Professional Selling Exam 2

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?

"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."

List and explain the three prescriptions to developing a good presentation strategy.

1. Establish objectives for the presentation. This is done in order to be able to accomplish several things during a sales call. 2. Develop the presale presentation plan. This is done in order to meet your objectives. 3. Provide outstanding customer service. This is done in order to obtain business and repeat business to aid the salesperson in his/her career.

Which of the following is a product benefit rather than a feature?

?

Which of the following statements regarding product benefits is true?

A benefit provides the customer with personal advantage or gain.

Which of the following would most likely help a salesperson to position and differentiate a product as better than other products in the market?

A competitive analysis worksheet

Which of the following statements regarding general and specific benefits is most likely true?

A general benefit is a product feature for which the buyer has not expressed a need.

Which of the following are NOT an example of performance data?

A list of product service centers available to customers.

As Sarah and Juan begin to put together the actual presentation, what should they do first?

Clarify the objectives for the presentation using their company's standard form.

Customers can be a source of product and company information for salespeople because

Customers often do research on all options before buying

Sarah has already made a brief call on the prospect. Which of the following objectives has she most likely achieved?

Established rapport and asked basic needs discovery questions.

Which of the following statements about sources of product knowledge is most likely true?

Examining and using the product can give a salesperson in-depth knowledge of its features.

A salesperson should mention a competing product as soon as possible during the sales presentation to overcome objections.

False

For a growing number of customers, short-term savings that result from low prices are more important than long-term value. T/F

False

In most cases, the same sales strategy is used to sell a new and emerging product as is used to sell a mature, well-established product. T/F

False

Many companies believe that salespeople should visit the manufacturing plant and see the production process.

False

Plant tours do not represent a good source of product information.

False

Positioning is the set of benefits and values the company promises to deliver to customers to satisfy their needs

False

Pricing decisions generally are made primarily during the introductory stage of the product life cycle and rarely change. T/F

False

The presentation strategy should be developed before the relationship, product, and customer strategy in order to have an effective plan. T/F

False

Today, the primary goal of the value-added strategy is to add value by lowering the price of the product. T/F

False

Value creation during the transaction sale is considerable. T/F

False

In the morning, the Web-Star salesperson will give a sales presentation to a current client, and in the afternoon, the salesperson will give a sales presentation to a new prospect. How is pre-call planning different for the two presentations?

It is equally important for both types of clients, as current clients' needs may have changed since the original purchase.

Which is the first step in creating a presentation objective?

Obtain personal and business information to establish the customer's life.

Which of the following prescriptions is part of the presentation strategy?

Prepare a presale presentation plan needed to meet objectives.

Which of the following statements about pricing policies is most likely true?

Price-discounting is a competitive tool available to large number of salespeople.

Which term refers to measuring products and services against established standards?

Quality control

Quantifying a solution can be performed with a cost-benefit analysis or with a(n):

ROI calculation

Which type of price discount would most likely be offered by a ski lodge during the summer months?

Seasonal discount

Which of the following is recommended when making telephone contact with a prospect?

State the purpose of your call and explain how the prospect can benefit from a meeting.

Which of the following statements is most likely true?

Team selling is effective when firms sell complex or customized products.

Which of the following statements is most likely true about products and product knowledge?

The extensive variety of available products in the market complicates the buying process.

How can the sales manager of Abco Realty differentiate Abco's units from units offered in other buildings to attract tenants?

The sales manager can promote Abco apartments as being worth more money because they are safer and have more services.

Which of the following most likely covers transportation costs incurred by channel intermediaries?

Trade discount

A benefit is whatever provides the customer with personal advantage or gain.

True

A general benefit shows how a feature can be helpful to a buyer, but it does not relate to a specific need expressed by the buyer.

True

A potential consequence of using low-price tactics is lower profits. T/F

True

Before teaming up with another company, the strategic alliance buyer should learn about the firm the salesperson represents

True

In the field of personal selling, customers represent an important source of product information.

True

Mature and well-established products are usually characterized by intense competition as new brands enter the market. T/F

True

One of the best ways to present benefits is to use a bridge statement.

True

One way to neutralize a competitor's proposal that beats your price or terms is by employing a value-added approach.

True

Potential products are more likely to be developed by salespeople who regularly interact with customers. T/F

True

Product knowledge has been ranked the number one characteristic of salespeople who are able to built trust

True

Prospects are likely to use past performance of a company to evaluate the quality of the current product offering.

True

Salespeople have assumed an important and expanding role in differentiating products. T/F

True

Salespeople who can develop a sales proposal that contains specific information on return on investment are more likely to get a favorable response from key decision makers.

True

The act of creating a product concept in the customer's mind is called positioning.

