Personal Selling and Direct Marketing
Multiple Choice
1.Lear Corporation’s major success factor is its _____.
a.strong customer orientation
b.commitment to continuous improvement
c.customer value
d.sales force
(d; Easy)
2. These employees are well-educated, well-trained professionals who work to build
and maintain long-term customer relationships by listening to their customers,
assessing customer needs, and organizing the company’s efforts to solve customer problems. Who are these employees?
a.managers
b.missionary salespeople
c.salespeople
d.sales managers
(c; Moderate)
3. Which of the following communication and promotion tolls involve direct
connections with customers aimed toward building customer-unique value and
lasting relationships?
a. personal selling
b. direct marketing
c. e-commerce
d. both a and b
(d; Moderate)
4. Johnson Fabric Company has four selling positions for employees. One of them is
not really an actual selling position. Which is it?
a. order taker
b. missionary salesperson
c. order getter
d. creative selling
(b; Moderate)5. A _____ is an individual acting for a company by performing one or more of the
following activities: prospecting, communicating, servicing, and information
gathering.
a.sales manager
b.sales executive
c.sales support person
d.salesperson
(d; Easy)
6. _____ involves two-way, personal communication between salespeople and
individual customers – whether face-to-face, by telephone, through video or Web conferences, or by other means.
Advertising
Persuasive selling
Personal selling
Integrated marketing communication
(c; Easy)
7. Current view holds that salespeople should be concerned with producing customer
satisfaction and company profit. So whom do they generally serve?
a.They represent the company to customers.
b.They represent the company to investors.
c.They represent the customer to the company.
d.Both a and c
(d; Challenging)
8. When a firm sets out to analyze, plan, implement, and control sales force activities,
through sales force management, it sets and designs _____, recruits, selects, trains, supervises, compensates, and evaluates the firm’s salespeople.
a.sales territories
b.sales force strategy
c.team selling efforts
d.coop selling and advertising
(b; Challenging)
9. Of the three typical types of sales force structures, which one is often supported
by many levels of sales management positions in specific geographical areas?
a.territorial
b.product
c.customer
d.complex systems
(a; Moderate)10. Which of the following is not a disadvantage of a product sales force structure?
a.extra selling costs
b.duplication of sales efforts
c.salespeople may wait to see the same customer’s purchasing agents
d.increase customer delivery time
(d; Challenging)
11. NewWave Music Company has decided to switch to a customer sales force
structure. Which of the following advantages may the company now enjoy?
a.The company can become more customer focused.
b.The company can build closer relationships with important customers.
c.The company can build a more knowledgeable and well-rounded sales force.
d.All of the above
(d; Challenging)
12. What do many companies use to set sales force size?
a.the workload approach
b.geographic square miles per person
c.population served
d.sales quotas established
(a; Moderate)
13. To reduce time demands on their outside sales forces, many companies have
increased the size of their inside sales forces, which include technical support
people, sales assistants, and _____.
a.order takers
b.order getters
c.telemarketers
d.administrative assistants
(c; Easy)
14. East Bay Communications has increased its inside sales force. How will this help
its outside sales force?
a.It will allow them more time to sell to major accounts.
b.It will allow them more time to find major new prospects.
c.It will allow them more time to provide after-the-sale customer service.
d.All of the above
(d; Moderate)
15. Locate the activity that is not a typical one for a sales assistant.
a.call ahead and confirm appointments
b.provide technical support
c.conduct credit checks
d.follow up on deliveries
(b; Moderate)16. A growing trend for many companies is to use a group of people from sales,
marketing, engineering, finance, technical support, and even upper management to service large, complex accounts. This approach is called _____.
a.department selling
b.multiple selling
c.team selling
d.management-controlled selling
(c; Easy)
17. In many cases today, a major reason to adopt team selling results from changes in
_____.
a.customers’ buying organizations
b.competition
c.rising costs
d.fewer skilled salespeople
(a; Moderate)
18. One of the following is not a pitfall or disadvantage of team selling. Please find it.
a.Selling teams can confuse or overwhelm customers.
b.Individual salespeople may have trouble learning to work with and trust others.
c.In the long run, team selling ties up more time and increases overall costs.
d.Difficulties in evaluating individual contributions to the team selling effort can
create some sticky compensation issues.
