Understand This Human Behavior To Boost Sales

human behavior

What’s up ? This is THE stephane ANDRE !!! I watched an Olivier Roland’s video  and I learned some good stuff.

There is human bias that needs to get around to get your company up to the next level. What’s interesting with marketing is that it exposes human behavior. Marketing allows us to understand good and bad human behavior

Lazy

This one of the most common human misbehavior. Take the example of a registration page for online training. There are 200 prospects interested in this training who gave you their emails to know the start date.

You divide the prospects into 2 groups, group A and B. For group A (100 prospects), you ask them to write their first names and emails and click on the OK button in the form to register. For group B (100 prospects), their first names and emails are already pre-filled in the form, just check the information and click on the OK button. In group B, there will be about 10% more registration compared to group A.

Which means that in group A, there are about 10% of prospects who don’t have enough energy or motivaton to write their first names and emails in the form.

Honest

honesty

This is one of the most common good human behaviors. Take the example of a guarantee of 30 days without conditions satisfied or refunded. Technically, there are plenty of people who could benefit from this guarantee by saying : « I’ll use this product for 29 days and I’ll ask for a refund ». Of course, there are people who do that, but it’s always surprising to see that it’s a small minority. It’s something nice to see.

Psychology

Unfortunately, there are limits in honesty and it’s necessary to understand some human bias to have a good company. Otherwise your company is in jeopardy.

In a detective tv show, there is a perone who is looking for the best detective for his problem. The hero of this tv show is a detective.

The person sees the hero and says : « I did some research and you’re the best in your field ».

The tell him : « You did some research, but what exactly did you do ? ».

The person answers : « It’s simple, I went to see all your competitors, I asked them who was the best detective and they all said it was them. Then I asked them who was the best second detective after them and they said it was you, that’s why I realized you were the best ».

Did you see the human bias in this example ? When you ask a pro who is the best, he’ll answer you : « Me ! ». The pro does this because he wants to sell, he has his personal pride and maybe he really believes he’s the number 1 compared to others.

Which shows that it’s difficult to have the most objective answer possible with this question. By understanding this human bias, you can use a question that gets around that. This question is : « Okay, it’s obvious you’re the best but who’s second best after you ? ». In the majority of cases, the answer is objective.

Price

price

Let’s take another example. An entrepreneur conducts a survey with his prospects to determine the selling price of a product. The question is : « What is the price you would pay to buy this product ? ». If you ask your prospects how they want to help them, they’ll be honest but when you talk about the selling price, it become complicated. When you ask the question about the selling price, they will always tell you a lower price compared to the price they could pay.

There are 2 reasons :

  1. When a person ansers this question, she thinks : « If I tell him I’m willing to pay 100 dollars, he’ll sell it to me at $100. So, I’ll tell him $50 like that it will be cheaper ». It’s a behavior that all human beings do (me and you included).

  2. There are people who don’t know how much they would be willing to pay because they can’t see the product. When they see the product and see what it can improve in their life, they’ll decide whether to buy it or not.

To solve the problem of the 1st reason, ask the question this way : « As you’re one of the people who helped me to create this product, you’ll have a special price, but what do you think the price is that the rest of the world should pay ? ». With this question, the prospect knows that he is going to have a special price so he can give a more objective answer.

To solve the problem of the 2nd reason, there is only one way. It’s showing the product to prospects.

When you do a survey to prospects for the sale price, it’s very important that prospects understand that they’re going to have a special price. Ask the questions : « What price would you pay to buy this product ? » and «  As you’re one of the people who helped me to create this product, you’ll have a special price. But what do you think the price is that the rest of the world should pay ». You will be surprised by the different answers you will have. Test it !

Obviously, it’s not only with this question that you will determine your selling price, it will be just a clue. It’s very useful to understand human psychology otherwise you risk choosing a selling price really too low that should be and earn really less money.

Subscribe to my newsletter and share this article if you think it can help someone you know. Thank you.

-Steph

P.S. If you’re in Miami and you like Caribbean food, go to my cousin’s bistro to eat Haitian food, click here.

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Work Effectively And Earn More (Part1)

work effectively

I watched an Olivier Roland’s video  and I learned good stuff.

Everyone wants to work more efficiently to save time and make more money. There are 2 books to learn how to do this and I’m going to do a synthesis of 2. Maybe you already know theses 2 books, it’s « 4 Hours Workweek  » by Tim Ferriss  and « The One Minute Millionaire » by Mark Victor and Robert Allen.

