How smart use of influencing principles can make you a better seller
Sellers can develop effective sales tools by using classical influencing principles in a specific order, recommends Jan K. Baumann. Read how.
Professor Robert Cialdini at Arizona State University, through experimental studies among professional actors in communication, marketing and sales, identified six effective principles of influence: 1) Sympathy / to like and to be liked, 2) Authority, 3) Reciprocity, 4) Social proof, 5) Scarcity and 6) Consistency. Through his studies, Cialdini gained insight into the experiences and practices of people who live by exerting influence, influencing and selling products, ideas or messages. He gives good examples of how the principles can effectively influence individually. The effect of the principles of influence can be reinforced by using several of the principles in conjunction with an influence situation. If the principles are applied in a specific order, they can be an irresistible and effective sales tool. When we assume a sales / purchase situation, the impact will have to be adapted to the type of product / service, whether the product / service is sold in the corporate or consumer market, the customer journey and the company's customized sales process.
What influence principle should you start with?
It will depend on whether there is an existing, known customer or a new, unknown customer. A fundamental factor is the establishment and maintenance of trust as a prerequisite for influence. The customer must ideally "allow" us to influence and the seller must be confident in his behavior, manners and communication. In addition, it will depend on how simple or complex the company's product / service is perceived by the customer. It will also depend on how in-depth the customer knows about the product / service prior to contact with the seller. Does it require a thorough assessment (as Daniel Kahneman refers to system 2 thinking)? Or does it hold a brief, intuitive assessment (system 1 thinking)? Knowledge, relationship and prior knowledge are crucial to how influence should start.
Here are suggestions for a sequence that will work well in many sales situations.
1. The Principle of Sympathy - The Art of Being Liked
It is most obvious to begin with the principle of sympathy - to like and be liked and to create something in common. According to Cialdini, we easily buy from someone we like and looks like. We like to have relationships with someone we have something in common with. The prerequisite is opportunities for cooperation and common interests and goals. One challenge with regard to the principle of sympathy is to activate this through the use of enthusiasm, relevance, customer value and customer insight. We will then be able to attract the attention of customers and show commitment. At the same time, we can begin to qualify customers who may be interested in what you have to sell based on different customer profiles.
When we focus on trust-based relationship building, the customer will be able to open up to be influenced and invite the seller and his message into it. If the customer is familiar with the seller well in the past with established confidence, a faster approach to the case and the proposal can be made.
After opening up for influence, it is important to demonstrate customer insight and product knowledge in practice.
1. Authority Principle - Use your identity and credibility
The seller must be perceived as a knowledgeable expert who can document and prove that the customer is served with the customized product / service – i.e. represents real and relevant customer value. Reports, research, expert testimonials, customer references, influencers / bloggers, benchmarking can help the seller appear as an authority. The use of Cialdinis principle of authority helps to create identity, relevance and objective value, while at the same time removing any uncertainty about the offer proposal. The principle is activated by convincingly presenting objective criteria and documented information. The customer listens more credibly to an authority person - sometimes blindly and uncritically too. When the seller is perceived as an authority, it becomes easier for the customer to qualify to consider purchases. Helping, adding information and value to the customer also enables the seller to gain more insight into the customer's needs and situation.
2. The principle of reciprocity - Create a commitment for customer reciprocity
The customer will more easily feel a commitment to reciprocity when it receives something of value from the seller - so-called reciprocity. For example, if getting a gift or free product will activate the principle of reciprocity. It can also help create a felt commitment on the part of the customer to provide information about what is important to them, give specific concessions and buy / re-purchase. In a sales negotiation, it also becomes more "give and take" when this principle is activated. The negotiations can be based on an interest analysis and distribution analysis so that the parties can exchange cases and packing solutions will be easier. This helps to make customer qualification and conversion easier.
4. Social proof - What others choose
If a customer (still) experiences uncertainty about the product, it may be appropriate to activate what Cialdini calls social proof. By applying objective criteria, the seller can help to assure the customer in the forthcoming decision. Such objective criteria may be market trends, friends, colleagues and customer references. The customer often looks at what choices other customers have made in relation to the same product / service. When many others choose, use and buy something, it must be a good product. Conversion becomes easier for the seller when social proof is activated, and the customer emphasizes.
5. The Scarcity Principle - Strike before it's too late
After all, it is not always the case that customers choose something everyone else has - rather the opposite. If the customer still feels uncertain about the purchase, the seller can influence the purchase using the scarcity principle. This is enabled by the fact that there are many interested customers and that there are few products left. Or that the offer is unique or only valid for a specific, often short period. The customer thereby feels privileged and will not lose this opportunity and risk regretting that it did not strike.
6. Consistency Principle - Get the customer to commit
But wanting to buy is not the same as committing to a purchase. The consistency principle, together with attempts to close the sale, can be activated by getting the customer to make a verbal and written commitment. If the customer has accepted the seller on all terms of the trade and this is pointed out and asked to be confirmed orally, the customer will often feel obliged to sign a purchase agreement. The purchase action is then consistent with what the customer has accepted during the purchase process. A written timely purchase agreement often contributes to the longer duration of the collaboration (and the relationship between the customer and the seller.)
In summary, the order of priority in using the six principles in a sales context could be as follows:
1. Sympathy 2. Authority 3. Reciprocity 4. Social proof 5. Scarcity 6. Consistency
These six principles can then be used in contextually tailored sales processes (short and long) and sales calls tailored to customer needs along the way in a purchasing process / customer journey.
An ultimate goal in sales is to achieve loyal customer behavior such as repurchase and recommendation of the supplier to other potential customers. In order to achieve such customer behavior and make customers become ambassadors, the seller must excite and follow up the customer in a relevant and interesting way. This we often mean that the principle of sympathy (to like and to be liked) can advantageously be applied and reactivated throughout the sales process. The principles of influence can be used both sequentially and as a circuit.
References:
Cialdini, Robert B. 2011. Impact: Theory and Practice. 2nd ed. Oslo: Abstract. ISBN: 9788279353089. Pages: 338.
F?rsund, Erlend. 2020. Create results with Inbound Marketing. 2nd edition. Markeds Partner. Gr?lum.
Rognes, J?rn Kjell. 2015. Negotiations. 4th ed. Oslo: University Press. ISBN: 9788215024622 Pages: 219.
This article was written for the Knowledge Magazine Kristiania and first published April 30, 2020.