Psychological Marketing Insights

Analyzing the Psychology of Business, Marketing, and Sales ...

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Think Happy Thoughts…

Thursday, September 24th, 2009

In order to truly be successful in business, it is important to dedicate some time for focusing and visualizing. Simply thirty minutes a day use all the feelings and concentration you can manifest and see, visualize, just what you want to accomplish. What results do you really want to see? Increase the time you spend focusing on these desires and you will be able to achieve them twice as fast.

Now, I don’t mean this in a voodoo type of way. Think of it like this. Remember back to when you were in Jr. High School. Jr. High was an awkward time for everyone. Kids are at that age when all they can see is all of the weird things happening to themselves. Because of this they think that everyone else is focused on these “flaws” with them. Girls are especially bad about this. They think that every kid in class is staring at the huge zit that just popped up on their forehead, when in reality the other kids are probably thinking of their own zits, their new braces, or the fact that they forgot to put deodorant on that morning.

Due to this short sightedness many Jr. High age kids can’t see all of the opportunity around them. They are simply so focused on the negatives that they physically can’t take in any more. Now, how do we translate that back to business? If you are so focused on all of the things that could possibly go wrong with your business, you will be unable to see all of the opportunity around you. Successful business people aren’t just “lucky.” They simply don’t allow themselves to be bogged down with all of the mental trash.

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Niche Science: Let’s Go Puddle Jumping!

Friday, August 28th, 2009

Now, I know that makes everyone want to grab their yellow galoshes, but let’s not jump in quite so fast!  First you must know that there is a strategy to making the most of your time puddle jumping.

1)  You must know the area around your puddles.  Look for any potential obstacles that might cause a problem and any props that could make puddle jumping even better.

2)  You must know what is floating in the puddles.  Let’s face it, we’ve all seen the neighbor boys taking turns throwing whatever they can get their hands on into puddles or the stray dog from around the way relieving itself in a puddle.  You don’t want to be splashing through a puddle that Rover just warmed up, now do you?

3)  It’s all about the distance.  What do I mean?  Well, some of the most experienced puddle jumpers in the world can thoroughly soak all onlookers within a 4 foot radius!  Now that is some distance.

4)   The deeper the puddle, the more fun!  I mean seriously, would you rather jump in a piddly puddle that barely wets the tread of your sneaker or would you rather feel the water sinking up and over and into your socks?

Now what is all of this talk of puddles and what does it have to do with marketing?

Pretend each of your clients is a puddle.

1) Now, tell me about the immediate area around that “puddle.”  Are there any obstacles that you can see that may hinder the relationship you have with your client?  Maybe they just lost their job and they are going to have to cut back.  Will you be the service they cut back on?  What about props that may help you with the relationship?  Maybe they just had a baby and it just so happens that you have a new product out that is perfect for new parents.

2)  Now tell me what could potentially be floating in your puddle.  This is all the crap…all the baggage that may make them a bad client to have.  Maybe it is that they don’t pay their bills on time.  Maybe it is that they can never make a deadline.  Or maybe they are like Nelli from Little House on the Prairie and just plain annoying.  Whatever it is, be sure to examine your puddle carefully to make sure there aren’t any floaters.

3)  What kind of distance can you get from your puddle?  Is this client going to be a long term relationship or a one shot wonder?  We all know that it is tempting to just go for the quick sale and move on, but wouldn’t you much rather have a client that comes in for all of the accessories?  I mean seriously, how many applications can one person have on their iPhone?!  But isn’t that what you want from your customer?  You want them to not make just one purchase, but to continue to come back to you for all of the upgrades and add-ons that you could possibly dream up, just because they are available.

4)  So how deep is that puddle?  This is where we get into the psychology behind your client.  Why do they buy or not buy?  When do they feel like buying more?  What do they feel like when they buy?  This in and of itself is an entire semester’s worth of courses.  But this is where the gold is.  If you can really truly fine tune the psyche of your client then you can design your entire business around it and go to the bank all day.

