Think big - part II: Business driven by fear

Some time ago, I started writing about factors that bring success in business. You can read the first article here

Today, I dare you to speak about fear! In modern age, we sometimes call it stress, maybe because simply fear is too basic, a feeling that is raw and has nothing elevating in it.

Looking over the LinkedIn posts, most of them value a constructive approach, a positive and client oriented business mindset. But to understand how things really work in the mind of any individual, you need to go to the basics, the raw feelings I was mentioning earlier.

Have you ever wondered why customers decide to buy your product instead of going to the competition? I'm sure this is the question that lurks in your entrepreneur mind at all times. Maybe even when you're asleep :) . Yes, it can be a really good marketing strategy - like product quality, price, positioning and awesomely executed promotions - the 4P's as professionals call the marketing mix.

Let's shift for a second the scientific area from economics to psychology. In a case study we conducted at A2Z.Garage some interesting conclusions emerged - in certain cases customers are willing to pay more to have a super-car on the spot, immediately, rather than waiting for a few months. This applies for the latest models, the "hot new entries" like Lamborghini Urus was two years ago or the latest Ferrari Roma. While the topic is more complex from the financial and economic perspective, the question from the psychological point of view is:

Why are customers willing pay more to have the latest super-car now?

The customer profile for a high-end car is very interesting - we are talking about individuals who have reached a 6 figure life standard, have at least one other super-car in their collection and are generally interested in satisfying needs located towards the top of the Maslow pyramid - recognition in the high-society circles, fame. Coming back to the question - let's try a potential debate on the answer.

Could it be the fear of not being left-behind and not being the first one to own the latest gadget on the market?

You can, of course, notice the correlation between fear and the negativity of the message itself.

Going further, towards the main-stream products - the potential outbreak of the coronavirus infections had led to record sales for supermarkets. While the regular flu affects thousands yearly, the panic created around this new (apparently a bit more aggressive) virus has led to increase of business for certain segments - retail, pharma, medical supplies producers, basic consumer goods.

Food for thought - what is the thing your customers fear most in your industry? Are you a teacher and you can "play" with the parents' worries that their kids will not receive the best education? Or maybe you are a farmer and your bio-products sell extremely well because consumers are afraid for their health on the long term.

Although this sounds very cynical (and even against my own way of doing business), ask yourself this:

How can you exploit the fears and demons of your (potential) customers to sell more?