exam 4
Arrange the steps followed in developing a typical retail communication program.
1. Establish objectives 2. Determine the communication budget 3. Allocate the promotional budget 4. Implement and evaluate the program
Rank the steps in the recruiting process
1. Prepare job description 2. Find potential applicants with desired capabilities 3. Screen the best candidates to interview
Arrange the steps followed in a typical human resource management process that affect the productivity of store employees.
1. Recruiting and selecting employees 2. socializing and training new employees 3. motivating and mangin
Last year, the net sales in a home fashions department were $365,000. The accounting records at year-end showed the inventory should be $67,500 but the actual count of the inventory revealed $52,900. What was the shrinkage percentage?
4% ( 67500-52900/365000)
Which of the following exemplifies the reliability of a retailer?
A bakery delivers ordered cakes to customers on time
What is an advertisement printed at the retailer's expense and distributed as an attachment in the newspaper known as?
A freestanding insert
The _______ with ______ Act opens up job opportunities for individuals with physical or mental impairments by requiring that employees provide accommodating work environments
Americans; Disabilities
Identify the accurate statement about racetrack layouts
As customers go around the racetrack, their eyes are forced to take different viewing angles rather than looking down one aisle as in a grid layout
Which of the following is true of personal selling?
Content control is in the hands of the salesperson
Which of the following reasons is why retailers use coupons?
Coupons are thought to induce customers to try products for the first time
Why do retailers try to keep decompression zone in stores free of merchandise, displays, and signage?
Customers are not prepared to evaluate merchandise or make purchase decisions in the decompression zone.
Why do specialty store retailers place more emphasis on providing hedonic benefits and encouraging exploration that on making it easy to find merchandise
Customers shopping for specialty goods are more likely to spend time in the store browsing, comparing, and talking with the salesperson.
In merchandise management, retailers develop an assortment and merchandise budget plan and then buy and price merchandise. Which of the following is the next step in a typical retail planning process.
Developing and implementing a communication program to build appealing brand images and attract customers to stores and Internet sales.
_____ could occur if a retailer requires a high school diploma for an entry level position that could be performed just as well by people who did not graduate from high school.
Disparate impact
occurs when a group is excluded from being considered for employment that may not be justifiable. In this case, the retailer would need to prove that the minimum qualifications are necessary to perform the job.
Disparate impact
fairness is a customer's perception of the benefit received compared with his or her costs in terms of inconvenient or monetary loss
Distributive
The store management is responsible for controlling their costs. What is the largest expense that they need to manage?
Employee compensation
work means that the jobs require the same skills, effort, and responsibility and performed in the same working environment
Equal
Accurate statement of job evaluations
Evaluations are only meaningful if employees know what they are required to do, the expected level of performance, and how they'll be evaluated.
sponsorship occurs when retailers support various activities (finally or otherwise), usually in the cultural
Event
rewards are rewards provided by either the employee's manager or the firm
Extrinsic
are rewards provided by either the employee's manager or the firm, such as compensation, promotion, and recognition.
Extrinsic rewards
T/F Retailers should rely on customer complaints as a source of market information
F
T/F: All elements of the retailing mix cannot provide services that increase the value of merchandise to customers.
F
T/F: Customer complaints cannot be used by retailers to close the knowledge gap.
F
T/F: Customers typically seek personalized services rather than standardized services in supermarkets since the purchase decisions are riskier.
F
T/F: Effective service recovery efforts have on influence over customer satisfaction and their purchase intentions
F
T/F: Handing complaints is an expensive means to isolate and correct service problems
F
T/F: High-quality customer service provided by a retailer can be easily duplicated by competitors.
F
T/F: It is easy for retailers to control the performance for sales associates.
F
T/F: Post-recovery satisfaction, generally, is more than the satisfaction level before the service failure
F
T/F: Providing high-quality personalized customer services is cheaper than providing standardized services.
F
T/F: Retailers can rely solely on customer complaints as a source of market information.
F
T/F: Service problems and complaints seldom provide market information about a retailer's merchandise offering
F
T/F: Service standards should be based on internal operations rather than customers' perception
F
T/F: Task performance behaviors are the activities store managers undertaken to make sure that employees are satisfied and work well together.
F
T/F: The level of personalized information desired from sales associates is independent of the buying situation.
F
T/F: The service goals established by retailers to guide employees should be intangible
F
The _____ ______ _____ Act of 1938 set minimum wages, maximum hours, child labor standards, and overtime-pay provisions
Fair Labor Standards
A mobile text message which acts as a promotional advertising tool is also called a spot.