Before you start, it’s important that you know that there is a special relationship between time and money. The idea is to better manage your time in your day to make your money work for you and make more money. There are several actions to put in place to do this and these actions based on 3 laws :

  • Leverage – Leverage gives you the speed to reach your goals faster. With a lever, you can control several elements. There are 5 types of leverage in 5 forms. We’ll see this in detail.

  • Pareto’s law.

  • Parkinson’s law

Lever

lever effect leverage

Let’s start with the leverage and its different points of support. There is a very interesting quote from Archimedes :

« Give me a place to stand, and a lever long enough and I will move the world »

Leverage allows you to reach your financial goals more easily and quickly. The higher the fulcrum is, the higher you can go up and far.

5 points of support

Money from others

Very useful in the real estate because the money of the banks and the tenant can allow you to have an additional income and a heritage. This heritage is largely financed by the money of others.

Skills of others

By meeting professionals who have more experience than you and mentors on your professional field, you can follow their examples. This allow you to access years of knowledge in a very short time, and avoid making mistakes that can cost you a lot of money and waste a lot of time.

Ideas of others

Find a partner who is willing to share ideas. For example to create your business instead of reinventing the wheel, you can join a franchise network to use and implement a business model that has been proven.

Time of others

Use the skills of someone who has more experience than you, by this way you can save. Delegate tasks.

Work of others

Support a team that is capable to manage things for you without you need to give last minutes instructions. Create a team with a list of instructions so that they are as autonomous as possible.

5 forms of support points

 

Mentors

Mentors are an incredible source of information. Select the people who inspire you from the people who have succeeded in the field you want to master.

Team

It’s known to many we can accomplish more than alone. A team makes it possible to work in synergy and to find solutions more quickly. Find people who have the same values as you and who have complementary skills.

One of the best example of a successful team is the team Steve Wozniak and Steve Jobs who together created Apple. Steve Wozniak is a computer genius, he created the first Apple computer, the Apple 1 and he largely created the Apple 2 that made the success of Apple. Steve Wozniak is a very nice person but at the time, he didn’t have the skills to sell these computers. Steve Jobs was a sales genius but he didn’t have the skills to create these computers.

Steve Wozniak and Steve Jobs separately have never been able to create something as impressive as Apple, the association of these 2 people who shared the same values and the desire to offer people computers easier to use have marked the history of computer with Apple.

Networks

The more professional relationships you have, the greater the leverage will be. Grow your network in the areas where you want to share and work.

Skills and tools

Having essential tools to reach the goal and mastering the operation of theses tools increase success. Skills to master are the power of persuasion, rhetoric and humor.

Systems

Using a good system increases the chances of success. To make money, there are millions of systems (there are so many on internet). The perfect system has 5 characteristics :

  1. No need to liquidity

  2. No risk or little

  3. Require no time

  4. Require no management

  5. Require little effort

The truth is that is very, very, very difficult to find an investment system that has these 5 characteristics, but you have to try to get as close as possible to work less and earn more money.

Pareto’s law

pareto law 20 80

Parkinson’s law or the 20/80’s law discovered by the economist and sociologist Vilfredo Pareto. This principle explains that 20% of the countries of the world share 80% of the wealth and that within these countries 20% of the people share 80% of the wealth. Here is the basis of this principle : « 80% of effects come from 20% of the causes », which means that a minimum of causes create a maximum of effects. Always try to identify in your actions or in your company, the 20% of actions which bring 80% of results.

Parkinson’s law

parkinson law time effort

Parkinson’s law discovered by historian and essayist Cyril Northcote Parkinson. This principle explain that the work extends so as to occupy the time available for the completion of a task. For example, if you put 2 hours to do a task that can be done in 1 hour, you still go for 2 hours. To have more time, we must force ourselves to have less. The basis of this principle is to do a task at 50% or 75% of the recommended time to do it.

In this section, we saw leverage, Pareto’s law and Parkinson’s law. In the 2nd part, we’ll see the 5 actions to be effective and the 4 actions to make more money.

Share this article if you think it can help someone you know. Thank you.

-Steph

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Boost Your Marketing Based On Science (Part 3)

tate tougue bitter sour sweet salty

I watched an Olivier Roland’s video and I learned good stuff.

Click if you didn’t read Part 1  and Part 2 .

Taste

Taste is a bit of an amalgam of 5 senses because it’s necessary to use 5 senses to have the full sensation of taste in the brain. It’s enough that it misses 1-2 senses so that the flavor modified. When a brand works to be recognized by several senses, it improves the credibility and the memorization of the brand.

An effective sensory marketing is based on the coherence of the senses to increase the positive evaluation of products, stores and visiting intentions. This multisensory experience increases the probability of creating strong and lasting emotional connection with the consumer.

