Deck 18: Appendix

Question 1

Are order getters more aggressive or creative than order takers Why or why not

Answer 1

Order getters must be more aggressive and creative than order takers. Their role is to increase sales by finding new prospects and selling new products to existing prospects. Order takers process repeat sales from existing customers. These sales are typically repeat products being purchased on a predictable frequency.

Question 2

TerrAlign offers consulting services and software products designed to help a firm maximize control and deployment of its field sales representatives. See how the company provides sales territory management solutions by visiting www.terralign.com.
a. Identify three features of TerrAlign software that are likely to benefit salespeople.
b. Identify three features of TerrAlign software that are likely to benefit sales managers.
c. Why might field sales professionals object to the use of software from TerrAlign

Answer 2

a.
Salespeople will benefit from sales territories that are equal in distribution, the prospects and lead sent to the company will automatically be loaded for review, and the software will integrate with the customer relationship module in order to reduce the time required for system utilization.
b.
Sales managers will benefit from the process of territory alignment that ensures equivalent territories, the ability to review consistent reports that demonstrate sales representative performance across the company, and the ability to design sales contests based upon the total performance across all territories.
c.
Salespeople might object to the software because it shows their individual performance against the remainder of the company. They will be required to perform at or above the level of the average sales person. The ability to monitor and compare performance for salespeople results in a more consistent management of the sales force. However, it means that the individual sales person is held more accountable.

Question 3

When developing its marketing strategy, a company must consider the different forms of communication that are necessary to reach a variety of customers. Several types of promotion may be required. Knowledge of the advantages and disadvantages of each promotional element is necessary when developing the marketing plan. Consider the information in this chapter when evaluating your promotional mix:
Review the various types of salespeople described in this chapter. Given your promotional objectives (from Chapter 16), do any of these types of salespeople have a place in your promotional plan

Answer 3

NO ANSWER

Question 4

Why are team selling and relationship selling becoming more prevalent

Question 5

What is personal selling How does personal selling differ from other types of promotional activities

Question 6

Identify several characteristics of effective sales objectives.

Question 7

Briefly describe an experience you have had with a salesperson at a clothing store or an automobile dealership. Describe the steps the salesperson used. Did the salesperson skip any steps What did the salesperson do well Not so well Would you describe the salesperson as an order getter, an order taker, or a support salesperson Why Did the salesperson perform more than one of these functions

Question 8

How should a sales manager establish criteria for selecting sales personnel What do you think are the general characteristics of a good salesperson