False
Coupons do not allow retailers to directly trace individual sales
False
Coupons never annoy, alienate, or confuse customers and guarantee an increase in store loyalty
False
Premiums cannot be used as promotional markdowns
False
Products sold using catalog channels cannot be promoted through mobile marketing.
False
T/F Vendors are not concerned about building a long-term image of their products.
False
T/F Vendors typically have to develop communication programs a wider range of products compared to retailers
False
T/F: Coupons cannot stimulate the demand for services
False
T/F: Coupons typically offer high redemption rates to customers
False
T/F: In advertising, the lead time is the number of times a consumer is exposed to an advertisement
False
T/F: Newspaper advertisements cannot effectively convey a lot of detailed information.
False
T/F: Pop-up stores generally exist for a long time as they typically sell existing products that are popular among customers.
False
T/F: Readers cannot go through a newspaper advertisement at their own pace
False
T/F: Spots have relatively large audiences
False
T/F: TV advertising has low production costs
False
T/F: The life of a newspaper advertisement is longer than that of a magazine advertisement
False
T/F: The life of a newspaper advertisement is relatively long
False
T/F: Vendors are not concerned about building a long-term image of their products
False
T/F: Vendors communications typically are used to announce promotions that generate short-term revenues
False
The impact of mobile marketing campaigns cannot be tracked by retailers.
False
True or False: Brand symbols with words or phrases are more easily recalled than brand symbols with visual images.
False
True or False: Retailers with strong brand names cannot leverage their brands to introduce new retail concepts with only a limited amount of marketing effort
False
True or False: The brand name of a retailer generally has no influence over customers' purchase decisions.
False
Typically, TV advertising has low production quality.
False
Unlike all temporary promotions, coupons cannot steal a retailer's sales from a future period.
False
T/F: In most cases, it is very easy to perform a marginal analysis because managers know the relationship between communication expenses and sales
False; DON'T KNOW
Identify from the following a warm color
Gold
Why does customer service provide a strategic advantage to a retailer?
Good customer service cannot be easily duplicated by the retailer's competititors
Which of the following is true of signage or graphics used in a stores?
Graphics and signage can reinforce a store's image
includes activities that consider employees' needs, show concern for their well-being, and create a pleasant work environment
Group maintenance behavior
Paul was promoted as a retail store's manager. What should Paul do while questioning a prospective employee during the interview?
He should encourage long responses from the applicant
Identify the reason why impulse purchases are almost always located near the front of multilevel stores.
In mutlilevel stores, a retail space's value decreases the farther it is from the entry-level floor.
makes it hard to provide and maintain high-quality service because retailers cannot easily measure or check the service before it gets delivered to customers.
Intangibility
rewards are rewards employee get personally from doing their job well.
Intrinsic
Identify the true statement about the 1990 Americans with Disabilities Act.
It affects store design as the act for "reasonable access" to merchandise and services in retail stores built before 1993
Why does the design of a store have long-term effects on building customer loyalty towards the retailer?
It attracts customers to the store and increases the amount of merchandise they purchase
Which of the following is the definition of direct mail?
It includes any brochure, catalog, or other printed marketing material delivered directly to consumers through a private delivery company
In the USA, many higher end retailers focused on superior customer service have the mantra "the customer is always right". In which country do retailers take this to an even higher level with the mantra "the customer is god"?
Japan
Kevin, the owner of a retail store, is revising his strategy to improve the service provided to customers. Which of the following options should he consider?
Kevin should focus on reducing the knowledge gap by collecting customer feedback.
Which of the following would cause shrinkage?
Miscounting merchandise
Which of the following statements is true about the factors that help stores create an appealing store atmosphere?
Music can either add to or detract from a retailer's total atmospheric package
Which is the reason for the life of a newspaper advertisement being short?
Newspaper are usually discarded after they are read.
Why are newspapers effect at targeting specific retail markets?
Newspapers are distributed in well-defined local market areas.
Which of the following refers to a communication process in which sales associates help customers satisfy their needs through face-to-face exchange of information?
Personal selling
Identify the difference between personalized service and standardized service
Personalized customer service is less consistent than standardized customer service.
clients are customers who have high customer lifetime value (CLV
Preferred
fairness is the perceived fairness of the process used to resolve complaints
Procedural
. _____ is the perceived fairness of the process used to resolve complaints.
Procedural fairness
what are the 7 steps in the Sales Process
Prospecting & qualifying, approach, presentation, demonstration, handling objections, closing, follow-up.
What is the most effective approach for a retailer to develop a sustainable competitive advantage?
Provide excellent customer service.
