson would spend a lot of time generating leads. b. A traditional salesperson would spend a lot of time following up the sale. c. A relationship salesperson would spend a lot of time handling objections. d. A relationship salesperson would spend a lot of time qualifying leads. e. A consultative salesperson would spend a lot of time closing the sale.

D

42. Lopez is the largest Hispanic-owned meat processor in the United States. To assist retailers in marketing its products, Lopez provides point-of-sale materials and offers special introductory discounts to retailers. Lopez uses: a. functional marketing b. relationship selling c. consumer promotions d. startup marketing e. trade promotions

E

44. _____ is a price reduction offered by manufacturers to intermediaries such as wholesalers or retailers, in exchange for performance of specified functions or purchasing during special periods. a. A point-of-purchase discount b. Pull money c. A quantity discount d. A functional discount e. A trade allowance

E

55. Personal selling is more important than advertising and sales promotion if: a. the products being sold are standardized b. there are many customers for the product being sold c. the product being sold has a low value d. the buyers of the product are extremely dispersed e. the products being sold are technically complex

E

67. The first step in the selling process is: a. qualifying leads b. approaching the customer and probing needs c. developing and proposing solutions d. making a sales presentation e. generating leads

E

7. All of the following would be a target for a trade sales promotion offered by Rubbermaid, a manufacturer of storage and organization products, EXCEPT: a. a store that is called The Container Store b. a kitchen department in a large discount store c. a wholesaler of plastic storage bins d. a Rubbermaid distributor e. a consumer who needs to organize her college dorm room

E

12. A certificate that entitles consumers to an immediate price reduction when they buy the product is called a(n): a. coupon b. premium c. push money d. entitlement e. allowance

a

18. Why do some marketers offer rebates instead of price reductions to induce short-term sales? a. Rebates are especially good at enticing purchases, but most consumers never bother to redeem them. b. A price reduction of this type would likely be an example of price discrimination. c. Rebates offer a more immediate reward than price reductions. d. Rebates have a much higher redemption rate than coupons. e. Rebates result in brand-loyal consumers.

a

23. Which type of consumer sales promotion rewards loyal consumers for making multiple purchases of a particular good or service? a. frequent buyer program b. 80/20 program c. net worth program d. premium program e. continuity program

a

36. _____ are promotional exhibits set up at the retailer's location to build traffic, advertise the product, or induce impulse buying. They are targeted to consumers. a. Point-of-purchase displays b. Trade shows c. Indirect demonstrations d. Direct demonstrations e. Freestanding kiosks

a

77. Lead qualification involves determining whether a prospect has: a. a recognized need, buying power, and a willingness to see a salesperson b. any interest in a product c. a real or imagined need for a product d. any resources e. a line membership in the company's buying center

a

78. Often the task of lead qualification is handled by a telemarketing group or a sales support person who frees the sales representative from the time-consuming task by engaging in: a. prequalification b. database mining c. co-opting d. cold calling e. networking

a

8. The goal of sales promotion (regardless of what form it takes) is usually: a. immediate purchase b. return on investment c. cost control d. market share leadership e. economies of scale

a

9. Packaged-goods marketers such as Kellogg's and Betty Crocker have increased their use of coupons recently due to: a. intense competition and the introduction of new products b. the growth of frequency programs c. push money from retailers d. POP activities e. user incentives from retailers

a

1. _____ is marketing communication activities in which a short-term incentive is offered to induce the purchase of a particular good or service. a. Publicity b. Sales promotion c. Promotion d. Advertising e. Motivation selling

b

21. New subscribers to Men's Health magazine receive a free copy of Men's Health Total Fitness Guide. The Fitness Guide is an example of a(n): a. contest b. premium c. trade sample d. product placement e. loyalty incentive

b

26. Whenever Jeff buys a box lunch at Heavenly Ham, he gets a stamp on his "Lunch Bunch" card. When he has 10 stamps, he can exchange the card for a free box lunch. This is an example of a(n): a. self-liquidating premium b. frequent buyer program c. loyalty incentive d. in-store rebate e. consumer allowance

b

28. Cobranded credit cards are used in conjunction with: a. self-perpetuating premiums b. loyalty marketing programs c. trade consumer promotions d. consumer discount programs e. functional consumer discounts

b

34. Pirates of the Caribbean Online is Disney's multiplayer game based on the Pirates of the Caribbean movie franchise. For $9.99 per month, the online game lets players sink ships, hunt for buried treasure and go on various Pirate-oriented quests. Disney also offers a limited version of the game for free in the hope that those who like the game will decide to pay for the complete version. Disney is utilizing which sales promotion tool? a. sponsorship b. sampling c. trade promotions d. in-pack couponing e. premiums

b

35. The Men's Health Center offers free blood pressure tests, cholesterol screening tests, and prostate exams one day each year. These free health tests are an example of a: a. premium b. free sample c. service commission d. sponsorship e. point-of-purchase promotion

b

74. _____ is a process of finding out about potential clients from friends, business contacts, coworkers, acquaintances, and fellow members in professional or civic organizations. a. People surfing b. Networking c. Co-opting d. Lead intermediation e. Looking for the golden parachute