(c; Challenging)
19. The “heart” of any successful sales force organization is _____.
a.the recruitment and selection of good salespeople
b.current and relevant customer research data
c.relevant and extensive sales training
d.sales managers who work with their people
(a; Challenging)
20. In a typical sales force, the top 30 percent of the salespeople may bring in _____
percent of the sales.
a.40
b.50
c.60
d.70
(c; Easy)21. All of the following are problems associated with the poor selection of salespeople
except one. Which one?
a.lower sales
b.costly turnover
c.less productivity
d.less office support
(d; Easy)
22. Other skills mean little if a seller cannot ask for _____.
a.what he or she is worth in a job interview
b.the sale in an actual selling situation
c.support from sales managers to close the sale
d.referrals from customers
(b; Moderate)
23. Which of the following traits should salespeople have?
a. enthusiasm
b. initiative
c. self-confidence
d. all of the above
(d; Easy)
24. Studies show that good salespeople possess all of these traits except which one?
a. honesty
b. persistence
c. discipline
d. at least average listener
(d; Moderate)
25. Your sales manager only wants to hire proven salespeople. His reasoning is that
they are needed for all of the following except which one?
a. They need less training.
b. They will not ask for a large expense account.
c. They can be immediately productive.
d. They can grasp both product knowledge and sales skills faster.
(b; Challenging)
26. Sales applicants are typically not tested for _____.
aptitude
a. sales
skills
b. organizational
skills
c. accounting
skills
d. analytical
(c; Moderate)27. Management can expect the training programs for new sales people to last
anywhere from a few days to _____ months.
a. three
b. six
c. nine
d. twelve
(d; moderate)
28.Initial sales training typically covers all of the following topics except one. Find it.
a.company’s history and objectives
b.company’s financial structure
c.chief products and markets
d.field procedures and responsibilities
(d; Moderate)
29. Salespeople need to know the company’s products, how they are produced, and how
_____.
work
a. they
b. they are priced
c. they fulfill management’s expectations
d. none of the above
(a; Easy)
30. Cisco’s overall culture is focused on having the _____.
products
a. best
b. best
prices
sales
force
c. best-trained
d. best technical support
(c; Moderate)
31. Salespeople learn how to use an expense account, prepare reports, route
communications effectively, and how to divide time between _____.
a. working with customers and the sales manager
b. active and potential accounts
c. active and potential suppliers
d. sales and office work
(b; Challenging)
32. To attract salespeople, a company must have an appealing compensation plan. It is
made up of several elements – a fixed amount, _____, expenses, and fringe benefits.
a. bonuses
b. retirement
c. a variable amount
rewards
d. nonmonetary
(c; Moderate)
33. Management at Happy Motors must decide what mix of compensation elements to
offer their sales force. Which of the following is not one of the four basic types of compensation plans?
a. straight
commission
salary
b. straight
commission
and
c. salary
bonuses
d. commission
and
(d; Easy)
34. _____.must decide what mix of compensation elements makes the most sense for
each sales job.
a. sales assistantsbase salary and expense accounts
b. marketers
c. management
d. telemarketers
(c; Moderate)
35. Sales force compensation should direct the sales force toward activities that are
consistent with _____.
a. overall company strategies
b. overall marketing objectives
c. overall company objectives
d. overall department objectives
(b; Challenging)
36. Through sales management supervision, the company directs and _____ the sales
force to do a better job.
a. coaches
b.motivates
c.coerces
d.influences
(b; Easy)
37. This sales management tool shows which customers and prospects to see during the
next 12 months and in which months, as well as which activities to carry out.
analysis
a. time-and-duty
b.sales force automation systems
c.annual call plan
d.sales quota plan
(c; Moderate)38.Salespeople and sales managers now realize that perhaps the fastest-growing sales
force technology tool is _____.
a.the cell phone
b.the laptop computer
c.e-mail
d.the Internet
(d; Easy)
39. Greg Bean is sales manager for High Grade Industrial Chemicals. He wants to raise
his sales force selling time by 33 percent. Currently they spend the nationwide
average of _____ percent of their workweek actually selling.
a. 20
b.30
c.40
d.45
(b; Moderate)
40. Companies are always looking for ways to increase selling time. All of the
following are ways to save time to accomplish this goal except one. Please locate it.
a. use phones instead of traveling
b.simplify record-keeping
c.find better call and routing plans
d.reduce the number of customers each sales rep should see
(d; Challenging)
41. Sales efficiency has been greatly improved using sales force automation systems.
Salespeople primarily use laptops, handheld computing devices, _____, and
customer-contact software.