Recognize the accurate statement about the retailer communication programs
Retailer communication programs are not concerned about what products customers buy as long as they buy them in the retailer's stores
Identify the accurate statement from the following.
Retailers provide different types of service for different types of merchandise sold in different areas of a store.
Identify the accurate statement about the components that affect a retail communication mix
Salespeople simply the buying process by providing information and services that save customers time and effort
Disadvantage of incentive compensation plans
Salespeople will concentrate on the more expensive, fast-moving merchandise and neglect others.
is an element that improves customers' subjective shopping experience by making them feel that they are spending less time examining merchandise, waiting for sales help, or checking out.
Scents
is a process that matches applicants' qualifications with the job description
Screening
is an SEM method which creates and adjusts website content to show up closer to the top of a search engine result page.
Search Engine Optimization
Identify the reason why grid layouts used in stores do not encourage customers to make unplanned purchases
Stores using these layouts do not display all the merchandise to customers
Which of the following statements is true about brand names?
Strong brand names enable retailers to introduce new retail concepts with only a limited amount of marketing effort
T/F: Extrinsic rewards may not be particularly motivating because the employees might be satisfied with their present income and job responsibilities
T
T/F: Information acquired via complaints can be used by buyers to improve vendor merchandise
T
T/F: Most customer services provided by retailers cannot be measured.
T
T/F: Post-recovery satisfaction generally is less than the satisfaction level before the service failure.
T
T/F: Retailers provide different types of service for different types of merchandise sold in different areas of a store.
T
T/F: Retailers should focus on the positive prospects generated by customer problems rather than the negative aspects
T
T/F: Social media site scan provide insights into customer's opinion about a retailer's offering and the offering of its competitors.
T
T/F: Store employees are the store's largest operating expense
T
T/F: Store managers improve labor productivity by effectively recruiting, selecting, training, and managing their store employees.
T
T/F: The knowledge gap is reduced only when retailers use customer information to improve service.
T
T/F: Title VII of the Civil Rights Act prohibits discrimination on the basis of race, national origin, gender, or religion in company personnel practices.
T
Identify the reason why retailers typically use TV for image advertising
TV advertising provides the opportunity to communicate through both visual images and sound.
Identify the true statement about the factors that affect a retailer communication mix.
The cost of communicating directly with a potential customer is quite high compared with other forms of promotions.
Identify the accurate statement about the factors that affect the atmosphere of a store.
The lighting in a store must provide an accurate color rendition of the merchandise
Identify the true statement about store designs.
The objective of store design is to increase the sales made to customers on any particular visit
Why do retailers display some of their most compelling merchandise in the strike zone of their stores
The strike zone creates the customer's first impressions of the store's offering
Identify the reason why newspapers are useful for delivering messages on short notice
The time between the deadline for receiving the advertisement and the time that the advertisement will appear is less.
Identify an advantage of grid ;ayouts used in the design of retail stores
There's less wanted space with the grid layout than with other layouts
Why is the grid layout, used in a store designs, well suited for customers who are primarily interested in the utilitarian benefits offered by the store?
These customers are not interested in the hedonic benefits provided by a visually exciting design
Identify a characteristics of point-of-purchase displays. a. interactivity is high b. They can be personalized to each customer c. The cost per exposure is high d. They are the most valuable real estate in the store.
They are the most valuable real estate in the store
Identify a characteristic of point-of-purchase displays.
They are the most valuable real estate in the store.
Identify a characteristic of newspaper advertisements.
They typically offer a quick response rate
Why do retailers use surveys at the end of a transaction?
To gain insights into customer expectations and perceptions
Why should retailers provide accurate information to customers?
To increase customer satisfaction, even when customers must wait longer than desired.
Which of the following is a reason why retailers use incentives?
To motivate their employees
awareness, the highest level of awareness, occurs when customers mention a specific brand name first when they are asked about the type of retailer, a merchandise category, or a type of service.
Top-Of-Mind
Which of the following is a feature of mass advertising?
Transmission of limited amount of information
In m-commerce, combining geographic location services with social media can increase crime rates.
True
T/: Retailers' success with mobile communications rest on apps that enable effective communications through a service with a small screen.
True
T/F Distributing samples is one of the most costly sales promotion tools, but it is also one of the of the most effective.
True
T/F Retailers use coupons because they are though to induce customers to try products for the first time
True
T/F: Coupons are sometimes directly linked to loyalty programs
True
T/F: Newspaper advertisements typically offer a quick response rate.
True
T/F: Retailers use magazines for image advertising because the reproduction quality is high.
True
T/F: Sponsorships of well-publicized events can provide considerable exposure to a retailer's name and increase awareness.