Once you’ve examined all of these areas of your puddle you are ready to go puddle jumping.  But don’t forget your galoshes!

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Are you suffering from business overload?

Wednesday, August 12th, 2009

We received some great advice from a good friend lately. His advice? Be sure to reward yourself from time to time.

I know, I know, it’s not rocket science, but this is something that I especially needed to hear. I often joke that I work 24/7 between working as a nurse on the weekends and then doing business stuff the rest of the time.

Now let me be honest, I am not “working” around the clock, but Matt and I are constantly talking about business even if we are “off the clock.” We live it and breathe it because we both enjoy business so much.

That is kind of the life of an entrepreneur. Business is always on our minds.

But nevertheless, our friend suggested that we reward ourselves after a long run of huge projects with short deadlines.

So, we rewarded ourselves with a little trip out of state to spend some time with some great friends and in the sun. A run on the beach, a bike ride down the pier, and a couple of afternoons laying on the beach were just what we needed. There was only one rule.

No talking about business except for the short time we allotted each morning to answer any emails or phone calls that were pressing and the exception of if we were to come up with the idea of the century. Other than that, no business talk.

We all need our rewards and our time away. Going a hundred miles a minute helps us get things done and keep up with this fast paced world. But the human brain was not built to run at that speed forever, which is probably the reason God gave us the seventh day to rest.

When was the last time you rewarded yourself with time away? And I mean true time away.  If you’re beginning to suffer from lack of focus and motivation, or you are just plain warn out I suggest you take a break.  I know a great little place.

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Self Monitoring Your Behaviour

Wednesday, July 29th, 2009

One of the best pieces of advice I ever received in relationship management was from the mother of a boyfriend in high school.  She happened to also be a teacher at the school we attended.  After a brief conflict between my boyfriend and his well intentioned mother which ended in my boyfriend storming off, she looked at me with a sparkle in her eye and said, “He’ll be just fine after lunch.  I learned early to feed men when they start getting crabby.”

I have now brought that brilliant piece of advice into my marriage and into my business life.  However, Matt and I (being the psychological geeks that we are) have noticed that this is not just a male thing, but a human thing and that it encompasses more than just hunger.  We have observed that our decisions are impacted most negatively when we are hungry, angry, hot, lonely, or tired.  These are the times when we find ourselves wanting to toss in the towel or shut down.

Now granted, we have a bit of an advantage in that we are able to hold each other accountable when we notice the shift from being positive and motivated to being negative and sluggish.  (Just as long as it doesn’t happen at the same time.)  Often times we will allow each other to vent for a little while, but if it begins to become a “bitch-fest” we try to gently probe into one of these five areas and put some perspective on the problem.

And then of course we try to remedy the problem as quickly as possible so as to help with productivity.  Maybe it is taking a 10 minute break for a snack or a quick walk around the block.  Maybe a refreshed cup of Jo.  But no matter what we try to keep each other from wallowing in the negative state that not only kills productivity but makes you feel like crap.  (And let’s face it, when running multiple businesses, who has time to wallow?)

For example, today we were driving from one meeting to another.  It was extremely hot and humid and I was mentally exhausted after a great brainstorming session.  I started expressing doubts in myself and the entrepreneurial life.  Matt was great and listened to me for a bit and then gently (that is the key) reminded me that this was not me talking, but rather it was me being hot and tired.

And you know what?  He was right.  After a quick stop for some ice cold lemonade and mental rest I was back to my normal even-keeled self.

Are there times when you notice that you struggle most?  What are your triggers?  What are the triggers of those around you?  How can you help yourself and those around you when these moments hit?

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Are Your Customers Sttttrrreeettccchhhiinngg Their Dollars?

Friday, July 24th, 2009

There are many ways that I see people attempting to stretch their money during this recession. Some are planting their own gardens. Others are mowing their own lawns. Still others are washing their cars less.