b

75. Christy recently began selling Arbonne skin care products on a part-time basis. She began by telling all her friends and relatives about the product. Then she called old friends from her college days and reached out to the friends of her friends. This technique for generating leads is called: a. cannibalizing b. networking c. snowballing d. incremental approach e. multiplier effect

b

79. The _____ is a process that describes the homework that must be done by a salesperson before he or she contacts a prospect. a. pre-sales dialogue b. preapproach c. prospect customerization d. closing preamble e. sale profiling procedure

b

13. To overcome low redemption rates for coupons, marketers are doing all of the following EXCEPT: a. issuing fewer coupons and using more everyday low pricing b. shortening the time the coupon can be redeemed to create a feeling of urgency c. requiring multiple purchases to redeem the coupon d. distributing single all-purpose coupons that can be redeemed for several brands e. using instant coupons on product packages

c

14. Why are many marketers shortening the time in which a coupon can be redeemed? a. to track response rates b. to increase introductory sales c. to create a greater sense of urgency to redeem the coupon d. to respond to claims that coupons adversely affect consumer behavior e. to limit the use of on-pack coupons

c

22. Consumers who send it 10 UPC symbols as proof of purchase of Chip Ahoy cookies will receive a children's classic DVD. The DVD is an example of a: a. loyalty incentive b. trade sample c. premium d. trade product e. product placement

c

24. One of the best methods for creating and rewarding brand loyalty among consumers who might otherwise switch to competing brands is a: a. directed coupon mailing b. sweepstakes c. loyalty marketing program d. trade sales promotions e. sampling program

c

25. The Starbucks Reward program rewards frequent Starbucks customers with free refills on brewed coffee, free beverages with whole bean purchases, beverage customization, and free Wi-Fi computer access. The program is an example of a: a. directed coupon mailing b. sweepstakes c. loyalty marketing program d. trade sales promotion e. sampling program

c

29. By visiting the priceless.com site, Mastercard users can register for a chance to win an all-expensepaid trip for two to New York to see two Broadway plays. This prize package will be awarded through a(n) _____ since there is no skill involved. a. contest b. P-O-P promotion c. sweepstakes d. loyalty incentive plan e. event sponsorship

c

33. Which sales promotion tool allows the consumer the opportunity to try a product or service for free? a. coupon b. rebate c. sampling d. sweepstake e. allowance

c

37. All of the following are examples of point-of-purchase promotions EXCEPT: a. television monitors at supermarket checkouts b. shelf talkers c. newspaper inserts d. shelf extenders e. end-aisle and floor-stand displays

c

15. Kaye noticed Bounce fabric softener dryer sheets had a peel-off sticker worth $1.00 off that purchase. The peel-off stickers are: a. premiums b. trade discounts c. purchase allowances d. in-store coupons e. functional allowances

d

16. A _____ is a cash refund given to consumers for the purchase of a product during a specific time period. a. premium b. trade discount c. purchase allowance d. rebate e. functional allowance

d

17. When Rick purchased a Xerox color printer for his law office, he was able to mail in a proof-of-purchase and his cash register receipt to receive a check from Xerox for $200. Rick received a: a. premium b. trade allowance c. purchase allowance d. rebate e. functional discount

d

19. A(n) _____ is an extra item offered to the consumer, usually in exchange for some proof that the promoted product has been purchased. a. coupon b. trade sample c. supplement d. premium e. add-on

d

20. When Darrell purchased a five-pound bag of 9 Lives cat food, he received a free can of the manufacturer's new gourmet cat food. The can of cat food is an example of a: a. product placement b. trade sample c. contest d. premium e. loyalty incentive

d

27. Unlike other sales promotion activities, the objective of a loyalty marketing program is to: a. encourage brand switching b. appeal to bargain hunters who consistently buy the lowest priced brand c. take away customers from the competition d. build long-term, mutually beneficial relationships between a company and its key customers e. modify customers' attitudes toward a product

d

38. Point-of-purchase promotions work best for: a. high-involvement products b. purchases that require extensive decision making c. complex products that require technical knowledge to operate d. impulse buys e. expensive products like perfume and jewelry

d

76. _____ involves of determining which sales prospects have a recognized need, buying power, and receptivity and accessibility. a. Prospect examination b. Customerization c. Lead reciprocity d. Lead qualification e. Bird-dogging

d

10. Coupons, premiums, contests, free samples, and frequent buyer programs are examples of: a. personal selling b. trade sales promotion c. publicity d. advertising e. consumer sales promotion

e

11. All of the following are types of consumer sales promotions EXCEPT: a. coupons b. rebates c. premiums d. contests and sweepstakes e. push money

e

2. Dell's fall back-to-school program allows students who buy a new laptop computer for college to get a free printer. The printer giveaway is a: a. push strategy b. advocacy advertising c. comparative advertising d. cause marketing e. sales promotion

e

3. AT&T offered customers who purchased a Blackberry a $100 rebate if they signed up for a 2-year service contract. This is an example of: a. motivational selling b. a trade promotion c. a push strategy d. personal selling e. a sales promotion

e

80. A salesperson engaged in needs assessment does all of the following EXCEPT: a. researching the industry b. finding out about the competition c. knowing everything there is to know about the customer and its needs d. learning about the product or service e. handling objections

e