Chapter 18 - Personal Selling and Sales Management

Question 1

Relationship selling (consultative selling)

Answer 1

a sales practice that involves building, maintaining, and enhancing interactions with customers in order to develop long-term satisfaction through mutually beneficial partnerships

Question 2

Customer-centric

Answer 2

a philosophy under which the company customizes its product and service based on data generated through interactions between the customer and the company

Question 3

Learning

Answer 3

an informal process of collecting customer data through customer comments and feedback on product or service performance

Question 4

Knowledge management

Answer 4

the process by which learned information from customers is centralized and shared in order to enhance the relationship between customers and the organization

Question 5

Interaction

Answer 5

the point at which a customer and a company representative exchange information and develop learning relationships

Question 6

Touch point

Answer 6

area of a business where customers have contact with the company and data might be gathered

Question 7

Point-of-sale interaction

Answer 7

a touch point in stores or information kiosks that uses software to enable customers to easily provide information about themselves without feeling violated

Question 8

Campaign management

Answer 8

developing product or service offerings customized for the appropriate customer segment and then pricing and communicating these offerings for the purpose of enhancing customer relationships

Question 9

Sales process (sales cycle)

Answer 9

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

Question 10

Lead generation (prospecting)

Answer 10

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

Question 11

Referral

Answer 11

a recommendation to a salesperson from a customer or business associate

Question 12

Networking

Answer 12

a process of finding out about potential clients from friends, business contacts, coworkers, acquaintances, and fellow members in professional and civic organizations

Question 13

Cold calling

Answer 13

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

Question 14

Lead qualification

Answer 14

determination of a sales prospect’s (1) recognized need, (2) buying power, and (3) receptivity and accessibility

Question 15

Preapproach

Answer 15

a process that describes the “homework” that must be done by a salesperson before he or she contacts a prospect

Question 16

Needs assessment

Answer 16

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

Question 17

Sales proposal

Answer 17

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

Question 18

Sales presentation

Answer 18

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

Question 19

Negotiation

Answer 19

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

Question 20

Follow-up

Answer 20

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

Question 21

Quota

Answer 21

a statement of the salesperson’s sales goals, usually based on sales volume