Chapter 18: Sales Promotion and Personal Selling Flashcards
Consumer sales promotion
Sales promotion activités targeting the ultimate consumer.
Trade sales promotion
Sales promotion activities targeting a marketing channel member, such as a wholesaler or retailer.
Coupon
A certificate that entitles consumers to an immediate price reduction when they buy the product.
Rebates
Cash refunds given for the purchase of a product during a specific period.
Premium
An extra item offered to the consumer, usually in exchange for some proof of purchase of the promoted product.
Loyalty marketing program
A promotional program designed to build long-term, mutually beneficial relationships between a company and its key customers.
Frequent-buyer program
A loyalty program in which loyal consumers are rewarded for making multiple purchases of a particular good or service.
Sampling
A promotional program that allows the consumer the opportunity to try a product or service for free.
Shopper marketing
Promotion set up at the retailer’s location to build traffic, advertise the product, or induce impulse buying.
Trade allowance
A price reduction offered by manufacturers to intermediaries, such as wholesalers and retailers.
Push money
Money offered to channel intermediaries to encourage them to push products - that is, to encourage other members of the channel to sell the products.
Relationship selling (consultative selling)
A multistage sales process that involves building, maintaining, and enhancing interactions with customers for the purpose of developing long-term satisfaction through mutually beneficial partnerships.
Sales process (sales cycle)
The set of steps a salesperson goes through to sell a particular product or service.
Lead generation (prospecting)
Identification of those firms and people most likely to buy the seller’s offerings.
Cold calling
A form of lead generation in which the salesperson approaches potential buyers without any prior knowledge of the prospects’ needs or financial status.
Referrals
Recommendations to a salesperson from a customer or business associate.
Networking
The use of friends, business contacts, co-workers, acquaintances, and fellow members in professional and civic organizations to identify potential clients.
Social selling
Leveraging social networks to find the right prospects and build trusted relationships to achieve sales goals.
Lead qualification
Determination of a sales prospect’s 1) recognized need, 2) buying power, and 3) receptivity and accessibility.
Preapproach
A process that describes the research a salesperson must do before contacting a client.
Needs assessment
A determination of the customer’s specific needs and wants and the range of options the customer has for satisfying them.
Sales proposal
A formal written document or professional presentation that outlines how the salesperson’s product or service will meet or exceed the prospect’s needs.
Sales presentation
A formal meeting in which the salesperson presents a sales proposal to a prospective buyer.
Negotiation
The process during which both the salesperson and the prospect offer concessions in an attempt to arrive at a sales agreement.
