The Psychology Of Sales
Survival in such a competitive marketplace like carpet cleaning is impossible if you don’t adopt tactics and strategies which will help you cut through the clutter.
Every business only exists to sell stuff, and carpet cleaning is no different.
While a lot of separate things go into selling your services, pricing can have a significant effect on whether or not customers choose you and how good they perceive your carpet cleaning services to be, based on the price you charge.
We are going to look at some of the strategies that can help you set your prices.
Similarity Will Cost You Sales
Research has shown that products which are priced similar to others in the same field tend to get overlooked and people don’t buy it.
For example, if there are two shirts with slight differences but of the same price, consumers will usually look for something else than buy those shirts.
The key point here is that you should price your products differently even if they have a slight feature that differentiates them
Use Price Anchoring
Anchoring bias (or just anchoring) is a phenomenon that is used to refer to a situation where a person tends to rely more on the first bit of information that is presented to them and base their decisions on that information.
If you placed a low priced service in front of the customer first, they will probably deem the rest of your services as expensive in relation to that first service which was much cheaper because it will seem like a bargain in comparison to the other services you offer.
This means you mustn’t offer your cheapest service free, but instead offer a more expensive package first then drop down to a cheaper package if they query about price.
The Secrets Of Webbers Law
Weber’s law deals with human perception.
It says that people will not notice the change between two things if the change is a small percentage of the original stimulus.
In other words, people will not notice if your price goes up slightly every year to make allowances for inflation.
Due to this very reason, businesses only do a small percentage increase so that it doesn’t get noticed and at the same time they earn more than before.
That’s gotta be worth doing in your carpet cleaning business surely?
Reduce Pain Points In Selling
People will buy as long as they are satisfied and will stop when it hurts them.
Reducing the pain points that are there in the purchasing process can increase chances of sales and at the same time increase the post-purchase satisfaction.
Highlight Time Spent Not Money Spent
People usually have more vivid memories of the time spent with you rather than the amount that they spent with you.
When customers look back with hindsight at the experience many customers want to associate their feelings with something personal and save that memory for a long time.
The recall process for memories of this kind is faster than the monetary price attached to it.
Due to this reason super smart carpet cleaning businesses should try to focus more on the overall experience and less time focusing on the price of the service you provide.
Never Compare Prices Without A Reason
Comparing prices seems like it should make a lot of sense but it backfires if two prices are being compared and the reasons for the comparison don’t make sense.
If there is no context as to why the two prices are being compared that would evoke distrust amongst customers and they would feel as if they are being tricked and would naturally provoke negative feelings because of it.
If a marketing message says that A product is cheaper than B product then solid reasoning should also be given for it.
Place It Right
Will customers be willing to pay more at a convenience store or a high end shopping mall? The answer is obvious.
It is proven that customers are okay with paying higher prices as long as the context of it justifies the price. If the very same thing at the very same price is placed at a small town store then customers would never want to pay the high price.
This may be very silly in terms of theory but the effect of it has been proven.
Prices that tend to contain a lot of syllables are perceived to be higher by customers. For example, $1,455.00 seems like a big figure, far bigger than just $1455.
Even though the amount is same the effect differs and this affects the purchasing decision. It is therefore recommended that businesses keep prices simple and less fancy.
Our profit creation system has been proven to increase the amount you can charge fairly and transparently to your prospects