Question

Prospective customers are

• A. People who need products or services
• B. People who are capable of purchasing products or services
• C. People who have a desire to purchase products or services
• D. All of these

Hint:

A useful mnemonic for qualifying a prospect is {BANT}: {B}udget (capable of purchasing), {A}uthority (power to decide), {N}eed (has a need), and {T}imeline (intent to buy soon).

Answer 1

The Correct Option is D

Step 1: Understanding the Question:
The question asks for the definition of a 'prospective customer' (or a prospect).
Step 2: Key Concept:
In sales and marketing, a prospective customer is an individual or organization that has the potential to become a paying customer. To be considered a qualified prospect, a person must typically meet certain criteria.
Step 3: Detailed Explanation:
A qualified prospective customer must possess three key attributes:

Need/Desire: They must have a recognized need or want that the product or service can satisfy. This covers options (A) and (C). A desire is a strong want.

Ability to Buy: They must have the financial resources or purchasing power to afford the product. This covers option (B).

Authority to Buy: They must be the decision-maker or have the authority to make the purchase decision (This is another key criterion, though not explicitly listed as a separate option here).

Since a prospective customer is defined by the combination of having a need, the financial capacity to buy, and the willingness or desire to do so, all the given options are essential components of the definition.
Step 4: Final Answer:
The most complete definition includes all the listed attributes. Therefore, the correct answer is (D) All of these.