True

The generic product is the basic, substantive product you are selling. T/F

True

Customer satisfaction most likely arises from:

a combination of the product, company, and salesperson

Leading companies are aggressively automating their quotation management process.

a major element of product configuration

Preparing presale objectives, developing a presale presentation plan, and providing outstanding customer service are the three parts of:

a presentation strategy

A good way to determine a customer's satisfaction is to

ask the customer questions about their needs

Which service-quality dimension refers to the knowledge and courtesy of employees?

assurance

Throughout the sales presentation, it is usually best to:

avoid shifting the focus of attention away from your product to competing products

The Whirlpool company most likely created a house filled with company products so that salespeople could:

become familiar with the products.

The goal of selling strategies for new and emerging products is to

build desire for the product

Successful sales presentations convert product features into:

buyer benefits

The primary benefit of providing online product information to salespeople is that the information:

can be accessed at any time

In terms of product knowledge, salespeople:

cannot, generally, know too much about the products they sell

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?o increase the sales representatives' product knowledge, the sales director arranges for each of them to rotate

customer service, so that they can learn how the chemicals are implemented and used by the customer

Which of the following is NOT a service-quality dimension?

durability

Research reported in the Harvard Business Review indicated that it is very difficult to build customer loyalty if a firm is selling only the ______ product

expected

Yellow Freight Systems must provide clean, well-maintained trucks and well-trained drivers. This is most likely an example of:

expected product

The increase in the number of products being introduced to the marketplace makes it easier for customers to assess what to buy and from whom.

false

Salespeople who love their products, and possess vast product knowledge, sometimes overload their customers with product data that is neither wanted nor needed. Which term best describes this practice?

feature dumping

The speed rating assigned to a motorcycle tire is an example of product:

features

Money that a bank has available for customer loans would be an example of:

generic product

Which of the following is a buyer benefit that could be used by a person selling automobile tires?

greater safety

Most written proposals include all of the following components EXCEPT a(n):

hypothesis

Customized service agreements add value to a sale by:

incorporating the customer's special priorities, feelings, and needs

The goal of selling strategies for mature and well-established products is to

maintain customer relations

A problem a salesperson could run into with regard to knowing the product extensively is:

misjudging the customer's product knowledge

The positioning process:

must be continually modified to match customer wants and needs

When setting professional fees, which of the following should LEAST likely be considered?

number of channels

A collection of beliefs, behaviors and work patterns held in common by people employed by a specific firm is a(n):

organizational culture

When customers ask, "What is the anticipated rate of return on this mutual fund?," they are requesting product information from the category of:

performance data and specifications

Creating a value proposition is a way of:

positioning your product in the marketplace

As the level of competition increases, especially in the case of a mature product, salespeople must look more carefully into the:

potential product

Before the salesperson plans the presentation, he or she needs to plan the:

preapproach

Raymundo is trying to develop a presentation strategy. One of the prescriptions he should follow is:

prepare objectives

A manufacturer tests, modifies, and retests an original idea several times before offering it to the consumer. This process is called:

product development

Product positioning is largely a function of:

product differentiation

Which term refers to the decisions and activities that are intended to create and maintain a certain product concept in the customer's mind?

product positioning

Becoming familiar with a customer's satisfactions is necessary for a salesperson to move from

product selling to solution selling

The process differentiation does with of the following?

providing choice in learning activity

When a salesperson asks a customer to prepare a note or letter of introduction that can be delivered to the potential customer, this person is using which prospecting method?

referral

A salesperson would most likely use a CRM system to:

send product information to customers

A value proposition is best defined as a:

set of benefits a firm promises to deliver to satisfy customer needs

Which term refers to the process by which a salesperson uncovers and clarifies a customer's problem, works with the customer to create a vision of how things could be better, and then develops a plan for implementing the vision?

solution selling

Value created investments are the highest in:

strategic alliance sales

Phil has observed that today's car buyers are more knowledgeable than car buyers in the past, primarily due to the Internet. Such car buyers gather information on all aspects of a car, from the manufacturing process to service contracts, and they respond best to a value-added selling strategy. What advice should Phil most likely give to his sales team when they are faced with such knowledgeable buyers?

tailor the product to the buyer's needs and provide superior skill

What is most likely drawback of using too many technical terms during a sales presentation?

the customer being to intimidated to purchase

Which of the following is a factor that determines a product's life cycle stage?

the product's benefits and the importance of the needs it fulfills

Satisfaction can come from:

the salesperson who sells the product

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?

to give the salesperson in-depth knowledge of the delivery process

A solution is a mutually shared answer to a recognized customer problem.

true

The product selection process is often referred to as product configuration.

true

When developing a product strategy, the salesperson must:

use feature-benefit analysis

In order to bring the Walker Hotel and Convention Center up to industry standards, each guest room was redecorated with new wallpaper, drapes, carpeting, mattresses, and sofas. Melanie Simms, sales manager for the Center, has recommended that guest rooms be upgraded with the addition of wide desks, free wi-fi, and 24-hour room service. From the viewpoint of most business travelers, these changes would result in the creation of a(n):

value-added product

In what situation would a salesperson sell the potential product to a customer?

when the sale will turn into a long-term partnership.