True
T/F: The broadcast time for national TV advertising is expensive
True
T/F: The cost of developing newspaper advertisements is relatively low
True
T/F: Vendors are no concerned about where customers buy products as long as they buy their brands.
True
T/F: Vendors are not concerned about where customers buy products as long as they buy their brands
True
T/F: the cost of developing and broadcasting radio commercial is relatively low.
True
True or False: In a retailing context, the name of a retailer is a brand that indicates to consumers the type of merchandise offered by that retailer.
True
True or False: the store design must reinforce the retailer's strategy by meeting the needs of the target market and building a sustainable competitive advantage
True
Why is it difficult for customers to accurately evaluate the service offered by retailers?
Typically, services are intangible
Amber has her store front leased for her women's clothing and accessory retail business. She needs employees to help her be ready for the grand opening and to help with the day-to-day business of operating a retail business. What should Amber do to hire the best employees and lessen the risk of high employee turnover?
Undertake a job description.
14%
____ percent of advertising media is through newspapers.
19%
_____ percent of advertising media is through internet.
11%
_____ percent of advertising media is through magazines.
3%
_____ percent of advertising media is through outdoors.
6%
_____ percent of advertising media is through radio.
47%
_____ percent of advertising media is through television.
product line
a group of related products marked by physical similarities or intended for a similar market.
plans that give effective employees a choice of reward for their good performance are known as
a la carte plans
botnet
a network of PCs that have been infected with one or more data stealing viruses.
gives salespeople or mangers a fixed amount of compensation for each hour or week they work
a straight salary compensation plan
Blogs help retailers increase word-of-mouth by a. encouraging customers to build a community b. reducing the communication between people about retailers c. disabling tools that allow customers to post online reviews about their products. d. encouraging retailers to maintain confidentiality about their internal business operations.
a. encouraging customers to build a community
Identify a disadvantage of direct mail. a. it is relatively expensive on a per-customer basis b. retailers cannot use direct mail to promote services c. direct mail cannot be used by outparcels to sell their products d. it can only be sent to a subset of customers in a target market
a. it is relatively expensive on a per-customer basis.
Why do retailers generally welcome rebates from vendors? a. rebates generate sales in the same way that coupons do but the retailer incur no handling costs b. the likilihood that consumers will actually apply for the rebate is high c. rebates are forms of fixed markups, which in turn help retailers to generate extra sales after the end of the selling season. d. the retailer, instead of the manufacturer issues the refund as a portion of the purchase price returned to the buyer
a. rebates generate sales in the same way that coupons do but the retailer incur no handling costs
non depository financial institutions
accept funds from business and households, much of which they then invest. Three examples are insurance companies, pension funds, and finance companies.
physical distribution
actual movement of product from producer to consumers or business users.
entails the placement announcement and persuasive messages purchased by retailers and other organizations that seek to inform and/or persuade members of a particular target market about their products.
advertising
Customer expectations
affect the judgement of service quality
premiums
amount paid by the insured to the insurer to exchange for insurance coverage.
Chelsea was recognized as the top sales associate at a Macy's store for the year. Her name, along with the names of previous year's winners, is engraved on a plaque that is prominently displayed in the store. This is an example of _____.
an extrinsic reward
handling objections
answer the prospect's questions
malware
any malicious software program designed to infect computer systems.
raw materials
are farm and natural products used in producing other final products.
component parts and materials
are finished business goods that become part of a final product, such as disk drives that are sold to computer manufacturers or batteries purchased by automakers.
Impulse products
are products that consumers purchase without planning
salespeople under the straight commission plan
are reluctant to spend time performing nonselling activities
closing
ask for the Order
Mangers hep sales associates constructively analyze their performance by
asking "why" questions that force sales associates to understand and learn from their experience
Brand ______ are anything linked to or connected with the brand name in a consumer's memory
associations
pulling strategy
attempts to promote a product by generating consumer demand for it, primarily through advertising and sales promotion appeals.
All Nikon CoolPix cameras typically perform alike. From the given information, it can be concluded that
automated manufacturing makes the quality of most merchandise consistent from item to item
Brand ______ is the strength of the link between name and the type of merchandise or service in the minds of customers a. equity b. valuation c. architecture d. awareness
awareness
Brand ______ refers to a potential customer's ability to recognize or recall that the brand name is a particular type of retailer or product/service
awareness
The _____ interview asks candidates how they have handled actual situations they have encountered in the past, especially situations required the skills outlined in the job description
behavioral
A free-form layout is also known as
boutique layout
trademark
brand that has been given legal protection.
