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Prime the pump
June 22, 2018

Our business decisions and thoughts are influenced by others

You will either gain or lose because of social proof. I visited the ATM at a bank recently, and, although there was a crowd, only two of the three machines were being used. When asked if the other machine was broken, someone said that it was not dispensing the requested amount. Although the person who made that discovery was long gone, he created apprehension in the minds of those present, deterring them from using the machine.

Studies reveal that our behaviour and thoughts are influenced especially by other people. We decide online advertising, based on a website’s analytic report, what to wear based on what’s trending, or what to order at a restaurant based on the longest line. Psychologist Robert Caildini said the actions of those around are important in deciding the answers to our uncertainties. He said social proof is the principle of influence.

It’s the same social psychology that has nudged several people, including myself, to visit businesses we had never patronized before the People’s Choice Awards; causing them to gain at their competitors’ loss. We are programmed to believe that if other people do it, that means it’s right.

Peter Yang, in an article, “Losing Customers? 6 Things You Should Do Right Now”, suggests how to deal with customers leaving your business for your competitors:

    • Look at your business and determine if any aspect of it has changed to impact sales.
    • Study your analytics to determine when your customers started leaving.
    • Know your competitors product and pricing, their package, deals and discounts, where their traffic is coming from, their marketing strategies, ad campaigns, how much they spend on advertising and how it is allocated.
    • Ask your customers for feedback.
    • Take employees thoughts into consideration.
    •  Cut back on spending until you can determine why the decline in sales and the solution.

Find what they are doing well and do it better.

Contact us today at marketing@searchlight.vc or (784) 456-1558 or (784) 494-0031. We’ll help you get noticed.

 

 

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