Question 1

The step in the selling process that poses the most difficult challenge to the salesperson simply because he/she lacks confidence in dealing with this step is:

Accepted Answer

Closing is often seen as the most challenging part of the sales process because it requires the salesperson to ask for the sale and overcome any remaining objections or concerns the prospect may have. This can be difficult if the salesperson lacks confidence in their abilities or feels uncomfortable with the idea of pushing for a sale.

Question 2

A firm that wants to encourage trial, reward loyal customers, or increase the repurchase rate of occasional users would be best served by:

Accepted Answer

Sales promotion specifically aims to encourage trial, reward loyal customers, and increase repurchase rates of occasional users. This can be achieved through tactics such as discounts, samples, and loyalty programs. Public relations, personal selling, advertising, and direct marketing can also contribute to these goals, but sales promotion is the most effective choice for specifically targeting these objectives.

Question 3

The Fashion Industry Association of Australia developed Australian Fashion Week, which consists of a series of fashion parades held at a variety of venues, to showcase and promote Australian designers and labels. Australian Fashion Week is an example of:

Accepted Answer

Australian Fashion Week is an event marketing initiative aimed at promoting and showcasing Australian designers and labels through a series of fashion parades held at various venues.

Question 4

Sales promotions may be used to:

Accepted Answer

Sales promotions are methods used by businesses to stimulate demand or incentivize purchases from consumers. These promotions can be employed to achieve a number of goals, including converting medium users into heavy users, rewarding loyal customers, reducing the time between purchases, and attracting new buyers. Therefore, all of the choices listed (A, B, C, and D) are potential objectives for sales promotions.

Question 5

Michael, the sales manager for a commercial paper supplies company, is consulting his sales representative's work plans, call reports and also going out on selected sales calls with individual members of his team. Michael is MOST likely engaged in which of the following activities?

Accepted Answer

Michael is evaluating his sales representatives' work plans and call reports, as well as going on sales calls with them. This indicates that he is engaged in evaluating his salesforce's performance.

Question 6

Which of the following reports would NOT normally be prepared by a salesperson?

Accepted Answer

A return on sales investment report is typically prepared by financial analysts or accountants within an organization, as it requires access to and analysis of financial data to calculate the return on investment from sales activities. Salespeople usually focus on generating sales, managing customer relationships, and reporting on sales activities and expenses, rather than conducting financial analysis.

Question 7

Cardini's Marinades have seen how other products have profited from sales promotion activities and wants to do some of its own sales promotions. What is the first step for Cardini's in using sales promotions?

Accepted Answer

Before Cardini's can plan a sales promotion, it needs to determine the purpose of the promotion- whether it wants to increase sales or increase brand recognition. This will help it decide what type of promotion to offer and how to measure its success. The other options (A, B, D, and E) are all important steps, but they come after determining the purpose of the promotion.

Question 8

After Gian graduated with a marketing degree, he found work in a sales department responsible for selling computers and technical computing solutions. Gian's duties include preparing sales materials such as powerpoint presentations for sales representatives to use, confirming appointments, following up on deliveries and generally supporting the sales effort. Gian's role would be BEST described as a(n):

Accepted Answer

Gian's role in preparing sales materials, confirming appointments, and following up on deliveries all indicate that he is supporting the sales effort. Therefore, the best choice is C) sales assistant.

Question 9

The emphasis is upon the identification of potential customers in the stage of the selling process known as:

Accepted Answer

Prospecting is the stage in the selling process where salespeople identify potential customers or prospects through various sources such as referrals, networking, trade shows, etc. Therefore, option D is the correct answer.

Question 10

Each salesperson is given an exclusive area in which to sell the firm's full line in the salesforce structure called:

Accepted Answer

In the given salesforce structure, each salesperson is given an exclusive area, which is called territorial. This means that the salesperson is responsible for selling the firm's full line within their assigned geographical area, and no other salesperson is permitted to sell in that area. Thus, option C is the correct choice.

Question 11

Which of the following would NOT be considered a sales promotion tool?

Accepted Answer

Speciality store selling is not a sales promotion tool. It is a retailing practice that focuses on a specific product category or a clearly defined customer segment. The other options (samples, redeemable coupons, cash-back offers, premium packaging) are all examples of sales promotion tools.

Question 12

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  ________.

Accepted Answer

The approach described in the question is called team selling, where representatives from different departments come together to service a complex account. This approach allows for collaboration and expertise from different areas, leading to better solutions and customer satisfaction.

Question 13

Which of the following statements partially explains the rapid growth of sales promotions?

Accepted Answer

All of the above reasons contribute to the rapid growth of sales promotions. Companies face more competition and are looking for ways to differentiate themselves, consumers are increasingly price-oriented and seek deals, the trade is demanding more deals from manufacturers, and top management now sees sales promotions as effective sales tools.

Question 14

When using the workload approach to establish salesforce size, a manager should:

Accepted Answer

The workload approach focuses on determining the workload of each salesperson, including the number of calls needed per account and the number of accounts per sales representative. Choices A, C, D, and E may be important factors to consider in developing sales territories, but they are not directly related to the workload approach.

Question 15

Which of the following best explains why many companies are adopting the team selling approach to service large, complex accounts?

Accepted Answer

As products become more complex, it can be challenging for one salesperson to have all the necessary expertise to support an account. By using a team selling approach, each member can bring their specific knowledge and skills to the table, resulting in a more comprehensive and effective sales strategy.

Question 16

Every week the sales manager for Hokianga Tools prepares a report in which he outlines the standards expected of salespeople, how much they should sell and how the sales should be divided among the company's products. These standards are known as:

Accepted Answer

The standards outlined in the sales manager's report are specifically related to how much the salespeople should sell, and how much of each product they should sell. These are known as sales quotas. The other options listed are not specific to setting expectations around sales volume and product distribution.

Question 17

A discount offered to dealers as a trade incentive may also be described as a:

Accepted Answer

The answer of A discount offered to dealers as a...

Question 18

During his sales presentation, Billy notices that a client makes a number of negative statements such as, "The price is out of my league!" and "I think it is over- engineered for our needs." Billy should be aware that the selling process is moving towards the stage.

Accepted Answer

The client's negative statements indicate that they have objections to the sale. Therefore, Billy should be aware that the selling process is moving towards the stage of handling objections.

Question 19

The salesperson who desires repeat business must do a good job of:

Accepted Answer

Follow-up is essential for building rapport and maintaining the relationship with the customer, which ultimately leads to repeat business. Handling objections, prospecting, closing, and selling are all important aspects of the sales process, but follow-up is the key to securing a loyal customer base.

Question 20

Barbara works in the sales department of a large international hotel chain. Today she is calling on travel agents to provide them with information about the imminent opening of a new hotel property in Solomon Islands. Barbara has not called ahead but is simply "pounding pavement" and dropping in unannounced on travel agents in the central business district. Barbara is engaged in which type of sales activity?

Accepted Answer

Barbara is engaging in cold calling, which means she is visiting potential customers without any prior communication or appointment. She is essentially attempting to generate leads and make sales through direct contact.

Quiz 16: Sales Promotion and Selling