Practical Tips

We are all emotional, often irrational creatures. Yes, even you!

We will go out of our way to get something we want, no matter whether it makes rational sense or not.

How does this relate to marketing and sales?

Here are a couple of common examples…

To get more market share in Australia, the two largest grocery chains, Woolworths and Coles Myer got into the petrol discounting business.

In short, you buy over $30 worth from either chain in one transaction and you can get 4 cents a litre off your petrol bill at participating gas stations.

Sounds like a lot, doesn’t it?

It actually works out at around $2’s off per fill up (and a full tank costs somewhere between $50 and $70) depending on your car.

And people will drive miles out of their way to get to one of these gas stations, bypassing lots of other outlets along the way. Think about how much time and even petrol this is costing them - all for $2.

But we’re not rational creatures are we? I know I’m not. I get really irritated when I find the dockets have “expired” (you have to use them within a month). Is it really worth it? Of course not… but do we care?

And it’s not even as if the petrol companies are really offering a discount. Prices are manipulated so that it seems that you’re getting a discount. Big department stores did it for years… put up the prices before a sale which then made you think you were getting a bargain at sale time.

Here’s another example…

Just got off the phone with someone who’d been on our marketing course.

He’d lost 3 key sales staff and was wondering how he was going to make his numbers.

Surprisingly, he not only did, but made a profit. How?

He normally puts up the prices of his programs by 5% each year to cover rising costs. This year he offered to keep the price at last years levels if they bought by the 30th March.

EVERY client did!

How much was the saving? Around $250 per client. So we’re not talking thousands of dollars. People will go out of their way to save a buck - irrational though it may be in the long term.

This gentleman used 2 strategies.

1) He offered them a bargain.

2) He added scarcity. You had to sign up before a certain date to get the deal.

AND IT WORKED!

As to the 3 staff - he’s saved himself over $200,000 in salaries and got the business in the door with innovative marketing.

How could you use some of these successful strategies in your business?

If you haven’t downloaded my f.r.ee report on “Skinning the marketing cat - 24 strategies to getting clients flocking in the door” click here for your personal copy.

Till next time,

All the best.

Rashid Kotwal

P.S. If your marketing isn’t producing the results you want - or you’re pretty jaded with the so called marketing experts out there who take your money and don’ t provide a lot of results, come and talk to us.

We only operate in the Direct Response space - where we target you prospects with laser like efficiency and get them to take action - by coming in and buying from you.

Everything we do is tested and measured - so you don’t waste money by throwing it against the wall and hoping some of it sticks.

Give me a call on +61-2-9499-7958 and we’ll give the first 10 people who register a free half hour consultation (normally worth $150).

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