One area that I noticed the other day was when I was at the hair salon. Like a good business, my salon asked me as I checked out whether I would like to go ahead and schedule an appointment for six weeks out. I didn’t have my calendar with me, so I passed. However, on my drive home it hit me that haircuts are probably an area that people are cutting back on.

Now, maybe they aren’t going so far as to change salons to save money, after all, most women won’t let just anyone cut their hair. However, if I were a betting woman I would guarantee that the majority out there are beginning to go every 7 or 8 weeks instead of every 6 like before. After all, how many women haven’t thought to themselves, “I’ll just wear a pony tail for a week if it starts looking bad.”

So, knowing this, what could a salon do?

My thought was that they needed to offer an incentive to schedule a 6 week appointment at the time of checkout rather than calling and scheduling at a later date. Maybe 10% off your haircut. Or maybe a free mini facial. The little bit the salon would lose from the discount would be more than made up for by the guaranteed customers.

Think about it this way. In my area an average cut and style at a middle level salon is about $40 including tip. So, if you consider that if a client comes to the salon every 6 weeks for a year that is 8.6 times. Obviously someone can’t go half a time, so we will round down to 8. So take 8 and multiply it by $40. That is $320.

Now look at if they had gone every 8 weeks instead. That is only 6 times in a year. That is $240…$80 less! And that is if they only get a haircut. Let alone any highlighting, waxing, extensions, manicure, pedicure, massage, etc. As I said, the small discount you give for them automatically scheduling it 6 weeks out is more than made up for with the increased frequency.

What ways can you keep your customers from stretching their dollar too thinly with your products or services?

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The Art of Running Through Life

Monday, July 13th, 2009

Yesterday Matt and I decided to go for a run.  Now, it was a little bit overcast when we made this decision originally.  By the time we had actually gotten around to putting on our running gear and stepping out the door their were little sprinkles coming down.  Not to be detoured, we simply grabbed some long sleeve t-shirts and went on our merry way.

Just as we pulled up to the starting area for our run, the heavens opened up.  Now let me tell you, we have run in some miserable conditions before, and I do mean miserable.  We have run when it is 10 degrees out with 30 mph winds.  We have run when it is 90+ degrees out with 90% humidity.  Those were extremely miserable runs.  But if there is one thing I don’t like, it would be being drenched.  I don’t know what it is about the feeling, but I just don’t like to get wet unless I am swimming or bathing.  Seriously, as laid back as I am, if Matt wants to get me riled up all he has to do is pour water on me.  So as soon as it started pouring down rain Matt and I looked at each other.

The decision point was now.  Do we drive around the block a few times to see if it slows down?  There was a split second of indecision and then Matt said, “Let’s just do it!”  And we were off.  We jumped out of the car and began our run.  And you know what?  After the first 100 yards it wasn’t that bad.  I mean, there comes a point when you can’t get anymore wet and you just sink into this feeling of, “Wow, this is crazy, but kind of fun!”

But you know what the best part was?  At the end of the run we looked at our time and we had beat our personal best time by over a minute and a half!

Now, I know you are saying, “Wow, Sarah, that is cool and all, but what does it have to do with my business?”  Well, I am glad that you asked.  :-)

Think about it like this.  In business, heck, make that in life, we have to work our way through a series of ups and downs, successes and failures.  Matt and I like to say, “Life is one crisis after another.”  It really is true.  If it isn’t your computer going on the fritz it is your key person getting sick the day of the presentation.  If it isn’t your tire going flat on the way to the airport and causing you to miss your flight it is your luggage getting lost once you actually get to your destination.

Life throws us curve balls.  During this recession, I hear a lot of business people saying that they are just going to stay out of the game for a while.  That is like trying to stay in the dugout until a new pitcher comes to the mound and there are better pitches to hit.  Well, I’ve got news for you.  If you don’t go up to the plate, you’ve got no chance of hitting anything, curve ball or no curve ball.  And if you don’t ever hit anything, you can’t win the game.  And if you think you are going to wait out the pitcher in the dugout or wait out the storm in your car, life will pass you by…and so will your competition.

