Customer Persuasion in Marketing

Customer Persuasion in Marketing

About persuasion and stuff and one of the most powerful books you could ever read on the planet how many of you like to personally meet dr. Robert child-eating it so happens that he’s here it is going to spend a few minutes talking with all of us this is the most cited living social psychologists on the planet the guy is brilliant and give it up for dr. Robert good to see you again yeah are you on top of that we ran into each other in the gym like about six weeks ago the guys in killer shape I mean if he had his jacket off he’s like so freaking muscular so how are you I’m well what do you what are you doing here your I have I have a session going across the hall it’s not funny I mean I wouldn’t be dressed as I am in this kind of temperature range I know it is yeah but anyway well first off we both have interviewed you before about influence how many of you have read the book influence okay great and you know what I’d like to more than anything is is just kind of have everyone meet Robert in person in them go out and buy his stuff because really you really need to read influence he has some new books like the book yes what are some of the things you’ve been up to and in the world of persuasion I guess yeah well you know I have a chair if you’d like you don’t understand whatever I think the important thing is something that you’re doing very well I was just standing in the background and got a good sense of that and also doing some of the background and I know that what’s important for you is not just the ideas but the execution right the implementation of the ideas that’s the critical thing I’m not much for sports metaphors but there’s one that I think really applies and that’s when coach says it doesn’t matter how good our game plan is unless we actually execute it so what we’ve been trying to do recently is is go from the concept of principles of persuasion principles of influence to practices where we those those practices of course have to be based on an understanding of how the world works how people works psychologically and and emotionally and then we can derive those practices from the principles and let me give an example of something that I’ve been talking about recently that I think just illustrates this point that it doesn’t matter so much what you know it’s how you know to activate and then amplify what you know the principle of influence that I usually lead off with when I talked groups and it’s the first one in the book influence that some of you have is the principle of reciprocation it says people want to give back to you to the extent that you first given to them what’s crucial is you can recognize how that puts the power in your hands by being a first actor by giving you control what it is and how frequently it is that you’re going to get something in return have you ever walked down a corridor saw a colleague coming towards you and smiled what happens you get a smile but if you don’t if you don’t initiate that process you don’t get that in return at nearly the same levels so this applies to all kinds of things that you give first and that flows back to you but here’s an interesting question what can you give first what are the features of what you can give first that will cause the recipient to want to give back to you at the highest possible levels how do we amplify that initial act so that we get the largest return on our investment from turns out there’s a literature in the behavioral sciences that tells us there are three things that if you load in to what you give first ensure that people will not only stand ready to give back to you at optimal maximal levels they will be eager to do it because these three things were embedded in what you gave first the first is that what you give first has to be meaningful to them it has to recognize who they are and what their challenges are and how this gift or favor or service that you’ve provided meets what they need and is meaningful in some kind of relevant way for them the second is that it should be unexpected it shouldn’t be a part of the course of things the way business is usually conducted oh I always get this I always get a calendar from this company with that are all companies give us these pins right that’s just part of the exchange that doesn’t engage a sense of obligation to give back for what you’ve received but the third is the one I would like to emphasize and that is it is personalized it is tailored to that particular situation in which you are finding yourself customized giving them evidence that you care about them and you’ve taken the time to learn about them let me give you an example of how this works ask about the mic is that cause is switch to the handheld I hope I won’t have to repeat what I said for most of it just play that tape yeah so the last is is personal let’s take an example from a setting that we’ve all been in restaurants how many people here have ever been a server in a restaurant look around you I mean I get a very different response when I ask that question let’s say in Europe where it’s a class thing the United States 100 manorial people can start out as servers in restaurants and be in a group like this making multiple digits on their on their income right okay here’s the question how if you are a server in a restaurant and at the end of the meal after all of the merits of your case have already been determined the food has been ordered it’s been prepared it’s been consumed it’s been cleared you come to the table at the end of the meal with the check what can you do in that moment to significantly increase the likelihood of a larger tip any ideas what you could do you can smile that’s certainly something you can refill their drink excuse me call them by name these are all actually true if you look at the research that these things will increase but there’s one thing you can do that’s entirely in keeping with the rule for reciprocation do we have a hand here you can write thank you and you can even personalize that thank you with a little maybe your name or a smiley face and all of those things work give them a gift what could you give them okay I know I figured this would be a sharp a trip it’s a mint if there’s a mint on the tray that your tip goes up 3.3% Wow now you might say 3.3% that’s not a lot if you could increase your raw profits at the end of the year by three point three percent for the price of a mint I mean wouldn’t that be worth it there’s a study that was done in New York tough tippers 3.3% if there’s one mint on the tray for each diner hmm notice you don’t have to spend much you don’t have to increase the quality of the menu items you don’t have to hire a new chef you don’t have to pay money for in enhancing the decor a mint by virtue of the rule that says people stand ready to give back to you after you’ve given to them especially in that moment after you’ve given to them now what I like about this study is that the researchers didn’t stop there they had another condition in which this the server came to the table and put two mints on the tray for each diner – really – that’s unexpected – for me – and that condition produced a 14% increase not a 14% tip a 14% increase over the usual tip without a mint all in keeping with this rule that says in