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Saturday, September 15, 2012

A way to get what you want


I want to get things done. How can I go about to achieve that?

Think about this situation for a moment.

  Imagine that you are the owner of a mobile company.  You are selling a mobile for Rs 15,000 (Model M), and a lower end model for Rs 8000 (Model L). Both the models have comparable features, but of course there are more limitations on the lower model.

  The sale of Model L (Low-end) is very steady, but the sale of is M (Mid-Level) is dipping every quarter. What is the best way to boost the sale of the Mid-Level model?  The answer might be surprising but it is a very effective one.

   The answer is to introduce a new comparable high end Model (Model H) for say Rs 19000. A high end product will probably meet needs of only small portion of the market, and there for you will make lower sales. But introduction of a high end model serves a greater purpose; a high end product actually increases the sales of a mid-level product. (Model  M)

How does this happen?

     Two weeks ago, my father lost his mobile, and we went to a showroom to buy a new one. The sales man immediately showed us three mobiles of same brand with comparable features. Just like the three models above.

High end -Model  H for Rs.19000
Mid-Level- Model M for Rs.15000
Lower end -Model L for Rs.8500

Now what do you think we chose? As any average customer, we chose the mid-level model M considering a compromise between cost and quality. What if there was no Model H, the high end model? There is a good chance that we would have gone for the Model L instead of Model M in the absence of Model H.

 Most of the average consumers arrive at a decision after prolonged comparison with next higher model and the next lower model. Most of us will choose the middle one as a compromise on cost and quality.  There might be a few who are inclined more towards the cost attribute, they will probably buy the lower model and those who are obsessed with quality will go on to pay for the higher end model. 

  Knowing that the average customer will go for the mid-level product, a good strategy can define what your mid-level model is. And you can sell more of what you actually want to sell.
  
  Having a high end product actually boosts sale of a middle or lower end product because of the price difference.  The lesson here is not to stop selling your high end premium product just because you are not making enough sales. If you drop that of your product list, you might end up going further down in sales by losing business on your mid-level product as well.

 
So what's in it for me? I'm not a mobile seller.

  A Very straightforward and often used every day tactic is behind all this. Unconsciously, we use it to get our things done. Awareness of this technique can help us to create a plans to get what you want in tough situations.

   If you want to get something done, construct a set of alternatives around your favorite option, a better one and not so appealing one. With two new options covering your favorite option, the chances of getting your favorite option increases multifold in comparison with just asking for what you want.

  You might not end up with what you were looking for all the time. But at least close enough most of the time.

Reference: Yes! ( Authors: N.J Goldstein, S.J Martin, R.B.Cialdini)



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