Internet
a. the
b.e-mail
c.Web technologies
d.cell phones
(c; Moderate)
42. Three common techniques sales managers use to boost sales force morale include
the organizational climate, sales quotas, and positive _____.
a. incentives
b.thinking
c.recognition
d.vocabularies and mannerisms
(a; Easy)43. Management sets standards that state the amount each salesperson should sell and
how sales should be divided among the company’s products with _____.
goals
a. sales
b.company quotas
c.sales quotas
d.sales incentives
(c; Easy)
44. Of all the tools commonly used, which one of the following is the best for
management to use in evaluating salespeople?
reports
a. call
b.sales reports
c.expense reports
d.sales quota reports
(b; Moderate)
45. The selling process consists of several steps that the salesperson must master. They
focus on the goals of _____ and _____ from them.
a. closing sales; getting orders
b.getting new customers; extracting their problems to solve
c.getting new customers; obtaining orders
d.overcoming objectives; obtaining orders
(c; Moderate)
46. The step that follows preapproach in the selling process is _____.
presentation
a.
b.demonstration
c.handling objectives
d.approach
(d; Easy)
47. What should the salesperson and the sales manager accomplish during an
evaluation?
a. provide constructive feedback
b.provide motivation to perform well
c.develop and communicate clear standards
d.all of the above
(d; Moderate)
48. Many companies offer their sales forces incentives to perform well. Which one of
these is not a common incentive in the United States?
a. cash
b.trips
c.savings bonds
d.merchandise
(c; Easy)49. The prospecting step in the selling process includes identifying and _____ the
prospects. Without both of them much time and effort will be wasted.
a. calling
b.qualifying
c.preselling
d.making an appointment with
(b; Moderate)
50. Prospects can be qualified (screening out the poor ones from the good ones) by
looking at their financial ability, volume of business, _____, location, and
possibilities for growth.
a. ability to pay
b.authority to buy
c.special needs
d.competition
(c; Moderate)
51. The type of salesperson that fits best with today’s marketing concept is a _____.
salesperson
a. hard-sell
b.problem-solver salesperson
c.razzle-dazzle salesperson
d.salesperson on salary and not commission
(b; Easy)
52. The qualities that buyers like most in salespeople include empathy, honesty,
dependability, thoroughness, follow-through, and _____.
a. being a good listener
b.being a good communicator
c.being sympathetic
d.being a caring person
(a; Moderate)
53. The qualities buyers dislike most in salespeople include all of the following except
_____.
pushy
a. being
b.being deceitful
c.being too early for an appointment
d.being unprepared
(c; Easy)54. To handle objections successfully, a salesperson should use a positive approach,
seek out hidden objections, ask the buyer to clarify any objections, take objections as opportunities to provide more information, and _____.
a. turn the objections into humor
b.seek to minimize or play down the objections
c.compliment the buyer for bring the objections up
d.turn the objections into reasons for buying
(d; Challenging)
55. Other than prospecting, the most difficult step in the sales process for most people is
to _____.
prospect
the
a. approach
b.make a professional presentation/demonstration
c.handle the objections well
d.close the sale
(d; Moderate)
56. This step in the sales process is necessary if the salesperson wants to ensure
customer satisfaction and repeat business.
approach
a. proper
b.professional presentation/demonstration
c.handling objections well
d.follow-up
(d; Challenging)
57. Today, most companies still use direct marketing as a _____ for marketing their
goods.
a. supplementary channel or medium
b.major marketing mix element
c.compliment to personal selling
d.technique reserved for mature and international markets
(a; Challenging)
58. Today, direct marketing relies heavily on database technologies and the Internet.
Early direct marketers used primarily direct mailers, telemarketers, and _____.
