Chapter 17 Sales Promotion and Personal Selling

Question 1

consumer sales promotion

Answer 1

activities such as price discounts to incentivize consumer purchases

price discounts to incentivize consumer purchases

Question 2

trade sales promotion

Answer 2

activities such as price discounts to incentivize current or prospective clientele to make purchases

price discounts to incentivize current or prospective clientele to make purchases

Question 3

coupon

Answer 3

a certificate that entitles consumers to an immediate price reduction where they can buy the product

a certificate that entitles consumers to a price reduction

Question 4

rebates

Answer 4

cash refunds given for the purchase of a product during a specific period

Question 5

premium

Answer 5

an extra item offered to the customer, usually in exchange for some proof of purchase of the promoted product

a sum added to the ordinary price or charge that provides users with additional benefit and value

or

an additional charge for additional benefit and value

Question 6

freemium

Answer 6

an initially “free” offering to use a service with limited functionality, which serves as an enticement to pay a “premium” to receive an enhanced experience

a limited trial of a product with limited features

Question 7

loyalty marketing program

Answer 7

a promotional program designed to build long-term, mutually beneficial relationships between a company and its key customers

a promotional program designed to build healthy long-term relationships with customers

Question 8

sampling

Answer 8

a promotional program that allows the consumer the opportunity to try a product or service for free

a promotional program that gives consumers the opportunity to try a product or service for free

Question 9

trade allowance

Answer 9

a price reduction offered by manufacturers to intermediaries, such as wholesalers and retailers

a price reduction from manufacturers to intermediaries, such as wholesalers and retailers

Question 10

push money

Answer 10

money offered to channel intermediaries to encourage them to push products- that is, to encourage other members of the channel to sell the products

money offered to channel intermediaries to encourage them to push/sell products

Question 11

relationship selling (business development)

Answer 11

a multistage sales process that involves building, maintaining, and enhancing interactions with customers for the purpose developing long-term satisfaction through mutually beneficial business partnerships

a multistage sales process that involves building, maintaining and enhancing interactions with customers to develop long-term satisfying relationships
or
a sales process that involves building and maintaining interactions with customers

Question 12

sales process (sales cycle)

Answer 12

the set of steps a salesperson goes through to sell a particular product or service

Question 13

lead generation (prospecting)

Answer 13

identification of those companies and people most likely to buy the seller’s offerings

identification of the people and companies that are most likely to buy the seller’s offerings

Question 14

cold calling

Answer 14

a form of lead generation in which the salesperson approaches potential buyers without any prior knowledge of the prospects needs or financial status

a form of lead generation in which the salesperson approaches potential buyers without any prior knowledge
or
a salesperson contacts/approaches the potential buyers without any prior knowledge about the prospect and their needs

Question 15

referrals

Answer 15

recommendations to a salesperson from a customer or business associate

Question 16

networking

Answer 16

the use of friends, business contacts, coworkers, acquaintances, and fellow members in professional and civic organizations to identify potential clients

the use of others to find and identify potential customers

Question 17

social selling

Answer 17

leveraging social networks to find the right prospects and build trusted relationships to achieve sales goals

Question 18

trojan horse method

Answer 18

demonstrating or displaying a person or company’s expertise via social media channels, resulting in the recruitment of prospects who are impressed with said expertise, and voluntarily come forward with interest in seeking the company’s assistance

demonstrating or displaying a company’s or persons expertise via social media channels
or
demonstrating expertise online via social media channels

Question 19

lead qualification

Answer 19

determination of a sales prospect:
1) recognizing needs
2) buying power
3) receptivity and accessibility

Question 20

preapproach

Answer 20

a process that describes the research a salesperson must do before contacting a prospect

Question 21

needs assessment

Answer 21

a determination of the customer’s specific needs and wants and the range of options the customer has for satisfying them

determining the customers specific desires and the range of options the customer has to satisfy them

Question 22

sales proposal

Answer 22

a formal written document or professional presentation that outlines how the salesperson’s product or service will meet or exceed the prospect’s needs

a formal document or presentation that outlines how the salesperson’s product would meet the needs of the receiver

Question 23

sales presentation

Answer 23

a formal meeting in which the salesperson presents a sale proposal to a prospective buyer

Question 24

negotiation

Answer 24

the process during which both the salesperson and the prospect offer concession in an attempt to arrive at a sales agreement

the process during which both the salesperson and prospect attempt to arrive at a sales agreement

Question 25

follow-up

Answer 25

the final step of the selling process, in which the salesperson ensures that delivery schedules are met, that the goods or services perform as promised, and that the buyer’s employees are properly trained to use the products

The final step of the selling process, in which the salesperson ensures that the good and or services are performing as promised