Cognitive ergonomics, pricing, distribution and sales

cognitive ergonomics

Rules of innovation, presentation product/service and a good selling price increases the turnover and improves a brand’s perceptions. Consumers spend more time in a store when the place is thematized, theatrical or with a sensory experience.

Creating nice design for the brain helps a product to succeed in a market. Certain specific packaging’s elements attract the attention and interest of the brain. Imaging and iconography provike emotional evocation, color awakens somatic makers, writing gives meaning to the product and the brand gives the product qualities linked to its essence.

The preception and the price of a product/service by the brain have important consequences on the amount of purchases. An inapproritate price compared to consumers perception on the price-quality ratio can cancel a sale. A consumer refuses to pay for an expensive product if the quality seems low. With a price too low, a consumer thinks that the quality is bad.

The psychological price, which is the price that a consumer is willing to pay to buy a product/service, is the fundamental basis for the price policy.

Pay creates an impression of pain in the brain and there are several solutions to decrease or avoid this feeling : payment term, credit, deferred payment, product/service presentation like Premium, billing per month rather than per hour, price below a fixed price ($ 299.99 instead of $ 300.00).

When stores are thematized, theatrical or with a sensory experience, it increases the presence time of consumers as well as the interest. The result is an increase in turnover and an improvement in the brand perception of the store.

Subliminal relationship

subliminal messages

Since antiquity, communication has used many subliminal techniques to be more persuasive. Subliminal communication target directly the brain’s subconscious. Ads is still based on Aristote’s rhetoric method to improve credibility and Cicero. Here are Ciceron’s recommendations  : It’s necessary to prove the truth of what you say, it’s Logos. To reconcile the benevolence of the listeners by using the Ethos and to awaken in them all the emotions useful to the cause with Pathos.

  • Logos

    This corresponds to the choice of logical and rational messages. Theses messages show indisputable arguments about the quality of the product/service on an innovation that other brands don’t have.

  • Ethos

    This is to give confidence or seduce consumers.

  • Pathos

    It’s about message based on emotions.

Communications can be based on hedonism to look for inner well-being or joy like luxury or sex. To trigger strong emotions and enter in the memory, messages can be violent as for example advertisements on the road safety.

Subliminal communication target directly the brain’s subconscious, bypassing the barrier of reasoning. Even though subliminal communication is prohibited in some countries, many methods are allowed and used in advertising.

Advertising entertainment is an advertising based on the spectacular using humor or art with the harmony’s rules like Golden Ratio , Vitruvian Man , eroticism, etc.

Brands works with emotions to influence the consumers brain to make purchase. Consumer’s brain is attracted by brands whose history is reminiscent of known myths memorized in the unconscious (copy by somatic markers).

Brands need to create a story, an original epic that can be told in the community and be told for several generations.

Community and social networks

community

Community and social networks influence the consumer’s individual consciousness, which make it a collective consciousness. A consumer has access to a huge amount of information from different sources in real time. This information comes from all over the planet. This access to information allows the consumer to make comparisons before buying. With interactivity, a consumer becomes a neuro-consumer-actor. We’re living the creations of a new behaviororal generation of neuro-consumer multiprogrammed, it means people who consult several media at the same time.

We’re slowly entering a world where zapping replaces logic and reflection. A world where people prefer sequential information based on emotion rather than linear information based on conceptual reasoning.

Several factors influence the purchasing behavior : free economy, uberisation or participative economy of purchases, return of auctions, the wait of the proposal of purchases of the last minute, used to choose from several references as with Amazon (70 millions products), geolocalisation use of different sales channels (social networks, internet, smartphone, etc).

There are methods to meet these new expectations, permission marketing and digital marketing desire.

  • Permission marketing

    Permission marketing allows communication only with prospects who have given their agreements.

  • Desire digital marketing

    The digital marketing of desire is based on quality content and the pratice of « one-to-one ». « One-to-one » is the creation of a personalized relationship with each consumer and to develop this relationship.

Consumers saturated by the advertising of digital marketing gives a very limited confidence to the brands coming from traditional communication. They prefer to seek advice from people who have already tested the brand, product or service.

Use a viral marketing, buzz or word of mouth to spread positive communication on social networks across communities can seriously increase sales. This viral marketing, buzz or word of mouth is based on the oldest media in the world : the rumor. With the development of internet (website, blog and social networks), recommendation becomes more important than the communication.

Share this article if you think it can help someone you know. Thank you.

-Steph

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Being An Entrepreneur Is Being A Student

entrepreneur student entrepreneurship

I watched an Olivier Roland’s video  and I learned good stuff.

