MKT 337 Chapter 15 – Flashcards
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People buy expectations, not products, according to Ted Levitt, author of The Marketing Imagination.
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True
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According to Tony Allesandra, failure of a purchased product to perform as expected can be described as the "moment of truth."
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False
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Full-line selling, sometimes called suggestion selling, should be spontaneous and unplanned in order to achieve naturalness in the selling situation.
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False
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Cross selling involves selling products that are directly related to products that you have sold to an established customer.
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False
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When you deal with an unhappy customer, you should try to determine if their problem is real or perceived.
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False
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It is usually a good idea to demonstrate the suggested item.
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True
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Research indicates that about half of lost customers leave due to price considerations.
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False
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Surveys show that poor service and lack of follow-up after the sale, both potentially value-adding activities, are the primary reasons customers stop buying from a salesperson.
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True
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Full-line selling, or suggestion selling, should be viewed as a form of customer service.
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True
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To stay competitive, salespeople need to adopt a global perspective
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True
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A "moment of truth" can be described as a situation where the customer's expectations were met.
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True
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Most buyers will view full-line selling, or suggestion selling, as an imposition and not as a value-added activity.
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False
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When making sales calls in Russia, it is a good idea to prepare a sophisticated presentation.
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False
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Word-of-mouth advertising can be considered a powerful "auxiliary" sales force.
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True
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In the Six-Step Presentation Plan, the "Servicing the Sale" step includes recognizing closing clues, expansion selling, and follow-up calls.
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False
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Quick & Reilly, a financial services company, was able to increase sales by 35 percent by implementing which of the following programs? A) cross selling B) customer service C) full-line selling D) extranet E) upselling
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A) cross selling
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Customer complaints are information that should be viewed as: A) a short-term problem that should not be viewed as a major concern B) a source of important information and an opportunity to prove the firm's commitment to service C) a long-term problem that will require attention in the future D) a problem that may have a negative impact on the salesperson's earnings E) a serious problem with the company culture
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B) a source of important information and an opportunity to prove the firm's commitment to service
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When dealing with customer complaints, the salesperson should: A) determine if the complaint is real or imagined B) point out the fallacy in the customer's argument C) decide what action must be taken to remedy the problem D) avoid telling the customer his/her point of view about the cause of the problem E) blame the problem on other departments in the company
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C) decide what action must be taken to remedy the problem
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The purpose of the follow-up communication between customer and salesperson is to express thanks for the order and to: A) introduce related products and services B) complete the call card form C) request referrals of other prospects D) determine if the customer is satisfied with the purchase E) ask for payment
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D) Determine if the customer is satisfied with the purchase
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The major advantage of a telephone call over written correspondence is that: A) it is cheaper B) less time is involved C) it offers spontaneity D) the buyer is a "captive audience" E) two-way communication is involved
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E) two-way communication is involved
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Bradley Wholesale Foods purchased a new computer system for the personnel department. All of the equipment was delivered on time, installed properly, and the employees at Bradley were given effective systems training. The new equipment and the post-sale service surpassed the customer's expectations. The staff at Bradley Wholesale Foods has experienced a(n): A) moment of magic B) moment of truth C) moment of misery D) level of service that is typical of all computer service companies E) epiphany
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A) moment of magic
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A group of people who recommend customer-driven organizations to others could be called: A) disgruntled customers B) "auxiliary" salespeople C) a secondary salesforce D) missionary salespeople E) evangelist salespeople
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B) "auxiliary" salespeople
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Which of the following is a current development in customer service? A) Salespeople are spending less time monitoring customer satisfaction. B) Customer knowledge is viewed by sales and sales support personnel as an important key to improving customer service. C) The personal follow-up visit has proven to be the only effective follow-up method. D) Customer friendly computer-based systems will frequently be used to enhance customer service by placing automated calls to customers at regular intervals. E) Salespeople will display drop customers with high rates of dissatisfaction to increase profits.
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B) Customer knowledge is viewed by sales and sales support personnel as an important key to improving customer service.
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Customer complaints can provide the firm with great value. How? A) They give customer service representatives work to do. B) Resolving them ties up important resources. C) They offer an opportunity to shed bad customers. D) They can be a source of information that is difficult to obtain by other means. E) They provide a chance to prove the company is right.
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D) They can be a source of information that is difficult to obtain by other means.
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Sometimes customer expectations aren't met. When this happens it is referred to as a: A) moment of happiness B) moment of magic C) moment of truth D) moment of consequences E) moment of misery
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E) moment of misery
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According to Ted Levitt, author of The Marketing Imagination, people: A) buy the expectations of the benefits you promised B) buy the specific product you offer C) buy the promise of a long-term relationship D) buy products that offer a "no hassle" guarantee E) buy the image of the product
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A) buy the expectations of the benefits you promised
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Expansion selling encompasses which of the following? A) partial-line selling B) reselling C) suggestion selling D) undercutting the competition E) cross-purpose selling
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C) suggestion selling
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Which of the following is a major guideline that should be considered when using suggestion selling? A) Don't waste time suggesting low-profit items. B) Don't hesitate to make suggestions before closing the sale. C) Don't make suggestions until you have first satisfied the customer's primary need. D) Show the suggested item only if the customer seems interested. E) Suggestion selling should be used to generate half again as much revenue as the primary product does.
