12 December 2007

What You Can Gain from Loss

There's nothing better than getting it straight from the source. As part of the publiation of his new book Yes! 50 Secrets from the Science of Persuasion, Dr. Cialdini is releasing a series of mini-podcasts. I think this one is the best of the three that are out there so far.

Why?

Because it concisely explains the power of scarcity, starting from Amos Tversky's Nobel Prize-winning research into risk aversion to the ethical use of loss language as an influence tactic.

Participants in my workshops may fight me on this one, but the science has proven over and over that if you use it wisely, scarcity is power. It's deceptively simple, but often overlooked. So if your success depends on your ability to influence, can you really afford not to understand how the principle of scarcity works?

Accentuating the Negative?

This is a classic take on how counterintuitive thinking can garner superior results than just doing the same thing that may (or may not) have worked for others.

Here's a quotation from the article: "In this down-turned market, as more houses stay unsold for longer and longer, a decidedly small niche has emerged in residential real estate marketing: accentuating the negative. Instead of highlighting a home’s attractive features, some sellers are going straight to the bad news, advertising houses as being ugly, having sinkholes or even smelling bad, with the thought that sellers who are forthcoming about a property’s flaws may find buyers eager for a deal."

I like this article because the concept of accentuating the negatives is not only counterintuitive, but it also reminds us that in order to be credible, we must be comfortable sharing the limitations or drawbacks of our offerings.

In the science of persuasion, this means invoking the principle of Authority by revealing your weaknesses earlier on in order to enhance your believability. Being able to disclose the weaknesses (or limitations) of your offer/product/service lets your potential customers know that you are operating from a base of security. There's no denying that if your customers feel secure, they're already trusting you. And once you have trust, well, you know the rest...

Read the article here.