NRF CUSTOMER SERVICE AND SALES
FUNDAMENTALS VOCABULARY EXAM
WITH A GRADED SOLUTIONS
Closed-Ended Questions - Answer-Questions that tend to evoke one-word answers: yes
or no. The aim of using these sorts of questions is to limit talking or to control the
direction of conversation, such as when you want to narrow the scope of the
conversation, elicit specific information, or close the sale. These questions usually begin
with words like do, will, can, and are.
Open-Ended Questions - Answer-Questions that begin with the words who, what,
where, when, how, and why. They cannot be answered with a simple yes or no. The
aim of using these sorts of questions is to get someone talking.
Personal Needs - Answer-Involve the customer's need to be treated with respect and to
feel valued, understood, and involved in the decisions that affect them.
Practical Needs - Answer-Those needs that motivate customers to come to you in the
first place—to solve a problem or to get products or services.
Value - Answer-More than just price, this is a measure of the total benefit.
Packing Slip - Answer-A list of quantity and type of merchandise that the vendor sends
to a store. The vendor or distribution center will normally include this type of slip with the
requested merchandise at the time of shipment.
Physical Inventory - Answer-A physical count of every piece of merchandise in the
store, creating a record of the store's inventory at a specific point in time.
Pre-Priced Inventory - Answer-When merchandise arrives at the store with price tags
already attached and can be placed on the floor as soon as it's checked in.
Purchase Order - Answer-A detailed list of vendor items requested by the store. It will
list the sizes, colors, models, etc. as well as the number of each item requested. These
are sent to the vendor or store distribution center to request shipment of merchandise.
Merchandising - Answer-The art and science of presenting the products you sell in the
most attractive way possible in order to generate traffic, create interest and buzz, and
generate sales.
, Lifestyle Merchandising - Answer-Staging products by how the customer will be using
the product and creating a display around that mental picture (similar to suggestive
selling.)
Employee Theft - Answer-Employee stealing of cash, including voids, post-voids, and
deposits.
Fraud - Answer-Means of stealing by trickery, such as stolen credit/debit cards,
counterfeit money, currency switching, package switching, refund fraud, refund abuse,
and stolen or bad checks.
Loss - Answer-When assets of a business are stolen or lost due to error. Categories are
"shortage" or "other."
Loss Prevention - Answer-Preventing the loss of inventory or merchandise due to
shoplifting, employee theft, or employee error.
Shoplifting - Answer-Carrying, hiding, concealing, or otherwise manipulating
merchandise with the intent or taking it or paying less for it.
Shortage - Answer-Commonly referred to as shrink or shrinkage because a retailer's
inventory literally shrinks in size when it is reduced by theft or can't be accounted for
due to employee error.
Shrink/Shrinkage - Answer-Loss caused by shoplifting, employee theft, or employee
error. It is the difference between the amount of merchandise on the company's
financial records and the actual count of merchandise.
Planogram - Answer-Visual map that shows shelf heights, merchandise, and signage
placement that maximizes the display space.
80-20 Rule - Answer-80 percent of the sales or profits come from 20 percent of the
customers.
Actual Sales - Answer-Total gross sales generated during a specific reporting period for
a department or store.
Average Sale - Answer-This metric is an indication of how much each customer buys;
can be found by dividing the total sales value by the total number of transactions.
Goal - Answer-An aim for the future; one of the greatest motivations for people is have
these aims to work toward; these include personal and professional.
Referral - Answer-When a person recommends someone based on his or her
experience with the person or when someone recommends another person for a task or
service.
FUNDAMENTALS VOCABULARY EXAM
WITH A GRADED SOLUTIONS
Closed-Ended Questions - Answer-Questions that tend to evoke one-word answers: yes
or no. The aim of using these sorts of questions is to limit talking or to control the
direction of conversation, such as when you want to narrow the scope of the
conversation, elicit specific information, or close the sale. These questions usually begin
with words like do, will, can, and are.
Open-Ended Questions - Answer-Questions that begin with the words who, what,
where, when, how, and why. They cannot be answered with a simple yes or no. The
aim of using these sorts of questions is to get someone talking.
Personal Needs - Answer-Involve the customer's need to be treated with respect and to
feel valued, understood, and involved in the decisions that affect them.
Practical Needs - Answer-Those needs that motivate customers to come to you in the
first place—to solve a problem or to get products or services.
Value - Answer-More than just price, this is a measure of the total benefit.
Packing Slip - Answer-A list of quantity and type of merchandise that the vendor sends
to a store. The vendor or distribution center will normally include this type of slip with the
requested merchandise at the time of shipment.
Physical Inventory - Answer-A physical count of every piece of merchandise in the
store, creating a record of the store's inventory at a specific point in time.
Pre-Priced Inventory - Answer-When merchandise arrives at the store with price tags
already attached and can be placed on the floor as soon as it's checked in.
Purchase Order - Answer-A detailed list of vendor items requested by the store. It will
list the sizes, colors, models, etc. as well as the number of each item requested. These
are sent to the vendor or store distribution center to request shipment of merchandise.
Merchandising - Answer-The art and science of presenting the products you sell in the
most attractive way possible in order to generate traffic, create interest and buzz, and
generate sales.
, Lifestyle Merchandising - Answer-Staging products by how the customer will be using
the product and creating a display around that mental picture (similar to suggestive
selling.)
Employee Theft - Answer-Employee stealing of cash, including voids, post-voids, and
deposits.
Fraud - Answer-Means of stealing by trickery, such as stolen credit/debit cards,
counterfeit money, currency switching, package switching, refund fraud, refund abuse,
and stolen or bad checks.
Loss - Answer-When assets of a business are stolen or lost due to error. Categories are
"shortage" or "other."
Loss Prevention - Answer-Preventing the loss of inventory or merchandise due to
shoplifting, employee theft, or employee error.
Shoplifting - Answer-Carrying, hiding, concealing, or otherwise manipulating
merchandise with the intent or taking it or paying less for it.
Shortage - Answer-Commonly referred to as shrink or shrinkage because a retailer's
inventory literally shrinks in size when it is reduced by theft or can't be accounted for
due to employee error.
Shrink/Shrinkage - Answer-Loss caused by shoplifting, employee theft, or employee
error. It is the difference between the amount of merchandise on the company's
financial records and the actual count of merchandise.
Planogram - Answer-Visual map that shows shelf heights, merchandise, and signage
placement that maximizes the display space.
80-20 Rule - Answer-80 percent of the sales or profits come from 20 percent of the
customers.
Actual Sales - Answer-Total gross sales generated during a specific reporting period for
a department or store.
Average Sale - Answer-This metric is an indication of how much each customer buys;
can be found by dividing the total sales value by the total number of transactions.
Goal - Answer-An aim for the future; one of the greatest motivations for people is have
these aims to work toward; these include personal and professional.
Referral - Answer-When a person recommends someone based on his or her
experience with the person or when someone recommends another person for a task or
service.
