Customer Psychology Marketing: WHY Do People BUY?
Why DO People Buy? I recently read a very unusual article by Dov Gordon on Firepole Marketing, titled; 3 Questions to a Consistent Flow of Clients (Beware the Marketing Plumbers!). I really recommend you read it, as in RIGHT NOW! This unusual article is a follow up on what was shared there. I have always been emphasizing this point on naijapreneur. And it’s so painfully true.
People don’t care about you, how much success you’ve achieved or even what you have to sell.
People care about themselves first, second, third and up to infinity.
People are naturally selfish; including me, including you!
If you want customers to buy what you have to sell, here is what you need to do;
Forget about what you want or don’t want and focus on giving them what they want and getting rid of what they don’t want!
The 40/40/20 Rule of Marketing – Here is a fact that explains why customers buy. The “40/40/20 rule” explains what constitutes the response for a marketing campaign. It breaks down like this: 40% of the success of your marketing is dependent on the target audience; 40% of the success of your marketing is dependent on what you’re offering [product or service]; 20% of the success of your marketing is dependent on creativity.
This rule was popularized in the 1960’s by a direct mail guru named Ed Mayer. As you can see, customers don’t buy because your ads are very creatively done nor do they buy for any other reason besides their own. 80% of marketing success that brings about astounding sales is dependent on utility. You have to know ‘what to sell’ [offer] to those ‘who needs them’ [target audience].
Why Do Customers Buy? – Customers buy for the following reasons. Provide these reasons and the sale becomes natural.
Utility – why should I buy this? The answer is simple according to Dov Gordon in his unusual article; customers buy because they are interested in two things. These two things they are interested in are the same two things you and I are interested in. Because all of us are only interested in the following two things: Getting rid of a PROBLEM you have and don’t want and / or Creating a RESULT that you want and don’t have.
What is Utility? – Utility they said is the satisfaction derived from the consumption of a particular product or service. In other words, utility = satisfaction derived = value. Products or services sell not because you have bills to pay, or because you have needs to be met. In fact, if you ever hope of selling anything, you have to get ‘YOU’ out of the equation and focus on ‘THEM’. Products or services sell because your customers want utility.
Credibility – why should I buy from you? The second reasons why customers buy is credibility. Customers buy from people they trust. After a customer sees the utility in what you are offering for sale, the next thing they want to see is credibility. Are you for real? Can you really deliver this utility? Are you capable of delivering on your promise? This is very crucial for making the sale. You can read more about how to establish credibility in this unusual article; why credibility comes before profitability.
Relevance – why should I buy NOW? I see the value in your offering, I trust your ability to deliver, but is what your selling relevant to my current situation? I am interested in what you are offering for sale, based on certain track record, I think I trust your brand, but how well is your solution –product/service suitable for my current needs? This is the most crucial phase of the three reasons why people buy. To successfully get over this phase, two key skills are required; The ability to question skillfully and The ability to listen carefully
To uncover the relevance of your product/service to the current needs of the customer, you’ve got to dig deep beyond the surface. People find it naturally difficult expressing their deep desires until skillfully led. The more you skillfully ask questions and listen carefully and patiently to the answers, the more the customer will open up and talk to you.
The job of the entrepreneur is to create the kind of environment where the customer feels comfortable expressing himself openly and honestly. Your goal is to create a comfortable environment with your personality, ask open-ended questions with words such as what, where, when, how, who, why, and which. And then listen carefully and patiently without any interruption.
Tito Philips Jnr is an unusual Nigerian that is MAD – Making A Difference.