Chapters 19-21 Flashcards Preview

Principles of Marketing 15-21 > Chapters 19-21 > Flashcards

Flashcards in Chapters 19-21 Deck (77):
1

Paid personal communication that attempts to inform customers and persuade them to buy products in an exchange situation

*personal selling

2

Developing a database of potential customers

*Prospecting

3

The manner in which a salesperson contacts a potential customer

approach

4

The stage in the personal selling process when the salesperson asks the prospect to buy the product

*closing

5

Salespeople who sell to new customers and increase sale to current customers

order getters

6

Salespeople who primarily seek repeat sales

*order takers

7

Sales staff members who facilitate selling but usually are not involved solely with making sales

support personnel

8

Support salespeople, usually employed by a manufacturer who assist the producer's customers in selling their own customers

missionary salespeople

9

Salespeople involved mainly in helping a prodder's customers promote a product

trade salespeople

10

Support salespeople who give technical assistance to a firm's current customers

Technical salespeople

11

The use of a team of experts from all functional areas of a firm, led by a salesperson, to conduct the personal selling process

Team selling

12

The building of mutually beneficial long-term associations with a customer through regular communications over prolonged periods of time

relationship selling

13

Developing a list of qualified applicants for sales positions

recruiting

14

Paying salesperson a specific amount per time period, regardless of selling effort

straight salary compensation plan

15

Paying salesperson according to the amount of their sales in a given time period

straight commission compensation plan

16

Paying salespeople a fixed salary plus a commission based on sales volume

combination compensation plan

17

An activity and/or material intended to induce resellers or salespeople to sell a product or consumers to buy it

sales promotion

18

Sales promotion techniques that encourage consumers to patronize specific stores or try particular products

consumer sales promotion

19

Written price reductions used to encourage consumers to buy a specific product

coupons

20

Promotions that allow buyers to pay less than the regular price to encourage purchase

cents-off offers

21

Sales promotion techniques that offer consumers a specified amount of money when they mail in a proof of purchase, usually for multiple product purchases

money refunds

22

Sales promotion techniques in which a consumer receives a specified amount of money for making a single product purchase

rebates

23

Signs, window displays, display racks, and similar devices used to attract customers

point-of-purchase (POP) materials

24

Sales promotion methods a manufacturer uses temporally to encourage trial use and purchase of a product or to show how a product works

demonstrations

25

Samples of a product given out to encourage trial and purchase

free samples

26

Items offered free or at a minimal cost as a bonus for purchasing a product

premiums

27

Sales promotion methods in which individuals compete for prizes based on their analytical or creative skills

consumer contests

28

Sales promotion methods in which individuals compete for prizes based primarily on chance

consumer games

29

A sales promotion in which entrants submit their names for inclusion in a drawing for prizes

consumer sweepstakes

30

Methods intended to persuade wholesalers and retailers to carry a producer's products and market them aggressively

trade sales promotion methods

31

A temporary price reduction to resellers for purchasing specified quantities of a product

buying allowance

32

A sum of money given to a reseller for each unit bought after an initial promotion deal is over

buy-back allowance

33

A manufacturer's reward to retailers based on the number of pieces

scan-back allowance

34

A manufacturer's agreement to pay resellers certain amounts of money for providing special promotional efforts, such as setting up and maintaing a display

merchandise allowance

35

An arrangement in which a manufacturer agrees to pay a certain amount of a retailer's media costs for advertising the manufacture's products

cooperative advertising

36

Advertisements that promote a product and identify the names of participating retailers that sell the product

dealer listings

37

A manufacture's reward given to resellers that purchase a stated quantity of products

free merchandise

38

A gift, often part of a display, given to a retailer that purchases a specified quantity of merchandise

dealer loader

39

Extra compensation to salespeople for pushing a line of goods

premium money (push money)

40

A sales promotion method used to motivate distributors, retailers, and seas personnel through recognition of outstanding achievements

sales contest

41

The value paid for a product in a marketing exchange

price

42

The trading of products

barter

43

Emphasizing price as an issue and matching or beating competitors' prices

price competition

44

Emphasizing factors other than price to distinguish a product from competing brands

*nonprice competition

45

A graph of the quantity of products expected to be sold at various prices if other factors remain constant

demand curve

46

A measure of the sensitivity of demand to changes in price

price elasticity of demand

47

Costs that do not vary with changes in the number of units produced or sold

fixed costs

48

The fixed cost per unit produced

average fixed cost

49

Costs that vary directly with changes in the number of units produced or sold

variable cost

50

The variable cost per unit produced

average variable cost

51

The sum of average fixed and average variable costs times the quantity produced

total cost

52

The sum of the average fixed cost and the average variable cost

average total cost

53

The extra cost incurred by producing one more unit of a product

marginal cost (MC)

54

The change in total revenue resulting from the sale of an additional unit of a product

marginal revenue (MR)

55

The point at which the costs of producing a product equal he revenue made from selling the product

break-even point

56

A price developed in the buyer's mind through experience with the product

internal reference price

57

A comparison price provided by others

external reference price

58

Concerned about price and quality of a product

value conscious

59

striving to pay low prices

price conscious

60

Drawn to products that signify prominence and status

prestige sensitive

61

Employing price differentials that injure competition by giving one or more buyers a competitive advantage

price discrimination

62

A reduction off the list price a producer gives to an intermediary for performing certain functions

trade (functional) discount

63

deductions from the list price for purchasing in large quantities

quality discounts

64

Quantity discounts aggregated over a stated time period

cumulative discounts

65

One-time price reductions based on the number of units purchased, the dollar value of the order, or the product mix purchased

noncumulative discounts

66

A price reduction given to buyers for prompt payment or cash payment

cash discount

67

A price reduction given to buyers for purchasing goods or services out of season

seasonal discount

68

A concession in price to achieve a desired goal

allowance

69

Reductions for transportation and other costs related to the physical distance between buyer and seller

geographic pricing

70

The price of merchandise at the factory before shipment

*F.O.B factory

71

A price indicating the producer is absorbing shipping costs

*F.O.B destination

72

Charging all customers the same price, regardless of geographic location

uniform geographic pricing

73

Pricing based on transportation costs within major geographic zones

Zone pricing

74

Geographic pricing that combines factory price and freight charges from the bas point nearest the buyer

base-point pricing

75

Absorption of all or part of actual freight costs by the seller

freight absorption pricing

76

Prices charged in sales between an organization's unit

transfer pricing

77