A rounder is also called a
bulk fixture
the rounder is also called a
bulk fixture
product
bundle of physical, service, and symbolic characteristics design to satisfy consumer wants.
How do weaker brand images maintain the margins of retailers? a. By forcing retailers to offer merchandise at high prices b. by forcing retailers to engage in premium pricing c. by forcing retailers to offer low prices and generating frequent sales to maintain their market share d. by reducing retailers' reliance on price promotions
c. by forcing retailers to offer low prices and generating frequent sales to maintain their market share
When retailers have high customer loyalty, they:
can reduce their reliance on price promotions.
A(n) _____ marketing campaign is a commercial activity in which businesses and charities form a partnership to market an image, product, or service for their mutual benefit.
cause-related
database
centralized integrated collection of data resources.
In order to achieve service excellence, Joanna, a retailer store owner should
clearly state her expectations to her service providers and define their roles.
A(n) ______ program is a promotional program undertaken by a vendor and a retailer working together that enables a retailer to associate its name with well-known national brands and use attractive artwork created by the national brands
co-op
secondary market
collection of financial markets in which previously issued securities are traded among investors.
When Ashley was shopping online and entered the Amazon.com site, it immediately recognized her from her browsing history and cookies. The site listed recommendations for her based upon her past purchases and even items she only looked at but did not purchase. These customer service aspects allow Amazon.com to _____.
combat the problems associated with service intangibility
The ______ gap is the difference between the actual service provided to customers and the service that the retailer's promotion program promises.
communication
The _____ gap can be reduced by making realistic commitments and managing customer expectations
communications
supply chain
complete sequence of suppliers that contribute to creating a good or service and service and delivering it to business users and final consumers.
intranet
computer network that is similar to the Internet but limits access to authorized users.
local area networks (LANs)
computer networks that connect machines within limited areas, such as a building or several nearby buildings
During the recruitment process, socialization includes
conducting orientation and training programs
The set of activities and programs undertaken by retailers to make the shopping experience more rewarding for customers is known as __________ ___________
customer service
A customer enters a store and sees that there are no displays, merchandise, and sinage close to the entrance of the store. This gives him enough time to father his thoughts before he decides to brows through the merchandise. In the store, in this scenario, the area free from displays, merchandise and signage is called the
decompression zone
A characteristic of transformational leaders is that they
delegate challenging work to subordinates, have free and open communication with them
To reduce the ____ gap retailers must provide instrumental and emotional support, provide appropriate incentives, improve internal communications, and use technology.
delivery
signage includes signs whose visual content is delivered digitally through a centrally managed and controlled network, distributed to servers in stores, and displayed on a flat-panel screen.
digital
Which of the following is generally the most expensive form of communication?
direct selling / personal selling
coupons
discounts for small price discounts that persuade cutovers to try a new or different product. They have increased more than 25 percent, using 3.3 billion coupons to redeem 3.5 billion dollars.
Retailers use ______ to inform customers of new merchandise and special promotions, confirm the receipt of an order, and indicate when an order has been shipping.
is a direct marketing communication vehicle that involves sending messages over the Internet.
support involves demonstrating a concern for the well-being of others.
emotional
Major disadvantage of the straight line plan is that
employees lack immediate incentives to improve their prouctivity
means allowing employees at the firm's lowest level to make important decisions regarding how service will be provided to customers.
empowerment
Displays located at the end of an aisle in stores using a grid layout are called
end caps
In order to achieve service excellence, a retailer should
ensure that part of store manager's bonuses are determined by the level of service provided
The value that a brand image offers retailers is referred to as brand
equity
Benefits, a type of _____ reward, are often more important to employees than financial compensation
extrinsic
areas are the areas within a store that are designed to get customers' attention
feature
A _____ has two crossbars that sit perpendicular on a pedestal
feature fixture
primary market
financial market in which firms and governments issue securities and sell them initially to the general public.
The primary purchase of ______ are to efficiently hold and display merchandise
fixtures
product life cycle
four basic stages--introduction, growth, maturity, and decline--through which a successful product progresses.
a feature fixture is also know as a
four-way fixture
Retailers of ______ frequently employ sampling.
fragrances
displays are fixtures that are located on aisles and designed primarily to attract customers' attention and bring them into a department in stores using a racetrack or free-form layout
freestanding
The ______ _______ is a method of displaying merchandise in which the retailer exposes as much of the product as possible to catch the customer's eye
frontal presentation
business products
goods and services such as paycheck services and huge multifunction copying machines used in operating an organization; they also include machinery, tools, raw materials, components, and buildings used to produce other times for resale.