I see a lot of entrepreneurs make this mistake. They create their companies based only on their technical skills. A good baker who create his/her own company is a excellent start but we must not forget the second part of the equation. When you create a company, you need to learn a second job, entrepreneur (CEO and manager).

Technical skills aren’t the same as the entrepreneur’s skills. A person can be very good technically in his/her job and bad as an entrepreneur. It’s important to spend time learning entreprenarial skills needed to avoid bankruptcy.

To be seriously trained as an entrepreneur is important. I think in your country there are mandatory training course for business start-up. Unfortunately, these courses last only a few days and it’s not enough.

It’s true that it’s complicated because there are no good academic trainings on entrepreneurship. By example successful business rate created by business school students is about 10 %.

Books

book

I think it’s possible to train ourselves at the core of entrepreunarial skills with books. The Personal MBA’s list  is a good start.

Did you see, the list is long. I advise to read these 3 books to start more easily.

« The 4 Hours Workweek » is a way of seeing entrepreneurship in another way. This book breaks the codes and allows you to have a more open mind to have more opportunity.

The Personal MBA is a summary of the essentials of what you need to know to build your company. The book is excellent but the problem is that it lacks coherence, which makes is a bit difficult to imagine how to use these concepts in your company. But don’t worry because with this book you’ll have the theoretical knowledge that 90 % of entrepreneur don’t have.

« The Ultimate Sales Machine » explains how to set up an effective system for sale in your company.

With books, you can have acces to the best brains for cheap, it’s cool.

Meet others entrepreneurs

meet people

To create opportunities for you, I advise you to meet creation of company’s organizations in your city.

The ideal is to make a combination of books, training (online and offline) and meet entrepreneurs. It’s a mix of theory and execution. You know, you can have all the theory of the world, if you don’t act, you will not able to change things. This is why that it’s motivating to meet entrepreneurs, precisely entrepreneurs who are more successful than you so that you can always remain motivated despite obstacles.

It’s like in sport, all athletes want to become world champion or Olympic champion. Having this state of mind in entrepreneurship is excellent. I hope you want to become the best in your market.

Share this article if you think it will help someone you know. Thank you.

-Steph

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The Right Time To Offer A Paid Product

paid content

I watched an Oliver Roland’s video  and I learned good stuff.

It’s necessary to think of 2 things :

  • How to find the right time to offer a paid product while usually everything is free

  • How to handle fear and criticism about a paid product while usually everything is free

The right time

the right time

The right time varies depending on the sale mode and type of product. The approach to proposing a product is different when you do a webinar, a product launch  or a sales page.

The easiest way to sell a product is to make a sales page because you don’t need to worry about the minimum subscribers number to have in your mailing list.

What is extremely important to understand is that you need to stop being obsessed by the number of subscribers on your social media (Facebook, Twitter, Instagram, Snapchat, Youtube, etc.) because it has not value. Let’s me explain, what is really important is the subscribers number of your mailing list (newsletters).

A lot of people have success on Youtube but unfortunately they need to stay on Youtube’s platform to keep their success. It’s really difficult to bring Youtube’s subscribers to another platform or another website. It’s even worse on Facebook because people are so used to the social media’s graphical user interface that they really have to give them an interesting reason to go elsewhere.

Survey

survey

Yes, with a survey you can attract all your social media’s subscribers to your own website. I advise you to do a survey when you reached 500 subscribers in one of your social media.

With a survey you can know :

Your audience reactvity

  • Your audience’s reactivity

  • What product wants your audience. This reduces the risk of creating an unsaleable product. The mistake entrepreneurs make is to create the product they want to do. For 1-2 years they work on it and when it’s ready, nobody wants to buy it because it doesn’t solve a problem of the audience.

When you reach 500 subscribers in one of your social media, you can say to your audience : « Hello, my friends, the community develops and it’s thanks to you. I would like to help you in a more efficient way that is why I propose you to answer a small survey where you’ll be able to tell me how I can help you to solve one of your problem ».

People who answer to this survey will show you the real reactivity of your audience. By exemple when you have 1000 subscribers, you have an average of 100-200 people responding to the survey.

The result of this survey will help you to create a product that will interest your audience.

Mailing list

Buid your mailing list (newsletters) is more important than having the maximum number of subscribers on your social media because they’re qualified potential customers. This what is make the difference between your subscribers who consume your content for entertainment and your subscribers who consume your content because it improves their lifestyle.

