Monday, 8 August 2016

Psychology, Sales and the SMstudy Guide

Could a beer seller’s story about their purple wisteria saving the day help you?
When the story is an example of using psychology and emotion-driven sales, it can and probably should. London Pride accomplished this with their advertisement featuring a uniquely ancient wisteria plant: “The purple genus has been steadily scaling our brewery walls since 1816. It’s the oldest in England.”  It seems the Brits value their past, their national pride and their wisteria.
“London Pride beer uses emotion-driven marketing … that hooks the reader with a memorable story about something Londoners are familiar with and proud of,” says Kath Pay in Leveraging Psychology in Digital Marketing.
A Guide to the SMstudy® Sales and Marketing Body of Knowledge (SMstudy® Guide), makes a similar point: “The most popular blogs choose topics that are of interest to a large community. Successful blogs have something interesting, useful, or creative to share, and do that sharing with an engaging style.”
How does one leverage psychology in his or her marketing efforts? SMstudy® Guide’s book Marketing Strategy explains one of the ways: “Psychographic segmentation is primarily used for consumer markets and involves segmenting buyers along one or more psychological variables including, but not limited to, the following—Attitude, Personality, Values, Fears, Lifestyle, and Life stage (e.g., early childhood, youth, young adult, newly married, married with young children, married with teens, empty nester, elderly and retired).” This type of segmentation begins the process of researching and analyzing a target market’s psychological profile.
“To make the path to conversion clear, you must understand the psychological cues that prompt action, and then consider the entire customer journey, using both implicit and explicit directional cues,” says Pay.
How can you find the cues that prompt consumer actions? The SMstudy® Guide helps here, too, suggesting the use of behavioral segmentation and explaining, “There are five variables that can be used for behavioral segmentation.”
Needs: Users are segmented on the basis of their needs related to a product. Here it is important to understand the users’ category and brand purchasing motives, their value systems and their perceptions in order to draw a composite image of each user and his or her needs.
Consumption Behavior: Purchasers may not be the direct consumers or may not be the only consumers for a variety of products. Therefore, consumption patterns for these products should be considered separately.
Purchase Behavior: Users are segmented on the basis of their purchasing patterns. Some of the patterns are non-user, potential user, first-time user, one-time user (also referred to as “one and done purchasing”), repeat user, former user, product/brand loyalty-based user and early adopter.
Communication Behavior: Users are segmented on the basis of how much they communicate about the product with others before, during and after purchasing. In this respect, opinion leaders are particularly influential as they are knowledgeable about, or are regular users of, particular products; are very vocal about their views regarding such products; and command the attention of other potential customers. In addition to examining how these users communicate, it is also important to understand how they prefer to receive communication. For example, what types of media do they consume?
Consumer Purchasing Roles: Consumers can be categorized based on their roles in the purchasing process. Individuals take on one, several or all of the following roles in the purchasing process: initiator, influencer, decider, buyer and user. When segmenting based on consumer purchasing roles, businesses will often target influencers rather than buyers in an effort to connect with those with the most influence on the purchasing behavior of the group.
Looking at the traits that put consumers in each of these categories provides cues to their motivations and the directions those motivations will lead them.
Using some practical suggestions from can help leverage psychology and make people think that buying from you is a good idea. Cheers.

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