chapter 3

Question 1

something that is used to compare information

Answer 1

bar graphs

Question 2

number of actual sales transactions made

Answer 2

total number of transactions

Question 3

composed of retailer most loyal customers

Answer 3

platinum segment

Question 4

these customers represent the lowest segment and can actually cost the company money

Answer 4

lead segment

Question 5

total number of items within each transaction

Answer 5

units per transaction

Question 6

shows how data changes over a period of time

Answer 6

line graphs

Question 7

customers receive special offers or rewards

Answer 7

loyalty program

Question 8

20% of the customer’s make up this segment

Answer 8

gold segment

Question 9

used by managers to gauge how well the store and each department are operating

Answer 9

financial reports

Question 10

required on all purchases

Answer 10

sales tax

Question 11

a customer recommends a store or sales person based on his or her experience

Answer 11

referral

Question 12

represents percentages or proportions where the entire portion represent 100% and each smaller portion represents a piece of the 100%

Answer 12

pie chart

Question 13

the price the customer is willing to pay for the products or service

Answer 13

price sensitivity

Question 14

these customers are extremely price conscious.

Answer 14

iron segment

Question 15

be able to figure a discount on a sales item.

Answer 15

figuring discounts

Question 16

in the customer pyramid, customers in the lead segment get their name from?

Answer 16

lowest segment and can cost the company money

Question 17

what items should client’s records include?

Answer 17

name, address, telephone numbers, occupation or hobbies

Question 18

what rule states that a small number of customers account for the majority of
your profits?

Answer 18

80-20 rule

Question 19

in retail sales, the price on items in the store are always the same prices as on the store’s website? True or False

Answer 19

false

Question 20

word-of-mouth recommendations are the best means of advertising?
true or false

Answer 20

true

Question 21

what three things are typically found in an ad?

Answer 21

regular priced merchandise, sale merchandise, clarence merchandise

Question 22

what does offering a “unique selling proposition” mean?

Answer 22

an offer the retailer makes to differentiate them from other retailers who offer the same or similar products or services

Question 23

name three ways retailers can tell customers about their sales and promotions.

Answer 23

coupons, newspaper ads, flyers

Question 24

what is the general rule in retail sales?

Answer 24

the customer is always right