Chapter 10

Follow-up refers to the contacts you periodically make with customers in order to remind them of your business, and your interest in their business.

True

It is customary for a small business to concentrate its efforts on one target market at the beginning and consider secondary ones later.

True

It is nearly impossible to design a message that will appeal universally or to find media that will reach all consumers.

True

Sales leads who actually make some sort of effort to learn more about the product, service, or business in anticipation of a possible purchase are known as prospects.

True

Succinct messages make a business clear to potential clients and customers.

True

When the fear appeal used by a marketing message is a too strong, it always causes the audience to react positively. true/false

False

Which of the following statements is true of sales forecasting?

In many cases, the best sales forecast you can come up with is an educated guess.

Which of the following is true of advertising? A. It works if people recall an ad even though it did not have a positive impact on them. B. It involves presentation of a company's image. C. It is the least likely to be used by businesses to convey their message to potential customers. D. It works if an ad's impression is positive even if people do not recall it. E. All of the above F. None of the above

It involves presentation of a company's image.

Which of the following is a characteristic feature of a message for a target market?

It must contain the elements of a product's value proposition.

Which of the following is the key to customer relationship management (CRM)?

The data on current or prospective customers

Your hit rate is how many prospects or leads you need to approach in order to make one sale. Also called the conversion rate.

True

_____ is an electronic equivalent of word-of-mouth advertising.

Viral marketing

Harry Howard, a successful real estate broker, has established his own real estate company in western Pennsylvania. He has on-the-job experience working at a real estate company where he had a whole staff supporting brokers' work. Now on his own, with two secretaries, Harry is building his dream of owning and growing his own business. He wants to mainly focus on middle-to-upper-income homeowners and is exploring what type of promotional material he needs to have. Which of the following would be the fastest way for Harry to build his client base?

Word-of-mouth

Personal selling decreases business owners' flexibility in their presentation. true/false

false

Press relations are a form of communication that encourage the customer to take immediate action.

false

The close of a sale is the end of the sale.

false

The process of dividing the market into smaller portions of people that have certain common characteristics is called stereotyping. true/false

false

Which of the following terms refers to a rule of thumb about how many prospective customers it takes to find one who will actually make a purchase?

marketing funnel

_____ is the segment or segments a business owner selects to concentrate his or her marketing efforts.

target market

It costs five times as much to get a purchase from a new customer compared to an existing one. true/false

true

The proof of a customer relationship management effort is seen in higher levels of customer loyalty in existing customers. true/false

true