The _____ has parallel aisles with merchandise on shelves on both sides of the aisles. Cash registers are located at the entrances/exits of the stores.
grid layout
Store design provides ______ benefits by offering customers an entertaining and enjoyable shopping experience.
hedonic
Store design provides _________ benefits by offering customers an entertaining and enjoyable shopping experience
hedonic
The retailer should allocate the budget to areas that will yield the greatest return. This approach for allocating a budget is sometimes referred to as the a. high-assay principle b. competitive parity method c. keystone pricing method d. showrooming principle
high-assay princple
In ______ presentation individual items are grouped to show customers how the items could be used and combined.
idea-oriented
prospecting & qualifying
identify potential customer
accurate statement about grid layouts
in these layouts, the cost of the fixtures is low because the fixtures are generally standardized
accessory equipment
includes capital items, they are usually less expensive and shorter lived than installations and involve fewer decision makers.
maturity stage
industry sales at first increase, but they eventually reach a saturation level at which further expansion is difficult.
Service providers need to have ________ support, such as appropriate systems and equipment, to deliver the service desired by customers.
instrumental
enterprise resource planning
integrated cross-functional software that controls many business activities, including distribution, finance, and human resources. (SAP enterprise resource planning)
Shrinkage results from:
inventory theft.
demonstration
involve the customer in the presentation
A cooperative program:
is a promotional program
An incentive compensation plan:
is administered in the form of a commission.
trade promotion
is sales promotion geared to marketing intermediaries rather than to consumers. marketers use this.
The store employee evaluation process:
is supplemented by informal discussions.
product mix
is the assortment of product lines and individual goods and services that a firm offers to consumers and business users.
communication gap
is the difference between the actual service provided to customers and the service that the retailer's promotion program promises. When retailers are more realistic about the services they can provide, customer expectations can be managed effectively to close this gap
Delivery gap
is the difference between the retailer's service standards and the actual service it provides to customers. This gap can be reduced by getting employees to meet or exceed service standards through training and/or appropriate incentives.
Disparate impact
is the unjustified discriminatory effect caused due to an apparently neutral rule
Retailers can reduce conflicts regarding customer service by
issuing clear guidelines and policies concerning the service
true statement about fixtures
it is harder for customers to view apparel on gondolas than it is on straight racks
convenience products
items the consumer seeks to purchase frequently, immediately, and with little effort.
The _______ _______ is a guideline for recruiting, selecting, training, and eventually evaluating employees.
job description
is the process by which a person attempts to influence others to accomplish a common goal or task
leadership
expense items
less costly products that are consumed within a year are referred to as ___.
The racetrack layout is also known as a
loop
Point-of-purchase displays are characterized by
low interactivity
Store ________ entails the activity involved with managing the exterior and interior physical facilities associated with the store.
maintenance
Installations
major capital items, such as new factories, heavy equipment and machinery, custom-made equipment.
is based on the economic principle that firms should increase communication expenditures as long as each additional dollar spent generated more than a dollar of additional contribution
marginal analysis
is based on the economic principles that firms should increase communication expenditures as long as each additional dollar spent generates more than a dollar of additional contribution.
marginal analysis
is a short version of a blog
microblog
Identify an atmospheric element that can be easily changed.
music
shoppers are professional shoppers who visit a store to assess the service provided by store employees and the presentation of merchandise in the store
mystery
brand
name, term, sign, symbol, design, or some combination that identifies the products of one firm and differentiates them from competitors's offerings.
The ______ method determines the budget required to undertake specific tasks to accomplish communications objectives
objective-and-task
Specific goals related to the retail communication mix's effect on the customer's decision-making process are called communication
objectives
Disparate treatment
occurs when a member of a protected class is treated differently from nonmembers of the class
rebates
offer cash back to consumers who mail in required proofs of purchase. Help packaged-goods manufacturers increase purchase rates, promote multiple purchases, and reward product users.
In ______ training, new employees work in specific jobs under the direct supervision of their managers
on-the-job
information systems
organized method for collecting, storing, and communicating past, present, and projected information on internal operations and external intelligence.
brand name
part of the brand consisting of words or letters included in a name used to identify and distinguish the firm's offerings from those of competitors.
service requires that service providers tailor their services to meet each customer's individual needs.
personalized
Tara was shopping for shoes at a mall. The sales associate at Nordstrom's greeted her when she entered the footwear area and showed her the new back-to-school season arrivals. The sales associate brought out suggestions of different styles that met what Tara expressed she was interested in and stayed with her throughout her shopping experience. The same sales associate completed Tara's transactions at the cash wrap and after putting the shoes in a shopping bag, walked around the counter to hand the bag to Tara and thanked her for shopping at Nordstrom's. This sales service can best be described as _____.
personalized services
standards gap
pertains to the difference between the retailer's knowledge of customers' perceptions and expectations and the service standards it sets. By setting appropriate service standards and measuring service performance, retailers can close this gap.