Question 9

Murray's Cheese Achieves Success through Personal Selling
For Murray's Cheese, personal selling is the driving force behind its success. The business has retail sales of $2,500 per square foot and a growth rate of 15 to 20 percent per year at its main store in Greenwich Village, New York. It also recently established a partnership with the supermarket giant Kroger to bring Murray's customer-friendly environment to select Kroger supermarkets. Murray's views personal selling as a core competency that sets itself apart from the competition. The key is to inform customers and persuade them to purchase products in a store environment. Murray's sales representatives understand the importance of a quick presentation, overcoming objections, and closing the sale. Because Murray's wants its customers to be repeat buyers, there is an attempt to listen to customers, gain an understanding of their interests, and try to find the right product to satisfy their needs.
Murray's Cheese began in 1940 as a wholesale butter and egg shop owned by Jewish Spanish Civil War Veteran Murray Greenberg. When the current president Rob Kaufelt purchased the shop in 1991, the store was little more than a local holein- the-wall. Kaufelt and his staff made the decision to focus on high-quality gourmet cheeses from around the world. Today, people come from all over to sample Murray's cheeses as well as to take classes or attend its Cheese U boot camp to learn about cheese. Although Murray's extended its product line to include gourmet meats, crackers, olives, and dried fruit, cheese remains its core product. In fact, Murray's Cheese has been voted by Forbes as "the best cheese shop." Its success prompted Kroger to seek it out as a partner in its supermarkets. Murray's Cheese shops can now be found in different Kroger supermarkets throughout the country.
The cost that Murray's Cheese spent on advertising to become so successful: zero dollars. Instead of advertising, the company relies on in-store salespersons providing customer service and creating positive word-of-mouth communication to promote and to secure its reputation. When training its cheesemongers, the company recruits those who are passionate about both cheese and people. The company sets qualifications before beginning to recruit and identifies a set of traits characterizing effective salespeople to become cheesemongers. All customers who enter Murray's Greenwich Village store get to taste free samples of cheese before they buy it. This sampling creates an image of Murray's Cheese as a customer-friendly company. Customer relationships are so integral to Murray's that its cheesemongers taste the cheese with the customers. In this way, Murray's in-store sales force educates themselves about the cheeses they are selling and creates a valuable experience where the customer feels appreciated. By creating this unique experience, Murray's often succeeds in getting customers to purchase more products at once and to make repeat purchases.
This positive customer environment is what Murray's Cheese hopes to bring to Kroger's. Those Kroger employees who sell Murray's cheeses undergo extensive training beforehand. Murray's even created a 300-page cheese service guide for these recruits. Kroger customers seem to appreciate the more attentive customer service they receive in these Murray-branded shops. In a pilot program, where three Murray's Cheese shops replaced Kroger cheese departments, sales increased 50 to 100 percent. It was such a success that under the new partnership, Murray's Cheese will open 50 Murray's shops in Kroger supermarkets within three years.
Personal selling does not always have to be about traveling throughout sales territories calling on prospects. Murray's instore cheesemongers make and close sales doing what they do best: educating customers and sharing cheese. With Kroger's success at promotion and Murray's strengths in personal selling, it looks to be a win-win situation for both partners. Murray's motivated cheesemongers help to satisfy the needs of their customers and achieve personal goals
How would you explain the sales presentation that is most effective for selling Murray's cheese products

Question 10

What major issues or questions should management consider when developing a training program for the sales force

Question 11

When developing its marketing strategy, a company must consider the different forms of communication that are necessary to reach a variety of customers. Several types of promotion may be required. Knowledge of the advantages and disadvantages of each promotional element is necessary when developing the marketing plan. Consider the information in this chapter when evaluating your promotional mix:
Identify the resellers in your distribution channel. Discuss the role that trade sales promotions to these resellers could play in the development of your promotional plan.

Question 12

Explain the major advantages and disadvantages of the three basic methods of compensating salespeople. In general, which method would you prefer Why

Question 13

What are the primary purposes of personal selling

Question 14

What major factors should be taken into account when designing the size and shape of a sales territory

Question 15

Leap Athletic Shoe Inc., a newly formed company, is in the process of developing a sales strategy. Market researchers have determined that sales management should segment the market into five regional territories. The sales potential for the North region is $1.2 million; for the West region, $1 million; for the Central region, $1.3 million; for the South Central region, $1.1 million; and for the Southeast region, $1 million. The firm wishes to maintain some control over the training and sales processes because of the unique features of its new product line, but Leap marketers realize that the salespeople need to be fairly aggressive in their efforts to break into these markets. They would like to provide the incentive needed for the extra selling effort. What type of sales force compensation method would you recommend to Leap Why

Question 16

How does a sales manager, who cannot be with each salesperson in the field on a daily basis, control the performance of sales personnel

