MKG 300 - Ch 14 - Personal Selling and Customer Service

consultative selling approach

involves developing a good understanding of the individual customer's needs before trying to close the sale

prospecting

involves following all the leads in the target market to identify potential customers

In order for a firm to determine the best salespeople, a ___ that includes 10-20 specific tasks or performance requirements should be developed.

job description

A sales ___ allows responsibilities to be divided geographically among different salespeople in order to more efficiently service customer accounts.

territory

When dealing with top-level customers, particularly other businesses, order getters must sell

concepts and ideas that solve a specific problem

order getters

concerned with establishing relationships with new customers and developing new business

In a commission-based compensation arrangement the size of incentives SHOULD be linked to

effort and results

The types and numbers of salespeople needed should be determined

on an ongoing basis

Which of the following statements are true about telemarketing?

-It can help a firm extend into new target markets. -It can help a firm to contact small or hard-to-reach customers. -Telemarketing saves the seller time and money.

Which of the following statements about order takers is true?

-Order takers maintain and nurture relationships with established customers.

Which of the following are characteristics of good salespeople?

-They present advantages and disadvantages of their products -They build lasting relationships -They try to understand the customers' needs -They try to help the customer to buy.

What are some titles that companies give their salespeople?

-account representative -field manager -sales consultant -market specialist -sales engineer

Regular salesperson performance reviews help managers to ensure that

-compensation plans are aligned with employees' effort and results -a salesperson is performing all of the tasks described in his or her job description -areas needing attention by salespeople or management are identified

After an order getter secures a customer's interest in a product, an order taker will then

-complete the sales transaction -answer any remaining questions the customer may have

When hiring salespeople, the best practices for progressive companies include

-conducting thorough background checks -keeping an updated list of potential job candidates -scheduling candidates for multiple interviews

Due to the large number of products that they are responsible for selling, wholesalers' order takers should focus on

-confirming that orders have been filled on time -placing orders -maintaining close contact with customers

Why is customer service part of promotion?

-customers weigh negative experiences more heavily than positive experiences -customers are more likely to tell other people about bad experiences with a company than about good ones

what do salespeople do?

-don't JUST try to "sell" the customer -try to help the customer "buy" - by understanding the customer's needs and presenting the advantages and disadvantages of their products

Which of the following are responsibilities of a salesperson?

-explain company policies -negotiate prices -diagnose technical problems -represent the whole company

Which of the following are changes associated with retail order takers?

-high turnover -minimal training -repetitive tasks

Producers need order getters for which of the following reasons?

-locating new prospects -opening new accounts -establishing and building channel relationships -discovering new opportunities

order getters for unsought consumer products

-must help customers see how a new product can satisfy needs now being filled by something else

Which of the following are considered basic sales tasks?

-order-taking -supporting -order-getting

who uses missionary salespeople?

-producers who rely on merchant wholesalers or e-commerce to obtain widespread distribution -sales rep can give a promotion boost to a product that otherwise wouldn't get much attention because it's just one of many

Which of the following are activities that an order taker will perform for a producer?

-provide ongoing follow-up to make certain customers are satisfied -handle complaints and keep customers informed -complete routine sales to target customers

In what ways can an order getter influence consumer behaviors?

-providing information that helps customers differentiate between similar products -convincing them to try products that they had not considered

Which of the following are important areas to cover in sales training?

-relationship building -professional selling skills -product information -company policies and practices

how can the helpfulness of salespeople benefit the company?

-satisfied customers -long-term relationships -strong relationships often form the basis for a competitive advantage, especially in business markets

Which of the following are ways that the sales force can aid in the marketing information function?

-sharing customer ideas for new products with the firm -conveying new uses that customers devise for existing products -sharing a competitor's strategy with the firm

Which of the following are new sales technologies available to sales reps that create competitive advantage?

-shelf-space management applications -digital presentation tools -sales analysis and forecasting software

A salesperson is a representative of

-the firm to its customers -customers to the firm

Which of the following should managers consider when developing a compensation plan?

