Chapter 17 Flashcards
Personal selling becomes a more important promotional tool as product value and complexity and increase.
T
Dave is in charge of finding sponsors for the 2013 Riverbend Festival. He is meeting with marketing
representatives from Wrangler jeans and First Tennessee National Bank, attempting to convince them
to sponsor the event. Dave is engaged in personal selling.
T
When compared to other forms of promotion, personal selling:
a. is more important as the number of potential customers increases.
b. is more effective in selling frequently purchased products.
c. can use a message customized to the immediate needs of the customers.
d. is best for selling simple, low-involvement products.
e. is less expensive.
C
Personal selling is more important than advertising and sales promotion if:
a. the products being sold are standardized.
b. there are many customers for the product being sold.
c. the product being sold has a low value.
d. the buyers of the product are extremely dispersed.
e. the products being sold are technically complex.
E
For which of the following products would its producer be more likely to choose personal selling
rather than advertising or sales promotion to market it?
a. Garden hose
b. HD television
c. Dry-cleaning
d. Coffee mug
e. Breakfast cereal
B
Generally speaking, personal selling becomes more important as the number of potential customers _____ and as the value of the product _____.
a. increases; grows
b. increases; shrinks
c. decreases; shrinks
d. decreases; grows
e. None of the above.
D
Personal selling is more important than advertising and sales promotion if the products being sold:
a. have a low value.
b. are standardized.
c. have many consumers.
d. are technically complex.
D
What is ideal for personal selling?
A. Large customers
B. Small customers
C. When demand exceeds supply
D. When supply exceeds demand
B
What does newer thinking in personal selling emphasize?
A. Developing relationships with the buyers
B. Developing new products
C. Developing relationships with the suppliers
D. Increasing profits
A
With relationship selling, the objective is to build long-term branded relationships with customers, not
just to sell products.
T
With relationship selling, the salesperson would spend most of his or her contact time with the
prospect talking about the product because the salesperson does not want to waste the customer’s time.
F
_____ is a sales practice that involves building, maintaining, and enhancing interactions with customers in order to develop long-term satisfaction through mutually beneficial partnerships.
a. Networking
b. Adaptive selling
c. Stimulus-response selling
d. Relationship selling
e. Needs-dependent selling
D
Which of the following is not true of traditional personal selling methods?
a. They often attempt to persuade the buyer to accept a point of view.
b. The objectives of the salesperson are frequently at the expense of the buyer.
c. They have disappeared in the wake of relationship selling.
d. They entail making a one-time sale and then moving on to the next prospect.
e. They sometimes create a win–lose outcome.
C
Relationship selling is a _____ process that emphasizes _____ as a key ingredient in identifying prospects and developing them as long-term, satisfied customers.
a. multistage, empathy
b. popular, assertiveness
c. short-term, persuasion
d. win-lose, personalization
e. modern, standardization
A
Relationship selling:
a. is also called adaptive selling.
b. is most concerned with making a sale.
c. is more typically used when selling low-involvement products in the consumer market.
d. is more concerned with developing customer trust than with making a sale.
e. is declining in popularity among businesses because the costs are becoming prohibitive
D
Relationship selling is also called:
a. long-term selling.
b. win–win selling.
c. consultative selling.
d. experiential selling.
e. interactive selling
C
_____ is the ultimate goal of a new trend in marketing that focuses on understanding customers as individuals instead of as part of a group.
a. Organizational optimization
b. Consumer relationship marketing (CRM)
c. Total quality management (TQM)
d. Customer relationship management (CRM)
e. Market aggregation
D
Using technology provided by Smart Button software, the WNBA’s Los Angeles Sparks have implemented a new system that gathers information about its best customers, season ticket holders, and rewards those customers in many ways, including free tickets to Sparks home games and cash prizes.
This is an example of a(n) _____ system.
a. organizational optimization
b. corporate relationship marketing (CRM)
c. total quality management (TQM)
d. customer relationship management (CRM)
e. call response marketing (CRM)
D
What is the primary focus of Customer Relationship Management (CRM)?
a) Increasing product prices
b) Decreasing consumer loyalty
c) Placing customers at the center stage
d) Reducing sales
C
In CRM, what is the main objective of managing every contact with customers?
a) To ignore customer needs
b) To understand customer needs and collect relevant information
c) To discourage customer engagement
d) To decrease sales
B
How is data collected and leveraged in CRM?