the moment after you’ve given people stand ready to give back to you you’d be a fool not to recognize that power of that moment it also is in keeping with the rule for reciprocity by showing the more you give the more people will want to give back now remember I said I liked this study actually I loved this study because there was yet a third condition in this case the server was trained to go to the table with one mint on the tray for each diner put it down give his usual thanks thank you very much for your patronage please return and turn to walk away and and then he stopped himself and he came back to the table he leaned down so everyone could hear he looked over his shoulder for the manager and he said you know what for you nice people because you have been such good guests and he reached into his apron and put the second meant down in front of each diner and tips went through the roof 23% increase now those of you who’ve been servers know how important those tips are because they pay a spit right 23% increase let’s take a minute and decompose that third condition which was so successful because it included all three of the conditions we’ve been talking about that second meant when it hit the table was meaningful because it was a 100 percent increase over the first minute so meaningful is not the same as expensive it just has to be significant to the person who’s received secondly it was unexpected he turned away and then returned to the table but finally it was personalized it was for you nice people that’s the one I would like you to prioritize when you give anything do the research that’s necessary to identify that particular situation that particular individuals challenges needs goals and provide something that matches that personal need that individual will stand ready to give back to you at the highest possible levels and you’ve put it in the bank they’ll wait for the to do it on into the future I’ll give you one last example of this is a personal example and then it will take a question or two but I do have to go across the hall in six minutes but there’s uh that’s the scarcity there’s a hotel in the world that I recommend more than any other it’s the Mandarin Oriental in Hong Kong I happen to be there that is speaking to a large group about 500 people is a big enough group that they gave their keynote speakers the organizers were able to negotiate suites for their keynote speakers and I got one of these Suites ordinarily I wouldn’t be able to afford to suite at the Mandarin Oriental in Hong I got one free and you know what these five-star hotels you go in and if you wanted to write a note or a letter to somebody there’s very attractive linen stationery in the drawer sometimes with the hotel’s name embossed in gold letters at the top well I wanted to write a note to somebody back home and I took out the envelope and and stationery to find my name embossed in gold letters at the top of each sheet of the stationery it was for me see this wasn’t a device a promotional advertising advised device of the hotel so they could publicize their name to whoever I sent no this was for me I have never stopped recommending this hotel to anyone who goes to Hong Kong that’s what this did to me right I studied this stuff I write books on this stuff and it still works on me so it should work for you okay we have a question or two I’m just ask you to do that every time you increase the the ROI of what you give first and you make it much less likely that people will take without giving in return if what you give has those three features in it yeah I don’t think anyone questions the the power of reciprocity and it really makes sense you have to personalize it but I wonder if you have any thoughts on how to apply that to a business where you’re doing large volume of collecting prospects and you never see the person I work mainly on the internet so it’s online and people are kind of expect free stuff so you know we’re giving away programs we’re giving away free reports but how do you take it to that next level and make it personalized in a robotic fashion the way well Joe talks about you have a current business that does something like exactly yeah well no I mean and that’s kind of and well you know now that Roberts been here I will actually talk about some of that a little bit later but yeah I mean if I don’t want to tell steal any time away from you anything anything else well let me just say this one other question I would ask do you have particular customers who you’re especially interested in retaining generally the the people that do best with our programs are people that are jaded about other fitness no I mean the people you really want to attract the people you really want to retain existing customers for example right the highest you don’t have to do everything for everybody notice the mandarin oriental didn’t put those in all the rooms that would they couldn’t do it it’s not possible in the sense that you said no no it’s it’s a mass operation okay but for their the people in their Suites they were worth it and believe me there are websites that will are you how many of you have pins that you give out to your customers and clients right with your name on it right it’s the wrong name I’m sorry it’s the wrong name that’s a great point it’s the wrong name for your best people today you can get cheaply stenciled embossed gifts and services for them if I get a pen with the Hilton’s name on it it goes in my drawer with 50 other pins if I get a pen with my name on it it goes in my pocket and I carry it around that’s all the time I have I’m sorry I couldn’t thank you thank you your your latest book anything that they you would recommend that they read to really understand is I mean you are probably the smartest person on the planet in the area of persuasion and influence you’ve done all the research you’ve documented it you explain how to do it and you’ve written about it and people can obtain that how do they get it well we we recently wrote a book called yes 50 scientifically proven ways to be persuasive it’s a companion to the first book influence yes takes me at my word that the importance is implementation it’s 50 individual findings from the behavioral sciences and the persuasion sciences that show how people work and then we at the end of that we have a treatment of now that you know this fact about how people work how could you use it to move people in your direction more effectively and ethically we always want to have the ethical component in there so yes 50 scientifically proven ways to be persuasive yeah and what I’ll do Bobbitt is going to actually provide me with a link that has like a lot of you because we had a conversation earlier a lot of really useful stuff that Robert has put together you can read his you can read articles you can read blogs and stuff online but also his stuff that I think will be most useful we’ll put it linked together with Bob Bette and I will send that out to everyone so that we have our recommendations that I think would be most useful for everyone here you are like a 20 minutes just showing up and providing them to our audience here so thank you that’s exciting yeah I love marketing.com all right gosh listen to him yeah just listen all day it’s

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