Personal Selling

Question 1

personal selling

Answer 1

paid personal communication that informs customers and persuades them to buy products in an exchange situation

Question 2

Step 1: Prospecting

Answer 2

developing a database of potential customers
Ex: company sales records
trade shows
advertisements generate leads on interested prospects
customer referrals from current customers

Question 3

step 2: preapproach

Answer 3

before contacting them, the saleperson analyzes info about the prospects need
Ex: key decision makers
assess credit history
identify product needs

Question 4

step: 3 approach

Answer 4

the manner in which a salesperson contacts a potential customer. Critical step b/c first impression of the salesperson may be long lasting. They arent just selling a product they are building a relationship.

1) repeat approach
2) referalls
3) cold canvassing

Question 5

step 4: making a presentation

Answer 5

the salesperson must attract and hold the prospects attention, spark desire for the product. Adapt the presentation to the needs of the prospect.

Question 6

step 5: overcoming objections

Answer 6

effective salespeople anticipate and counter objections before the prospect raises them. #1 objection is price, break it down into increments, ask how much it would cost without product.

Question 7

step 6: closing the sale

Answer 7

The salesperson asks the prospect to buy the product
Trial close- asking questions assuming prospect will buy
Ex: Would you like it in the color blue?

Question 8

step 7: Follow up

Answer 8

Follow up with the buyer

Question 9

compensation methods in order

Answer 9

1) combination 68.5%
2) straight salary 17.5%
3) straight commission 14.0%

Question 10

sales promotion is popular

Answer 10

More price sensitive, less brand loyal

Question 11

coupons Ex:cereal

Answer 11

What is the most widely used consumer sales technique?

Question 12

trade sales promotion methods

Answer 12

attempt to persuade wholesalers and retailers to carry and aggressively market a producer’s product
Ex: Green giant wants acme to carry product

Question 13

cooperative advertising

Answer 13

arrangement in which a manufacturer agrees to pay a certain amount of a retailers media costs for advertising the manufacturers products
Ex: green giant pays acme to advertise

Question 14

dealer listings

Answer 14

advertisements promoting a product and identifying the names of retailers that sell the product

Question 15

dealer loader

Answer 15

a gift given to a retailer that purchases a specified quantity of merchandise
Ex: sunkist gives machine that makes orange juice in store

Question 16

premium (push) money

Answer 16

Additional compensation to salespeople offered by the manufacturer as an incentive to push a line of goods
Ex: salesperson pushes customers to buy samsung, b/c samsung pays them $100 for each tv sold

Question 17

sales contests

Answer 17

Incentive to make more sales. Most sales wins a cruise

Question 18

order getters

Answer 18

sell to new customers and increase sales to current customers
current- customer sales
new- business sales

Question 19

order takers

Answer 19

primarily seek repeat sales

Ex: clerk at clothing store

Question 20

relationship selling

Answer 20

building mutually beneficial long-term associations w/ a customer through regular communications over prolonged periods of time
*INCOME STREAM