So, get out there, pull on your running shoes and start splashing through some puddles.  You might get a little wet and uncomfortable for a bit, but once you get going you will realize that it really isn’t so bad.  Who knows, you might run your best time.

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Is your map supposed to look different than mine?

Thursday, June 25th, 2009

Imagine that you are with a large group of people that has been dropped into the middle of no where.  Fortunately, you each have a map so that you can figure out how to get back to civilization.  Unfortunately, each map is different, and there is no way of telling which map is the closest to being correct.

Welcome to life, my friend.

When Matt and I get frustrated at people we try to remind each other that they are looking at a different “map of the world” than us.  Each experience in their life has etched a spot into their map.  The core beliefs they are taught as a child have influenced this map.  Their successes, their failures, the happy times, and the sad times.

So, any time they are presented with a situation, they make decisions based upon their map of the world, whether that map is the correct map or not.  Like the abused girl who grows up to marry an abusive husband.  Some say she should know better.  Others realize that she knows no different.  As far as she is concerned, that is all that she has ever known.  It is her comfort zone.

In business we must realize that each of our prospects and customers come to us with a different map of the world and we must decipher the legend for their map if we are to truly communicate with them on their level.  In sales training this might be presented as DISC or another personality type test.  However, a person’s map of the world is so much more than a personality type.

And when differences come up, we must remember that other’s maps do not match ours.  They simply look at the world in a different way…and maybe remembering that can help us to provide better service to those around us.

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Marketing during a recession, possible or not?

Friday, June 19th, 2009

Tightening the belt.

Cutting the fat.

Battening down the hatches.

Any way you put it, our nation has been trying to survive this stormy time and come out on the other side with a semblance of self-respect left.  Now, it is hard enough for the average person to survive right now just putting in the hours at the office and hoping not to make anyone mad enough to get put on the next layoff list.  But, for those of us who own our businesses, this time can be downright dangerous and incredibly taxing on us.

So, how can we still continue to market when we are merely trying to survive to the next electric bill or mortgage payment?  Is it even possible?  Should we do what everyone else seems to be doing and just duck into the nearest foxhole until 2010?  After all, the best offense is a good defense, right?  Well, I am here to say that is not always the case, and especially not right now.  Now is the time to go on the offense.

Think of it like this.  In the past almost every business out there was doing marketing.  Which means that for every postcard you sent out, your customer was probably receiving another 25 from various companies in the area, some your direct competitors and some in other industries.  But all competing for your customer’s time, money, and energy.  It was very easy to get lost in all of the noise.

But now?  Well, now people are doing away with marketing all together.  I have had so many people tell me, “We have decided that we can’t afford to do any marketing right now.  Please get back to us in 2010.”  I really wanted to grab them by the shoulders and shake some sense into them.  Tell them that they were actually doing the exact opposite of what they should be doing.  But honestly, it wasn’t worth my energy.  Those types of people won’t make good customers anyway, because they will bail at the first sign of trouble.

So, if all of these people are doing away with marketing you should do the same, right?  NO!  If your friends told you to jump off a bridge would you do that, too?

Ok, seriously, though.  How can you afford to market in this economy?  You go where you can make the most money.  That means you must, I mean MUST look at your list.  If you are going to cut the fat, this is where you should be doing it.  Which customers are costing you more money than they are bringing you?  This could be in product, service calls, energy, time, etc.  You know the ones that I’m talking about.  For every $20 worth of product or service you sell them you are spending 3-4 hours on the phone or email with them trying to explain how to use it and how not to use it.  If you only make $10 an hour, which I hope is not the case, you are already $20 in the hole with them.  So get rid of them.  You can’t afford to keep them.