salespeople
a. door-to-door
b.catalogs
c. C.O.D. delivery
d.none of the above
(b; Easy)59. For buyers, direct marketing is convenient, easy to use, and private. For sellers it is
_____.
a. a great tool for building customer relationships.
b.great to find customers that a firm might otherwise overlook
c. a low-cost, efficient alternative for reaching their markets.
d.all of the above
(d; Moderate)
60. Belinda Kitara would like to reach more customers and save money in the process.
Through research she has learned that _____ is the fastest growing form of
marketing.
a. personal
selling
b.advertising
c.direct marketing
d.public relations
(c; Easy)
61. A comprehensive database is a tremendous tool for the direct marketer. It should
contain data that is geographic, demographic, psychographic, and _____ in nature.
a. specific
b.culturally oriented
c.current and relevant
d.behavioral
(d; Challenging)
62. Dell Computer Company has been an extremely successful direct marketing
company for all of the following reasons but one. Can you identify it?
a. product
customization
b.low prices
c.fast delivery
d.offering optional brands of hardware
(d; Easy)
63. What might be found in a B2B marketing database? A customer’s profile might
contain products and services purchased, past volumes of purchases, and _____.
people
contact
a. key
b.personal information about buyers
c.history of the business
d.none of the above
(a; Moderate)
. A great advantage of a comprehensive marketing database is that companies can
identify small groups of customers to receive _____ marketing offers and
communications.
a. frequent
b.finely-tuned
c.low cost
d.competitive
(b; Moderate)
65. Which one of the thoughts below is not a common use of a direct marketing
database?
a. identify
prospects
b.generate sales leads
c.profile customers based on previous purchases
d.reduce competitive loyalty by up to 50 percent
(d; Moderate)
66. Which of the following is not a form of direct marketing?
selling
a. personal
b.advertising
c.telephone marketing
d.direct-mail marketing
(b; Easy)
67. Your firm wants to increase sales and reach new markets with direct marketing.
To accomplish these goals, the sales or marketing manager would choose which of the following?
promotions
a. sales
b.advertising
c.kiosk marketing
d.public relations and publicity
(c; Moderate)
68. The major direct-marketing communications tool in today’s business world is
_____.
marketing
a. television
b.kiosk marketing
c.telephone marketing
d.catalog marketing
(c; Moderate)69.Pete Sanchez has added telemarketing as a form of direct marketing to his company.
He sees an opportunity to grow and at the same time offer advantages to his
customers. Which of the following is not a customer advantage?
a.purchasing convenience
b.increased product information
c.increased delivery time
d.increased service information
(c; Challenging)
70.Direct mail has advantages over other forms of direct marketing, such as _____.
a. high target-market selectivity
b. it can be personalized
c. it is flexible
d. all of the above
(d; Moderate)
71. During the last decade, three forms of mail delivery have become popular. Which
one is in direct competition with the post office and is highly automated?
a. fax
b.e-mail
c.voice mail
d.cell phone and laptop combination
(b; Easy)
72. Catalog marketing can be personalized on a one-to-one basis. Which is not a
common form of catalog marketing?
catalog
a. print
b. video
catalog
catalog
c. add-on
catalog
d. electronic
(c; Easy)
73. Land’s’ End Web site, which debuted in 1995, greeted _____ million visitors last
year..
a. 18
b. 20
c. 25
d. 28
(d; Easy)
74. More and more catalog companies now present merchandise and take orders _____.
the
telephone
a. over
the
Internet
b. over
c. from walk-ins in their physical stores
d. through direct mail
(b; Easy)75. Web-based catalogs present challenges. Choose the challenge.
a. They are intrusive.
b. They create their own attention.
c. They are passive and must be markete
d.
d. They offer limited selections.