To reduce inventory and shrinkage in their store, retailers should
place electronic article surveillance tags on merchandise
are useful for merchandise that doesn't it nicely on shelves in supermarkets to discount stores.
planogram
displays the merchandise displays located at the point of purchase, such as at the checkout counter in a supermarket
point-of-purchase POP display
A(n) _____ offers an item for free or at a bargain price to reward some type of behavior, such as buying, sampling, or testing.
premium
approach
prepare for the sales interview
is the process in which retailers offer a limited number of predetermined price points and price categories within another classification
price lining
breakeven analysis
pricing-related technique used to determine the minimum sales volume a product must generate at a certain price level to cover all costs.
logistics
process of coordinating flow of goods, services, and information among members of the supply chain.
The judges in the television show of American Idol have Coca Cola logoed cups on their table. This is an example of _____.
product placement
capital items
products that are long-lived and relatively expensive.
trojan horse
program that claims to do one thing but in reality does something else, usually something malicious.
financial software
programs that compile accounting and financial data to create financial statements, reports, and budgets; they perform basic financial management tasks such as balancing a checkbook. (quicken, quickbooks)
presentation software
programs that create presentations. Users can create presentations. Users can create bulleted lists, charts, graphs, pictures, audio, and even short video clips. (microsoft excel, Keynote (apple)
word processing
programs that input, store, retrieve, edit, and print various types of documents. Ex. Microsoft Word, Pages (apple)
spreadsheets
programs that prepare and analyze financial statements, sales forecasts, budgets, and similar numerical and statistical data. Microsoft Excel, Numbers (apple)
viruses
programs that secretly attach themselves to other programs (called hosts) and change them or destroy data.
A ____ ____ is a space used to display merchandise that is being actively popularized
promotional aisles
REI's sustainable outdoor products come with ecosensitive labels that help consumers easily track items made from a high percentage of recycled, rapidly renewable and/or organic fibers. About one-fourth of all REI locations are supplied by green energy, six of its buildings are LEED-certified, and REI's employees are encouraged to be green with biking and public transportation incentives. Plus, REI has plans to become both climate neutral and a zero-waste-to-landfill company by 2020 through emission cuts, green energy, and carbon offsets. These initiatives are best communicated through _____.
public relations
is the process of managing communications and relationships to achieve various objectives, such as building and maintaining a positive image of the retailer, handling or heading off unfavorable stories or events, and maintaining positive relationships with the media. a. search-engine marketing b. customer alchemy c. sugging d. public relations
public relations
Utilitarian benefits enables customers to
purchase products in an efficient manner
plan provides sales associate with a bonus when their performance exceeds their quota
quota-bonus
data
raw facts and figures that may or may not be relevant to a business decision.
Retailers use store-issued, handheld scanning devices to
reduce the average checkout times of customers
knowledge gap
reflects the difference between customers' expectations and the retailer's perception of those customer expectations. Retailers can close this gap by developing a better understanding of customer expectations and perceptions.
pushing strategy
relies on personal selling to market an item to wholesalers and retailers in a company's distribution channels.
Retailers cannot
rely solely on customer complaints as a source of market information
To reduce employee theft in their stores, retailers should
restrict employee purchases to working hours
Inefficient labor scheduling:
results in quick checkouts.
True about compensation plans for salespeople
retailers find it difficult to measure individual performance when salespeople work in teams
direct-response
retailing reaches prospective customers through catalogs; telemarketing; and even magazine, newspaper, and television ads. Shoppers order merchandise by mail, telephone, computer, and fax machine and then receive home delivery or pick the merchandise up at a local store.
The _____ methods use past sales and communication activities to determine the present communication method
rule-of-thumb
growth stage
sales climb quickly as new customers join early users who now are repurchasing the item.
Special incentives or excitement-building programs that encourage customers to purchase a particular product or service are called
sales promotions
Who among the following is most likely to have the best understanding of customer service expectations and problems?
salesperson
Democratic leaders
seek information and opinions from employees and base their decisions on this information. They share power and information with their employees.
Retailers use a technique known as _______ analysis to assess the favorableness (or lack of favorableness) in their customer's opinions by monitoring social media sites.
sentiment
is a process whereby retailers can tap into a variety of online chat formats to collect consumers comments and then analyze these data to identify customers' overall attitudes and preferences for products and advertising campaigns.
sentiment mining
To deliver consistent, high-quality service, retailers should
set service goals based on their beliefs about the proper operations of the business.
preferred stock
shares that give owners limited voting rights, and the right to receive dividends or assets before owners of common stocks.
common stock
shares that give owners voting rights but only residual claims to the firm's assets and income distributions.