To build your mailing list (newsletters), offering an interesting free bonus to your audience is an effective way to collect qualified emails from people who are likely to buy your product. If you have no idea to make a bonus, you can make one by intuition and after adjust or change after conducting a survey.

eBook

By exemple if you have a Youtube channel or a Facebook Page about hamsters, by intuition you can imagine that the main problem of people is to ensure that their hamsters are well fed and long live. So you can write an eBook (digital book) like : « 5 tips for having a well-fed hamster and long live.

The concept is to offer something free in exchange for an email from someone of your audience. You really have to give something interesting so that people are : « Wow, it’s cool. I gave my email and I got it all ! ».

Criticism

criticism

I’ll be simple. All people who aren’t happy because you offer a paid product are supporters of slavery. Usually people aren’t aware of it. When you see a critic like : « It’s was great before, you offered a lot of free content and now you want to sell a product, it’s horrible ! ». What do you think ? Me I’m thinking of a person who wants me to work for him/her for free for life. And how do we name it ? A supporter of slavery.

Don’t be afraid ! You continue to give free content to your audience and in the same time your offer paid content. You don’t blackmail with your audience, your propose and people make their decision.

By having paid product that filter out people who recognize that your work deserves salary and people who are unconscious supporters of slavery.

Don’t worry, critics hurt at the beginnings but then it goes better and you gonna laugh at it.

-Steph

P.S. Smartphone apps :

To track my calories, I use MyFitnessPal 

To track my workout program, I use Jefit 

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Improve Sales

improve sales

I watched an Olivier Roland’s video  and there good stuff.

We will see a simple way and efficient to boost your company. Better than contact cold client by phone or emails.

Think about this. Contact companies that already have your customers and don’t compete with you. You offer them a partnership with you to increase sales.

Study case

case study

A personal trainer who just start his business had difficult to find clients. The tips is to find companies that have the same type of client but they’re not competitors to make partnerships.

This personal trainer spend 2 hours to identify his client types.

The client type majority of the personal trainer was a woman, 30-40 years old with an university degree who doesn’t have time to make play sports, who doesn’t have the discipline to do it and who need someone who comes home for motivation and training.

Now, which companies have the same client type ? After having searched, the personnal trainer found it, it’s estheticians, beauty institutes, etc.

So the personal trainer went to see estheticians and beauty institutes and say them : « Your clients come here to be more beautiful and have a better look. Me, I can help them to have a better better physique, better health and be more happy ».

One week later, he had more clients that he could handle. This was a quick start.

How

how to

You have several ways to do this. First, you determine your client type. If you don’t have your business yet, you can make your client type’s hypothesis to start and adjusting after. It’s important, everything is based ont the client type.

Then you identify companies that have the same client type as you.

And action ! You will offer several things to these companies :

  • You can leave them your visit cards, flyers, etc.

  • You can ask them to actively promote your services with a commission

  • You can offer something for free to their clients as a free eBook « 7 tips to…. » in exchange of customers emails to send them the eBook.

There are other ways of making partnerships but they are good to start. There are people who will be afraid to do this but it’s worth for your company.

What is your client type ? Which companies have the same client type as you ?

-Steph

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Dramatic Mistakes

dramatic mistake

I watched an Olivier Roland’s video  and there is good stuff.

Usually beginner entrepreneurs make 3 dramatic mistakes.

Don’t be focused on sales

sales

When we run a company, the most important thing to do is make sales. Find first customers as soon as possible to have enough sales to achieve breakeven. Breakeven is the moment where we earn enough money to pay salaries, rent, internet bills, etc. One this step is done, work hard to have profit every months. This is the first priority when we create a company, achieve breakeven as soon as possible.

A lot of entrepreneurs are focused on others things less important like choose furniture, think about website’s design, think about visit card’s design. These things are useful but they are not a priority, they are really useful when you don’t have customers, right ? At the beginning, it’s 80 % of your time to find and convince customers.

If you are too shy to speak to someone, you can use social media. Now, a lot of introverted have millions of customers with social media, it’s cool.

Not outsource accounting

accounting

Beginner entrepreneurs spend too much time to accounting thinking save money. It’s a dramatic mistake because this distraction prevent them to make sales. Accounting is complex and complicated and if you make a mistake, this can have a huge bad result with accounting, tax and legal. It’s better to have a good accountant and it’s not expensive. When we begin a company, we can negotiate. Outsource accounting is in the budget.

Not make recurring offers

recurring offer

There is a difference between smart entrepreneurs and others. Smart entrepreneurs don’t try to sell one time to a customer, they make recurring offers to develop customer’s loyalty. It’s possible to do this with physical products with a subscription or a maintenance contract for 6 months or 1 year.

Do you know others dramatic mistakes make by beginner entrepreneurs ?

-Steph

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