(c; Challenging)
76. An effective form of direct marketing today is using the 30-minute television
advertising programs for a single product called _____.
a. direct-response TV advertising
b. infomercials
c. home shopping TV
c. all of the above
(b; Easy)
77. A classic example of successful direct-response television advertising is _____.
a. TV Media’s Kitchen knives.
b. TV Media’s Kitchen shelves
c. TV Media’s Salad bowls
d. TV Media’s Ginsu knives
(d; Moderate)
78. Direct-response ads always contain _____ to make it easier for marketers to gauge
whether consumers are paying attention to their sales pitches.
a. a mailing address for comments
b. a 1-800 number of the Web address
c. a hit button to record the number of viewers
d. an order number
(b; Challenging)
79. Nat Muthi sells his company’s unique gift items on television programs and entire
channels dedicated to selling goods and services. Neal is using _____.
a. infomercials
b. home shopping channels
infomercials
c. Internet-based
d. prime-time
selling
(b; Easy)
80.Home shopping networks are another form of _____.
a.direct-selling television marketing
b.direct-contact television marketing
c.direct-hit television marketing
d.direct-response television marketing
(d; Moderate)81. In contrast to vending machines, which only dispense products, many companies are
using _____ to dispense information and take orders without direct human aid.
a. kiosks
b. TV monitors
c. the Internet
d. none of the above
(a; Easy)
82.Kiosk marketing is primarily used for _____.
a.consumer marketing
b.business marketing
c.consumer and business marketing
d.industrial marketing
(c; Moderate)
83. Too often, a company’s individual direct-marketing efforts are not _____ with one
another or with other elements of its _____.
a. well integrated; company’s strategy
b. well integrated; marketing and promotion mix
c. timed; promotion
d. compared; marketing and promotion mix
(b; Challenging)
84.Adam Fox Limited, a noted consumer goods company, uses integrated direct
marketing to greatly improve response rate. Which of the following is his company not likely to use to accomplish this goal?
a.adding a Web site
b.adding a toll-free number
c.adding a faxing component to provide more information
d.adding an outbound telemarketing effort
(c; Easy)
85. Public policy and ethical issues related to direct marketing include all of the
following except one. Please find it.
a. irritation and unfairness
b. deception
c. fraud
d. too little information to make a decision
(d; Moderate)86. The toughest public policy issue now confronting the direct-marketing industry is
_____.
a. deception
b. privacy
c. fraud
d. irritation
(b; Moderate)
87. Choose the primary benefit to consumers from database marketing.
a. more offers closely matched to their interests
selection
b. greater
prices
c. better
service
d. faster
(a; Easy)
88. Using sophisticated computer technologies today, direct marketers can use their
databases to _____ their selling efforts.
a. track
b. integrate
c. microtarget
d. supplement
(c; Challenging)
. Direct marketers know that, left unattended, problems such as privacy, fraud,
irritation, and deception issues can result in _____.
a. increasingly negative consumer attitudes
b. lower response rates
c. calls for more restrictive government legislation
d. all of the above
(d; Easy)
90. What is the common goal that both direct marketers and consumers want?
a. honest marketing efforts
efforts
b. well-designed
marketing
c. efforts that consumers will appreciate and respond to
d. all of the above
(d; Moderate)
True – False
91. Lear Corporation owes its success to many factors, including a strong customer
orientation and a commitment to continuous improvement, teamwork, and customer value.
(True; Moderate)92. Today, most salespeople are well-educated, well-trained professionals who work to
build and maintain long-term customer relationships by teaching their customers, assessing their needs, and organizing the company’s efforts to solve customer
problems.
(False; Challenging)
93. In her position as an outside field salesperson, Anna Beru, is the interpersonal arm
of her company’s promotion mix.
(True; Moderate)
94. Designing sales force strategy and structure is not a major step in sales force
management that a typical company might encounter?
(False; Easy)
95. Of all the ways to structure a sales force, product sales force structure helps the
company to become more customer focused and build closer relationships with
important customers.
(False; Moderate)
96. To allow outside salespeople more time to spend with customers, many companies
have increased their inside sales forces and added technical support people and sales assistants.
(True; Easy)
97. Team selling is ideal when customer problems become more complex and
customers become larger and more demanding. These teams have the advantages of uncovering problems that an individual would not and develop new opportunities. (True; Moderate)
98. Why should a firm attempt to reduce sales force turnover? It is because it is not
only costly to keep hiring new recruits, but the cost of finding them has increased greatly in recent years.