Wifi
short for wireless fidelify--is a wireless network that connects various devices and allows them to communicate with one another through radio waves
The inventory loss due to employee theft, shoplifting, mistakes, inaccurate records, and vendor errors is known as
shrinkage
worm
small piece of software that exploits a security hole in a network to replicate itself.
The ____ process helps newly hired employees learn about their job responsibilities and affect the degree to which newcomers become involved, engaged contributors to the firm's successful performance
socialization
desktop publishing
software that combines high-quality type, graphics, and layout tools to create output that can look as attractive as documents produced by professionals publishers and printers. (adobe acrobat, microsoft publisher)
database programs
software that searches and retrieves data from a database; it can sort data based on various criteria. (microsoft access, approach)
spyware
software that secretly gathers user information through the user's internet connection with out his or her knowledge, usually for advertising purposes.
personal information managers
specialized database programs that allow people to track communications with personal and business contacts; some combined-mail capability. (Microsoft outlook, lotus organizer)
The ______ gap pertains to the difference between the retailer's knowledge of customer's perception and expectations and the service standards it sets.
standard
service is based on establishing a set of rules and procedures for providing high-quality service and ensuring that they get implementing consistently by service providers.
standardized
Amy purchased a new suit at a local mall to wear for her interview. After she got home, she found that the sensor/ink tag was still on the jacket sleeve. Amy was frustrated as she could not remove it herself and called up the store. The sales associate soon arrived at Amy's home with the device that would remove the sensor/ink tag for her and rectified the situation. The retailer would later review this situation and realize they need to work on closing the _____ gap.
standards
An incentive plan in which a salesperson's income is based entirely on the percentage of sales made is called a(n):
straight commission
penetration pricing
strategy sets a low price as a major marketing weapon.
skimming pricing
strategy sets an intentionally high price relative to the prices of competing products.
A(n) ____ helps new employees acquire basic skills and knowledge, which they need to be able to do their jobs.
structured training programs
New employees can learn about company policies and skills needed to perform their jobs though ______ training programs, whereas _______ training enables them to apply the information they have learned.
structured; on-the-job
presentation
tell the product's story
follow-up
thank the Customer and Begin the Process of Maintaining Mutually Beneficial Relationships that result in future sales
Identify the characteristics of e-mail. a. the message cannot be controlled b. interactivity is low c. the cost per exposure is low d. e-mail cannot be personal
the cost per exposure is low
decline stage
the fourth phase of the product life cycle where sales continues to fall.
From a retailer's perspective, a benefit of straight salary compensation is that
the manager has flexibility in assigning salespeople to different activities and sales areas
The effectiveness of standardized services relies mostly on _____.
the quality of the retailer's policies and procedures
specialty products
the third category of consumer products, are those that a purchaser is willing to make a special effort to obtain.
In advertising, lead time is
the time between submitting the advertisement and its publication
Providing high-quality service is difficult for retailers because
they cannot control the performance of every front line store employee
shopping products
those typically purchased only after the buyer has compared competing products in competing stores.
wide area networks (WANs)
tie larger geographical regions together by using telephone lines and microwave and satellite transmission.
In ____ _____ large quantities of merchandise are displayed together.
tonnage merchandising
When Joe's guests were arriving for his Super Bowl party, they asked him if he remembered to order pizzas. Joe quickly used speed dial on his cell phone to reach his favorite Domino's. Domino's has what type of brand equity with Joe?
top-of-mind
T/F: Stores can effectively organize merchandise to follow the eye's natural movement
true
risk and interest rate
two factors of quality rating for bonds
Autocratic leaders
use the authority of their position to tell employees what to do
Store design provides _____ when it enables customers to locate and purchase products in an efficient and timely manner with minimum hassle
utilitarian benefit
objectives of promotional strategy
vary among the organization. Some use promotion to expand their markets, and others use it to defend their current positions.
merchandising in the presentation of a store and its merchandise in was that will attract the attention of potential customer.
visual
Typically, customers are most satisfied
when the first person they contact can resolve a problem
From the following colors, ______ typically has peaceful, gentle, calming effects and appears to induce abstract thinking, leading customers to view products more favorably.
white
are an effective tool for building the store image, particularly with new customers who are unfamiliar with the store.
window displays
_____ is a communication among people about an entity such as a retailer or a product or service.
word of mouth