a) To ignore customer preferences
b) To decrease customer satisfaction
c) To serve customer needs better and increase sales
d) To discourage customer loyalty
C
What is the first step in CRM, where companies focus on customer needs and collect relevant data?
a) Understanding interactions with current customers
b) Capturing customer data
c) Identifying customer relationship
d) Leveraging customer information
C
What is the primary focus of companies in the initial step of Customer Relationship Management (CRM)?
a) Developing marketing campaigns
b) Collecting payments from customers
c) Understanding customer needs and preferences
d) Training customer service representatives
C. Learning step and collect relavant data
What do companies do in the “Understand Interactions with Current Customers” step of Customer Relationship Management (CRM)?
a) Develop marketing campaigns
b) Collect payments from customers
c) Identify all customer touchpoints
d) Train customer service representatives
C
How are interactions managed in the context of understanding customer behavior?
a) To minimize customer satisfaction
b) To ensure negative customer experiences
c) To discourage customer loyalty
d) To ensure positive customer experiences
D
What is the primary objective of capturing customer data in Customer Relationship Management (CRM)?
a) To discourage customer interactions
b) To minimize data collection efforts
c) To ensure positive customer experiences
d) To effectively sell products
D
What is the first step in the Data Collection Plan for CRM?
a) Capturing data at all touchpoints
b) Analyzing customer data
c) Developing marketing campaigns
d) Training customer service representativ
A
What are examples of touchpoints where companies aim to capture customer data?
a) Only online interactions
b) Only exposure to advertising
c) Point of sale interactions, personal interactions, online interactions, purchase history, and exposure to advertising
d) Only purchase history
C
What is the purpose of employing knowledge management techniques in CRM?
a) To decrease data accuracy
b) To discourage centralized database management
c) To centralize the database for shared access
d) To avoid capturing customer data
C
What is the role of a Data Warehouse in CRM?
a) To discourage customer interactions
b) To minimize data collection efforts
c) To create a centralized database for shared access
d) To avoid capturing customer data
C
Who can access the centralized database created through Data Management in CRM?
a) Only customer service representatives
b) Only top-level executives
c) Everyone within an organization and sometimes suppliers and customers
d) No one, as it is restricted access
C
Companies create a centralized database that can be shared by everyone. This is called: Select one:
a. Customer relationship management
b. Supply chain management
c. Data mining
d. Data warehouse
e. Control center
D
Customer relationship management requires that organizations develop relationships with their customers through touch points and data mining.
T
What is data mining in the context of leveraging customer information in Customer Relationship Management (CRM)?
a) Ignoring company data
b) Using customer information to identify trends and relationships
c) Minimizing customer interactions
d) Discouraging personalized communication
B
Volvo has a Web site that caters to car enthusiasts who might want to see concept cars evolve into reallife products. Volvo would likely have used data mining to locate people who were car enthusiasts and
innovators.
T
Apple, Inc. has stores, a Web site, and a toll-free phone number where consumers can provide valuable
information to the company in developing a CRM system. All these possible areas of the company
where consumers can communicate with the business are called:
a. touch points.
b. focus areas.
c. data mining.
d. information search periods.
e. experimental points.
A. In a CRM system, touch points are all areas of the business where customers have contact with the
company and data may be gathered and used to guide and direct the decision making within that business unit.
Zappos is an online shoe and apparel retailer that promotes the highest quality of customer service by
maintaining the importance of each _____, the point at which customer and store personnel exchange
information and develop learning relationships.
a. moment of truth
b. intervention
c. data capture
d. response situation
e. interaction
E
Les Ailes de la Mode, a Quebec retail store that promotes the highest quality of customer service, has
not only established itself as a top retailer in the province but also has a credit card and point program
company, a cataloger and Internet seller, and even a publisher. Through gathering customer information for its credit cards and point program, through catalog and Internet orders, and through subscriptions to its publications, Les Ailes de la Mode has created several different:
a. focus areas.
b. touch points.
c. interrelationship promotions.
d. distribution channels.
e. sources of distribution information.
B
Communications between customers and organizations that occur in stores or at information kiosks are
called:
a. live interactions.
b. point-of-sale interactions.
c. empowerment points.
d. survey interactions.
e. product interactions.
B
Which of the following is an example of a channel through which customer data are traditionally gathered?
a. Store visits
b. Conversations with salespeople
c. Interactions via the Web
d. Phone conversations
e. All of these
E
A(n) _____ allows marketers to track customers’ relationships to the company’s products and services.
a. database
b. data profile
c. algorithm
d. byte
e. interaction profile
A