-the level of compensation -the method of compensation

Which of the following factors determine whether a firm should use personal selling, e-commerce, or a combination of the two?

-the level of relationship building required -the extent to which the information exchanged is standardized

Which of the following are characteristics of missionary salespeople?

-they work for producers -they develop goodwill and stimulate demand -they help intermediaries train their salespeople

why do producers have a need for order-getters?

-use order getters to locate new prospects -open new accounts -see new opportunities -help establish and build channel relationships

Which of the following are effective methods of training a sales force?

-web-based or classroom training -on-the-job observation - conventions and meetings

Which of the following are choices a salesperson makes while acting as a marketing strategist?

-which products to emphasize -how to adjust prices -which customers to target -which intermediaries to rely on

Place the following steps in the selling process in order; early steps on top and later steps on the bottom

1. set effort priorities 2. select target customer 3. preplan sales call and presentation 4. make sales presentation 5. close the sale 6. follow up to maintain relationship

choices the salesperson may have

1. which customers to target 2. which particular products to emphasize 3. which intermediaries to rely on for help 4. what message to communicate and how to use promotion money 5. how to adjust prices

What percentage of workers in the United States are involved in sales?

10%

Personal selling is often

a company's largest single operating expense

sales territory

a geographic area that is the responsibility of one salesperson or several working together

job description

a written statement of what a salesperson is expected to do

how to be effective at "solutions selling"?

an order often needs to understand a customer's whole business as well as technical details about the product and its applications

Which of the following is the first step in the AIDA approach?

attention

A prepared sales presentation always includes a ___, a request for a customer to place an order.

close

To attract, retain, and motivate effective salespeople, a firm needs an effective ___ plan.

compensation

Wendy sells customized software to accountants and bookkeepers. In a series of sales calls, Wendy tries to get a good understanding of the customer's needs. She would carefully consider the different software products she had available and customize an offer for each customer. Wendy appears to be using a:

consultative selling approach

A salesperson typically

coordinates the relationship between firm and customer

A ___ ___ rep works with customers to resolve problems that arise with a purchase.

customer service

Which of the following is a key reason many companies provide customer service digitally and on the Internet?

customers are impatient and want their problem resolved immediately

When a customer leaving the grocery store stops at the Red Box video rental machine, selects a movie on the screen, swipes a credit card, and receives a DVD movie rental for the evening, this is an example of

digital self-service

An important requirement is selecting most new sales employees is

ensuring that they are comfortable with change and adopting new technologies

order getters for professional services

face a special challenge: -customer usually can't inspect a service before deciding to buy -communication and relationship with the customer may be the only basis for evaluating the quality of the supplier

supporting salespeople

help the order-oriented salespeople, but they don't try to get orders themselves. -their activities are aimed at enhancing the relationship with the customer and getting sales in the long run

When a firm places a special emphasis on large customers, it may use a ___ to sell to these customers.

major accounts sales force

Merchandiser or detailer are alternate terms used to describe ___ salespeople.

missionary

Carl works for a producer of vitamins and supplements. He is very knowledgeable about all of his company's products and those sold by the competition. He calls on the wholesalers and retailers in his territory, generating interest in his company's products and training retailers' sales staff. When a retailer is ready to buy, Carl turns the business over to a wholesaler's sales rep. Carl is a(n)

missionary salesperson

Another name for the consultative selling approach is the ___ approach.

need-satisfaction

When customers consider whether to buy the same product a second time, they are MOST likely to think about ___ first.

negative experiences

Jesse T. works for a professional hockey franchise and sells season tickets to corporate clients. Jesse typically cold-calls big companies and tries to establish relationships with those customers. He has developed a well-organized sales representation to sell the ticket packages and sponsorships he can offer. It sounds like Jesse is a(n)

order getter

Salespeople who work to generate new business opportunities and build relationships with customers are known as

order getters

In her work as a salesperson for The Computer Store, Nicole maintains contact with small service businesses that have been customers of her firm for years. She completes sales transactions and maintains relationships, keeps her customers informed of all products and services, answers their questions, and handles any complaints. Nicole's sales job has her acting primarily as a(n):

order taker

basic sales tasks

order-getting, order-taking, and supporting

major accounts sales force

people who sell directly to large accounts - such as Lowe's, Home Depot, or other major retail chains