Next, look at who is bringing you the most money.  This could be through direct purchases or through referrals.  Either way, these are the ones that you can’t afford to lose.  These are the people you are going to spend extra to keep.  Make these people feel like the gold they are, without seeming desperate.  Thank you cards, touching base emails, phone calls to mention the new dress shipment you got in that is just their style…and by the way you saved back their size.  And then when they do purchase or refer again, show them just how much you appreciate them again.  A night out for two.  Flowers to their wife on their behalf.   Food of some sort (one of my favorites).  You get the picture.

Now, I know what you are saying, “But I can’t afford that!”  Let me tell you something.  You can’t afford not to.  Because as I’ve said before, someone is courting your customer besides you and if you want to be the one with the date to the dance you had better step it up.

Let me also state one other thing.  If you cannot afford to “market” and you are losing money then let me say this.  It isn’t being done correctly.  Marketing should be a trackable, quantifiable, activity that produces a positive return on investment.

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How to alienate your prospects in 10 seconds or less…

Tuesday, June 9th, 2009

So I was at a networking meeting a while back doing my due diligence of face time for the masses when it happened.  I had just finished filling up my coffee when I was cornered by a gentleman who has been trying to get me to use his services for quite some time.  What he has not realized yet is that 1) I am not in his target market and 2) if I were in his target market he has done more to send me running to his competition than to get me to open up my wallet to him.

Now, on this particular day when he cornered me by the coffee stand I was feeling quite energetic despite the early hour.  It was a beautiful day and I was seeing everything in a positive light.  However, by the end of my interaction with him I found myself drained and ready to be done with networking for the day.

What did he do that caused such a drastic change in my mood and outlook?

Well, I pondered that very thing on my way to my next meeting for the day and I came up with 3 items.

1)  The first words out of his mouth were a sales pitch.  And not just any sales pitch, but the same sales pitch that he has spouted on our 3 previous interactions.

2)  He talked incessantly about himself for 5 minutes then flippantly asked how I had been.

3) Before I even had a chance to respond he launched into a long winded spout on a political topic that I happen to feel quite strongly about.

Now, you may be asking what is wrong with any of what he did.  If so, please refer to the headline of this post before proceeding.

Networking 101 says that the best way to build a relationship with a potential prospect is not to launch into your sales pitch the moment you corner them.  Think of it like the dating game.

How far do you think a guy is going to get if the moment he gets into a conversation with a girl he starts telling her how much she needs to go out on a date with him?  Considering that he would probably come across as desperate, not very far. That is because we as humans tend to hate being told what we should be doing.  In fact, if we have someone tell us what we should be doing, our tendency is to do the exact opposite.  However, if there is something that is difficult for us to achieve we are more likely to want it.  That is where the dating technique of playing hard to get came from and it works great in the networking arena as well.

Next, we as humans tend to love nothing more than talking about ourselves and yes, I realize that is exactly what he was doing, so what was wrong with that?  Well, the problem was that he was trying to prospect me, not the other way.  So he should have been asking me questions and getting me engaged in the conversation.  One of the keys to sales is to get the prospect talking about themselves because they will begin to slowly give you the information that you need in order to sell them.  In addition, if they are talking about themselves they will probably walk away from your conversation saying to themselves, “Wow, that was a really great discussion.  I really enjoyed talking to them.”   This is because it fulfills a fundamental human need to be heard and understood.

Finally, he brought up a very controversial political topic without first knowing my views.  Deals have been won and lost because of this very thing.  There is a reason that your mother always told you not to talk about politics and religion when company was over.  These topics tend to be very polarizing and if you are on the opposite sides of the issue can potentially do a lot of harm to your developing relationship.  Specifically in this instance, the gentleman was talking about something that he very obviously knew little about which caused him to look ignorant, not a good thing to have a potential prospect or referral partner think about you.

In this short interaction the gentleman succeeded in causing me to change my neutral opinion of him to a negative one, ensuring that I will probably avoid him at future meetings.  And will I send him business?  Probably not, as I have no guarantee that he will treat the people I send to him any differently than he just treated me.

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