(False; Moderate)
99. Other skills mean little if a salesperson can’t ask for the sale.
(True; Easy)
100. In Asia, many MNCs have centralized their recruitment to ensure that the sales people they hire speak the correct dialect and have useful personal contacts. (True; Moderate)
101. Networking equipment and software maker Cisco Systems has learned that using the Internet to train salespeople offers few advantages.
(False; Moderate)
102. Studies have shown that the last thing you want is to have someone ruin a customer relationship because they’re pushing too hard to close a deal. Instead, companies are designing compensation plans that reward salespeople for building customer
relationships and growing the long-run value of each customer.
(True; Challenging)
103. Sales force automation systems have been developed for more efficient order-entry transactions, improved customer service, and better management decision-making support.
(False; Challenging)
104. The fastest-growing sales force technology tool is the cell phone.
(False; Easy452)
105. If Johnny Page’s company is like most consumer goods companies today, he can boost sales force morale and performance through his organizational climate, sales contests, and positive incentives.
(False; Moderate)
106. Formal sales force evaluation forces management to develop and communicate clear standards for judging performance and provide constructive feedback and
motivation to perform well.
(True; Easy)
107.The step in the selling process where the salesperson learns as much as possible about the organization that is the buyer, what its needs are, and who is involved in the buying, is called qualifying.
(False; Moderate)
108.During the presentation step of the selling process, the salesperson tells the product “story” and explains the product benefits to the customer.
(True; Easy)
109.The major reason why Sonja Begum might not be able to close sales to her clients very well is because she may lack confidence, feel guilty about asking for the order, or failing to recognize the need for the product being sold.
(False; Challenging)
110.Today’s large customers favor suppliers and salespeople who can sell and deliver a coordinated set of products and services to many locations, and who can work
closely with customer terms to improve products and processes.
(True; Easy)111.The forerunners of today’s direct marketing were the catalog companies, direct mailers, and telemarketers who gathered customer names and sold goods mainly by mail and telephone.
(True; Moderate)
112.A strong set of reasons for companies to use direct marketing is that it is an easy, private, and convenient way for customers to shop.
(True; Easy)
113.Dell Computer’s direct-marketing approach delivers greater customer value through an unbeatable combination of product customization, low prices, overnight delivery, and award-winning customer service.
(False; Challenging)
114.Customer databases are invaluable tools for the direct marketer. Typically they contain the customers’ demographics, psychographics, buying behavior, and other relevant information.
(True; Moderate)
115.My Favorite Flowers’ floral shops can use its database in many useful ways. The owners can identify prospects and generate sales leads by advertising products or offers. They can profile customers based on previous purchasing and deicide which customers should receive particular offers. Salespeople can also help the business to deepen customer loyalty.
(True; Challenging)
116. The major forms of direct marketing include personal selling, telephone marketing, direct-mail marketing, catalog marketing, direct-response television marketing,
kiosk marketing, and fax marketing.
(False; Moderate)
117.The purpose of inbound telephone marketing is to provide a toll-free 800 number to receive orders from television and print ads, direct mail, or catalogs.
(True; Easy)
118.Direct mail is well suited to direct, one-to-one communication. It permits high target-market selectivity, can be personalized, and is flexible. However, it does not allow easy measurement of results.
(False; Challenging)
119.Catalog marketing has grown explosively during the past 25 years. Most recently, the Internet has helped boost the popularity even more.
(True; Easy)120.Direct response television marketing has the advantages of appealing to more than one of the physical senses, being in color, live product demonstration, and prime-time viewing.
(False; Moderate)
121.Kiosk marketing, typically used in stores, airports, malls, and other locations, dispenses information and takes orders, as opposed to vending machines that
dispense products for sale.
(True; Easy)
122.The major public policy and ethical issues in direct marketing today are irritation, unfairness privacy, deception, and fraud.
(True; Moderate)
123.Wing Supply sells game calls to hunters through direct mail and database marketing. Their customers can benefit from this database marketing because they may receive more offers that are closely matched to their interests.
(True; Easy)
Essay
124.Describe the nature of personal selling and the role of the sales force.