The Ross Consulting Group advises hospitals on ways to save money. Each situation is unique and involves a high degree of problem solving, coordination, and cooperation. There is almost no standard information sharing. The relationship between Ross Consulting Group and its customer needs

personal selling alone

When a company does not wait for a customer to contact them with a complaint but instead uses technology and research to identify and contact seemingly unhappy customers, the company is engaging in

proactive customer service

Following all leads in the target market, also known as ___, can help a salesperson narrow their personal selling efforts to the right potential customers.

prospecting

A sales ___ can be adjusted by managers to ensure that incentives accurately reflect the sales potential in a given territory.

quota

Order takers at ___ sometimes work at a customer checkout counter making minimum wage and may be unmotivated. This can lead to poor service to customers.

retail

Firms that pay a straight ___ to their sales force will probably need to invest more in close supervision of its salespeople.

salary

While paying a salesperson a straight ___ provides the most security for the salesperson, a straight ___ offers the most incentive and is tied to results.

salary; commission

The level of sales or profits that a salesperson is expected to produce in a given time period is known as a

sales quota

order getting

seeking possible buyers with a well-organized sales presentation designed to sell a good, service, or idea

order takers

sell to the regular or established customers, complete most sales transactions, and maintain relationships with their customers. -after a customer becomes interested in a firm's products through an order getter, supporting salesperson, or through advertising or sales promotion, an order taker usually answers any final questions and completes the sale

A salesperson does most of the talking early to make key points before bringing the customer along to answer questions in the

selling formula approach

selling formula approach

starts with a prepared presentation outline - much like the prepared approach - and leads the customer through some logical steps to a final close

In July, Roseanne sold 15 printing presses that cost $10,000 each. Her compensation for the month was $15,000. In August, she was able to sell 5 printing presses and earned $5,000 in compensation. In September she sold 20 printing presses and earned $20,000. It appears that Roseanne's compensation is a

straight commission plan

If managers do not provide detailed ___ to salespeople, the salespeople may be expected to be marketing managers in their own territories.

strategy guidelines

Salespeople who help other secure orders but do not try to get orders themselves are known as

supporting salespeople

technical specialists

supporting salespeople who provide technical assistance to order-oriented salespeople -often science or engineering graduates with the know-how to understand the customer's applications and explain the advantages of the company's product

missionary salespeople

supporting salespeople who work for producers - calling on intermediaries and their customers -try to develop goodwill and stimulate demand -help intermediaries train their salespeople -often take orders for delivery by intermediaries

When several employees work together on the same account and each handles a different sales task, they are said to be

team selling

A ___ ___ is a supporting salesperson who provides technical assistance to order-oriented salespeople.

technical specialist

Prepared sales presentations are most often used by

telemarketers

Building a competitive sales force requires paying

the going market wage

order taking

the routine completion of sales made regularly to target customers -usually requires ongoing follow-up to make certain that the customer is totally satisfied

close

the salesperson's request for an order

sales quota

the specific sales or profit objective a salesperson is expected to achieve -often a salesperson receives a bonus for meeting the sales quota.

Prepared sales presentations are useful when

there is not a lot of time for the presentation

Companies often neglect selling techniques as part of a salesperson's ___ because they assume anyone can do it and that the only qualification is a friendly personality.

training

True or false: one of the challenges of hiring the correct number and type of salespeople is that every sales job is different

true

prepared sales presentation

uses a memorized sales presentation that is not adapted to each individual customer -says that a customer faced with a particular stimulus will give the desired response - in this case, a yes answer to the salesperson's prepared statement

telemarketing

using the telephone to call on customers or prospects

team selling

when different people work together on a specific account

Order takers for producers usually handle few items; however, order takers for ___ often sell thousands of items

wholesalers

customer service reps

work with customers to resolve problems that arise with a purchase, usually after the purchase has been made