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C) Don't make suggestions until you have first satisfied the customer's primary need.
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A form that serves a communications link with persons who can assist with customer service is called a: A) service card B) follow-up card C) product service card D) call report E) product service report
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D) call report
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All of the following are tips to keep in mind when designing and using the business card, EXCEPT: A) make sure all the information on the card is current B) use simple, black-and-white designs for ease of reading C) the card should have email addresses but not direct contact telephone numbers D) give your cards only to those who have a strong reason to contact you later E) print information only on one side of the card
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A) make sure all the information on the card is current
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Once the customer buys your product, expectations: A) increase B) stay the same C) decrease D) are fulfilled E) become less important
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A) increase
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Of the customers that leave companies each year, which percentage leave because of bad customer service? A) 70-80 B) 50-70 C) 35-50 D) 12-15 E) 8-10
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B) 50-70
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Diligence, an essential service behavior, combines responsiveness and: A) service B) trust C) reliability D) persuasiveness E) precision
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C) reliability
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According to sales trainer Tony Alessandra, there are three possible service outcomes. Which one should salespeople strive for? A) the moment of happiness B) the moment of truth C) the moment of misery D) the moment of magic E) the moment of expectation
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D) the moment of magic
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Salespeople should do which of the following when product is delivered to customers? A) Call the shipping agent to monitor delivery. B) Supervise the installation process on site. C) Offer training in the use or care of the product. D) Change the price the customer needs to pay. E) Unpack the product by hand.
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C) Offer training in the use or care of the product.
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Value reinforcement means: A) getting credit for the value you create for the customer B) showing the customer the specific benefits of the product C) using bridge statements D) using the assumptive method to close a sale E) reiterating the features the customer will get for the purchase price
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A) getting credit for the value you create for the customer
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A best practice by which salespeople can use technology to strengthen relationships with customers is by: A) allowing customers to cancel orders without having to talk to a person B) sending email confirmations of appointments or agreements C) sending letters through the mail D) placing automated prerecorded phone calls to customers on a programmed schedule E) faxing large numbers of sales letters to potential leads
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B) sending email confirmations of appointments or agreements
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One important reason for salespeople to make follow-up telephone calls to customers is: A) company policy asks salespeople to make follow-up calls B) sales managers cannot make all the calls themselves C) the customer may place repeat orders during a phone call D) customer service representatives cannot be trusted to make the calls E) the customers are certain to have complaints and issues that need to be addressed
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C) the customer may place repeat orders during a phone call
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Full-line selling is also known as: A) approach selling B) upselling C) cross-selling D) suggestion selling E) expansion selling
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D) suggestion selling
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Cross-selling is most effective in those situations in which: A) the purchase is product-based B) the sales type is transactional C) the products are similar D) the relationship is not well-established enough to be jeopardized by an incorrect approach E) the salesperson and customer have an established relationship
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E) the salesperson and customer have an established relationship
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The effort to sell better-quality products is called: A) upselling B) cross-selling C) full-line selling D) logrolling E) leveraging
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A) upselling
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Salespeople can add value to the sales process by: A) making the purchase more complex B) hurrying the close process C) making the purchase convenient D) taking the chance that customers will want to buy other products not directly related to their needs E) showing customers how to create their own version of the product
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C) making the purchase convenient
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The best action to take to resolve a customer complaint is: A) one that compensates the customer B) one that pacifies the customer C) one that delights the customer D) one that costs the company little or nothing E) one that is performed in person
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C) one that delights the customer
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An unhappy customer is most likely to complain to: A) the salesperson B) the sales manager C) the decision-maker D) potential customers E) the competition
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D) potential customers
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Complaints from a customer should be viewed as: A) a serious failure of the salesperson B) a serious failure of customer service C) an issue that should be dealt with at the executive level D) a problem to be fixed by discounting future orders E) an opportunity to strengthen the relationship
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E) an opportunity to strengthen the relationship
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________ ________ involves selling products that are not directly related to products that you have sold to an established customer.
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Cross Selling
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Carl Sewell lives, eats, and breathes his obsession with ________ ________.
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Customer Service
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In survey after survey, poor service and lack of ________ after the sale are given as primary reasons people stop buying a product or service.
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Follow-up
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The ________ provides a quick, efficient, and instantly interactive way to follow up a sale.
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Telephone
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The effort to sell better-quality products is known as ________.
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upselling
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The salesperson that is genuinely interested in helping customers can build goodwill with full-line, or suggestion selling. List the four guidelines to follow when using this method.
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1. Plan for full-line selling during the preapproach step. 2. Make recommendations after you have first satisfied the customer's primary need. 3. Make your suggestions thoughtful and positive. 4. When appropriate, demonstrate the suggested item or use sales tools to build interest.
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List and describe the five major customer follow-up strategies.
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1. Personal visit. Usually the most costly method, but it may produce the best results 2. Telephone. This provides a quick, efficient way to follow up a sale. 3. Letter or card. Written correspondence is an inexpensive, convenient form of follow up. 4. Call report. This serves as a communications link with persons who can assist with customer service. 5. E-mail messages. A quick way to contact the customer; some customers prefer this method.