Question 17

Murray's Cheese Achieves Success through Personal Selling
For Murray's Cheese, personal selling is the driving force behind its success. The business has retail sales of $2,500 per square foot and a growth rate of 15 to 20 percent per year at its main store in Greenwich Village, New York. It also recently established a partnership with the supermarket giant Kroger to bring Murray's customer-friendly environment to select Kroger supermarkets. Murray's views personal selling as a core competency that sets itself apart from the competition. The key is to inform customers and persuade them to purchase products in a store environment. Murray's sales representatives understand the importance of a quick presentation, overcoming objections, and closing the sale. Because Murray's wants its customers to be repeat buyers, there is an attempt to listen to customers, gain an understanding of their interests, and try to find the right product to satisfy their needs.
Murray's Cheese began in 1940 as a wholesale butter and egg shop owned by Jewish Spanish Civil War Veteran Murray Greenberg. When the current president Rob Kaufelt purchased the shop in 1991, the store was little more than a local holein- the-wall. Kaufelt and his staff made the decision to focus on high-quality gourmet cheeses from around the world. Today, people come from all over to sample Murray's cheeses as well as to take classes or attend its Cheese U boot camp to learn about cheese. Although Murray's extended its product line to include gourmet meats, crackers, olives, and dried fruit, cheese remains its core product. In fact, Murray's Cheese has been voted by Forbes as "the best cheese shop." Its success prompted Kroger to seek it out as a partner in its supermarkets. Murray's Cheese shops can now be found in different Kroger supermarkets throughout the country.
The cost that Murray's Cheese spent on advertising to become so successful: zero dollars. Instead of advertising, the company relies on in-store salespersons providing customer service and creating positive word-of-mouth communication to promote and to secure its reputation. When training its cheesemongers, the company recruits those who are passionate about both cheese and people. The company sets qualifications before beginning to recruit and identifies a set of traits characterizing effective salespeople to become cheesemongers. All customers who enter Murray's Greenwich Village store get to taste free samples of cheese before they buy it. This sampling creates an image of Murray's Cheese as a customer-friendly company. Customer relationships are so integral to Murray's that its cheesemongers taste the cheese with the customers. In this way, Murray's in-store sales force educates themselves about the cheeses they are selling and creates a valuable experience where the customer feels appreciated. By creating this unique experience, Murray's often succeeds in getting customers to purchase more products at once and to make repeat purchases.
This positive customer environment is what Murray's Cheese hopes to bring to Kroger's. Those Kroger employees who sell Murray's cheeses undergo extensive training beforehand. Murray's even created a 300-page cheese service guide for these recruits. Kroger customers seem to appreciate the more attentive customer service they receive in these Murray-branded shops. In a pilot program, where three Murray's Cheese shops replaced Kroger cheese departments, sales increased 50 to 100 percent. It was such a success that under the new partnership, Murray's Cheese will open 50 Murray's shops in Kroger supermarkets within three years.
Personal selling does not always have to be about traveling throughout sales territories calling on prospects. Murray's instore cheesemongers make and close sales doing what they do best: educating customers and sharing cheese. With Kroger's success at promotion and Murray's strengths in personal selling, it looks to be a win-win situation for both partners. Murray's motivated cheesemongers help to satisfy the needs of their customers and achieve personal goals
How would you apply the concept of relationship selling to building long-term customers at Murray's Cheese

Question 18

What is sales promotion Why is it used

Question 19

When developing its marketing strategy, a company must consider the different forms of communication that are necessary to reach a variety of customers. Several types of promotion may be required. Knowledge of the advantages and disadvantages of each promotional element is necessary when developing the marketing plan. Consider the information in this chapter when evaluating your promotional mix:
Evaluate each type of consumer sales promotion as it relates to accomplishing your promotional objectives.

Question 20

For each of the following, identify and describe three techniques and give several examples: (a) consumer sales promotion methods and (b) trade sales promotion methods.

Question 21

Identify the elements of the personal selling process. Must a salesperson include all these elements when selling a product to a customer Why or why not

Question 22

What types of sales promotion methods have you observed recently Comment on their effectiveness.

Question 23

Consumer sales promotions aim to increase sales of a particular retail store or product. Identify a familiar type of retail store or product. Recommend at least three sales promotion methods that could effectively promote the store or product. Explain why you would use these methods.