Today, most salespeople are well-educated and well-trained professionals who work to build and maintain long-term customer relationships by listening to their
customers, assessing customer needs, and organizing the company’s efforts to solve customer problems. Salespeople act as order takers, order getters, and creative
sellers.
Personal selling is the interpersonal arm of the promotion mix. The sales force acts as a critical link between a company and it customers. Salespeople represent the company to the customer and the customer to the company to produce customer
satisfaction and company profit.
(Moderate; p. 434-435)125.Compare and contrast the three major sales force structures.
In the territorial sales force structure, each salesperson is assigned to an exclusive geographic area and sells the company’s full line of products or services to
all customers in that territory. This organization clearly defines each person’s job, fixes accountability, and increases the person’s desire to build local business
relationships that improve selling effectiveness.
The product sales force structure allows the sales force to sell along product lines.
The seller becomes very knowledgeable about products. This method can cause
duplication of efforts and several salespersons calling on the same accounts.
The customer sales force structure organizes along customer or industry lines. This can help a company to become more customer focused and build closer
relationships with important customers. When a company sells a wide variety of products to many types of customers over a broad geographic area, it often
combines several types of sales force structure to get the job done and provide
maximum customer satisfaction.
(Challenging; p. 436-437)
126.Why are more companies using team selling? What are its pros and cons?
Team selling is useful to service large, complex accounts. Sales teams can uncover problems, solutions, and sales opportunities that no individual salesperson could.
Teams can help train their members informally and boost morale. Some pitfalls
exist, such as selling teams can confuse or overwhelm customers who are used to working with only one salesperson. Some salespersons have trouble working with others. Finally, difficulties in evaluating individual contributions to the team selling effort can create some sticky compensation issues.
(Moderate; p. 438)
127.What are the steps in finding and training an adequate sales force? Which step is more important?
Recruiting and selecting the sales force comes first. Following selection, orientation and training must conducted based upon the knowledge and skill levels of the
recruits. The proper compensation method must be selected to motivate and assist each person to reach his or her goals and the company’s goals. Management must supervise salespeople and assist them in reaching their goals. Management must
also evaluate salespeople and provide feedback to improve performance.
The most important step is probably the recruitment and selection one. Good
performers produce results. Typically, 30 percent of the sales force produces 60
percent of the sales.
(Challenging; p. 438-440)128.Provide the seven steps in the selling process. What may be the two most difficult steps for most salespeople?
Prospecting and qualifying begin the process, followed by the preappraoch. Next the salesperson makes an approach to make a presentation or demonstration.
Handling objections follows, leading into closing the sale. Each sale requires a
follow-up the make it complete. For most salespeople, especially new ones, the
prospecting and qualifying and closing steps are the most difficult and require much skill.
(Easy; p. 443-445)
129.Please explain the major benefits of direct marketing.
For buyers, direct marketing is convenient, easy to use, and private. It gives buyers ready access to a wealth of products and information, at home or work and around the globe. It is immediate and interactive. For sellers it is a powerful tool for
building customer relationships. Using database marketing, marketers can target
small groups or individual consumers, tailor offers of individual needs, and promote these offers through personalized communications. It provides great timing and
offers a low-cost, efficient alternative for reaching markets. For these reasons,
direct marketing has become the fastest form of marketing.
(Moderate; p. 448)
130.Provide the major advantage of each form of direct marketing.
Telephone marketing provides purchasing convenience and increased product and service information. Direct mail marketing permits selectivity and personalization.
Catalog marketing allows customers to buy just about anything they desire. Direct-response television marketing allows live demonstrations with salespeople coming to your home or business. Kiosk marketing places information and ordering
machines in convenient places, airports, stores, malls, etc.
(Easy; p. 450-452)
131.What are the five major public policy and ethical issues in direct marketing? Why are consumers concerned about them? How does database marketing benefit
consumers?
The five major issues are irritation, unfairness, deception, fraud, and invasion of
privacy. Consumers are concerned those marketers know too much about their lives and that they may use this knowledge to take unfair advantage of consumers.
Consumers often benefit from all this information kept about them in databases.
They receive more offers that are closely matched to their interests.
(Easy; p. 452-453)