SALES Techniques - How To Convince A Customer To Buy From You

Summary

The video script introduces 'The 3 Boxes' sales technique, advocating for offering customers three distinct product or service options to influence their purchasing decisions. By presenting a low, medium, and high-tier choice, customers are drawn to the middle option, which is strategically designed to be the most compelling. This approach, known as contrast pricing, uses the high-end option as a decoy to make the middle choice seem more attractive, while the low-end serves to anchor the value of the middle option. The technique aims to guide customers towards the seller's desired sale while making them feel they are making an independent choice.

Takeaways

• 💡 The '3 Boxes' strategy is a sales technique that encourages customers to make a purchase by offering them multiple choices.
• 🔑 When customers are given only one option, they tend to focus on whether to buy or not, which often leads to a focus on price.
• 📈 Providing two choices shifts the customer's focus from 'whether to buy' to 'which one to buy', with most opting for the smaller or safer option.
• 🍿 The example of movie theater popcorn sizes illustrates how introducing a third, larger size can influence customers to choose the middle-sized option.
• 💼 The strategy suggests offering a small, unappealing option, a middle option that is compelling, and a large, high-priced option that acts as a decoy.
• 💰 The middle option should be the most attractive, offering the best value and features, aiming to be the primary choice for customers.
• 📊 Contrast pricing is used to make the middle option more appealing by comparison to the other two less desirable options.
• 🚫 Offering too many choices, such as four, can lead to confusion and may reduce the effectiveness of the strategy.
• 💭 The goal is to make customers feel they are making a choice, even though the options are designed to guide them towards the middle option.
• 🌟 The technique is about creating a perception of value and choice, rather than simply focusing on price or features alone.

Q & A

What is the main sales technique discussed in the script?

The main sales technique discussed is 'The 3 Boxes' strategy, which involves offering customers a choice between three different options for a product or service.

How does the 'The 3 Boxes' strategy influence customer decision-making?

The 'The 3 Boxes' strategy shifts the customer's focus from whether to buy to which option to choose, creating a perception of choice and control over their decision.

Why is it suggested to offer three options instead of just two?

Offering three options introduces a 'contrast pricing' effect, where the middle option becomes more compelling due to the presence of a lower and a higher-priced option.

What is the psychological impact of providing a 'jumbo' option in the 3 Boxes strategy?

The 'jumbo' option serves as a decoy, making the middle option seem more reasonable and attractive by comparison, even though it's not expected to be the primary seller.

How does the script suggest businesses price their offerings using the 3 Boxes strategy?

Businesses should price their offerings with a low, middle, and high tier, where the middle tier is the most compelling and is the one they actually want to sell.

What role does the 'small' option play in the 3 Boxes strategy?

The 'small' option acts as an anchor, making the middle option seem like a better value and encouraging customers to avoid the cheapest option.

Why is it not recommended to offer more than three choices according to the script?

Offering more than three choices can lead to decision paralysis and confusion for the customer, reducing the effectiveness of the strategy.

Can you provide an example from the script where the 3 Boxes strategy is used?

An example given is a car wash service offering three options: a basic exterior wash, a mid-tier wash with additional interior cleaning, and a premium detailing service.

How does the script suggest businesses structure the features and benefits of their offerings in the 3 Boxes strategy?

The script suggests that businesses should offer fewer features and benefits in the lowest tier and more in the middle tier, making the middle option the most attractive.

What is the purpose of the 'decoy' option in the 3 Boxes strategy?

The 'decoy' option is designed to make the other options, particularly the middle one, seem more appealing by comparison, even though it's not expected to be a major seller.

How does the script define 'contrast pricing' in the context of the 3 Boxes strategy?

Contrast pricing is the strategy of setting up the pricing of different options in such a way that they influence each other, making the middle option seem like the best value.