Question 24

Murray's Cheese Achieves Success through Personal Selling
For Murray's Cheese, personal selling is the driving force behind its success. The business has retail sales of $2,500 per square foot and a growth rate of 15 to 20 percent per year at its main store in Greenwich Village, New York. It also recently established a partnership with the supermarket giant Kroger to bring Murray's customer-friendly environment to select Kroger supermarkets. Murray's views personal selling as a core competency that sets itself apart from the competition. The key is to inform customers and persuade them to purchase products in a store environment. Murray's sales representatives understand the importance of a quick presentation, overcoming objections, and closing the sale. Because Murray's wants its customers to be repeat buyers, there is an attempt to listen to customers, gain an understanding of their interests, and try to find the right product to satisfy their needs.
Murray's Cheese began in 1940 as a wholesale butter and egg shop owned by Jewish Spanish Civil War Veteran Murray Greenberg. When the current president Rob Kaufelt purchased the shop in 1991, the store was little more than a local holein- the-wall. Kaufelt and his staff made the decision to focus on high-quality gourmet cheeses from around the world. Today, people come from all over to sample Murray's cheeses as well as to take classes or attend its Cheese U boot camp to learn about cheese. Although Murray's extended its product line to include gourmet meats, crackers, olives, and dried fruit, cheese remains its core product. In fact, Murray's Cheese has been voted by Forbes as "the best cheese shop." Its success prompted Kroger to seek it out as a partner in its supermarkets. Murray's Cheese shops can now be found in different Kroger supermarkets throughout the country.
The cost that Murray's Cheese spent on advertising to become so successful: zero dollars. Instead of advertising, the company relies on in-store salespersons providing customer service and creating positive word-of-mouth communication to promote and to secure its reputation. When training its cheesemongers, the company recruits those who are passionate about both cheese and people. The company sets qualifications before beginning to recruit and identifies a set of traits characterizing effective salespeople to become cheesemongers. All customers who enter Murray's Greenwich Village store get to taste free samples of cheese before they buy it. This sampling creates an image of Murray's Cheese as a customer-friendly company. Customer relationships are so integral to Murray's that its cheesemongers taste the cheese with the customers. In this way, Murray's in-store sales force educates themselves about the cheeses they are selling and creates a valuable experience where the customer feels appreciated. By creating this unique experience, Murray's often succeeds in getting customers to purchase more products at once and to make repeat purchases.
This positive customer environment is what Murray's Cheese hopes to bring to Kroger's. Those Kroger employees who sell Murray's cheeses undergo extensive training beforehand. Murray's even created a 300-page cheese service guide for these recruits. Kroger customers seem to appreciate the more attentive customer service they receive in these Murray-branded shops. In a pilot program, where three Murray's Cheese shops replaced Kroger cheese departments, sales increased 50 to 100 percent. It was such a success that under the new partnership, Murray's Cheese will open 50 Murray's shops in Kroger supermarkets within three years.
Personal selling does not always have to be about traveling throughout sales territories calling on prospects. Murray's instore cheesemongers make and close sales doing what they do best: educating customers and sharing cheese. With Kroger's success at promotion and Murray's strengths in personal selling, it looks to be a win-win situation for both partners. Murray's motivated cheesemongers help to satisfy the needs of their customers and achieve personal goals
Do you think that Murray's Cheese salespeople need extensive motivation and training

Question 25

How does a salesperson find and evaluate prospects Do you consider any of these methods to be ethically questionable Explain.

Question 26

Producers use trade sales promotions to encourage resellers to promote their products more effectively. Identify which method or methods of sales promotion a producer might use in the following situations, and explain why the method would be appropriate.
a. A golf ball manufacturer wants to encourage retailers to add a new type of golf ball to current product offerings.
b. A life insurance company wants to increase sales of its universal life products, which have been lagging recently (the company has little control over sales activities).
c. A light bulb manufacturer with an overproduction of 100-watt bulbs wants to encourage its grocery store chain resellers to increase their bulb inventories.