Robert Cialdini, a professor of psychology and marketing, lays out six ways you can get people to say yes. These principles are:
- Commitment & Consistency
- Social Proof
There are four ways to support a price on something of value:
- replacement cost: “How much would it cost to replace?”
- market comparison: “How much are other things like this selling for?”
- discounted cash flow/net present value: “How much is it worth if it can bring in money over time?”
- value comparison: “Who is this particularly valuable to?”
Value Comparison is typically the optimal way to price your offer, since the value of an offer to a specific group can be quite high, resulting in a much better price.
Apply these 3 simple technique to get more customers:
- Labor = Love (Ikea Effect): the more time or work we put into something, the more valuable it becomes for us
- Consistency counts (turn the small sign to the big sign): it is much easier to use the past behaviour and previous experiences into something bigger rather than having a big ask upfront
- We avoid cognitive dissonance (Aesop’s Fable – Fox and grape hanging from the vine): if it is too hard to reach, it must be bad and we don’t like it
In the nutshell, there are 3 phases:
- Problem: figure out what their real problem is, not just your assumptions
- Solutions: figure out how they are solving that problem today
- Minimum Viable Product: show them product that is 10 times better, faster and/or cheaper
A great article by Niel Patel
- Positioning Yourself as a Rare Commodity
- Gain Control Over Supply
- Your Schedule
- Your Position
- Manufacture Demand
- Begin with Evangelists
- Tell Them What to Share
- Plant Seeds
- Water the Seeds
- Allow the Seeds to Germinate
- Never forget Lesson #1
Supply and Demand:
P – price
Q – quantity of good
S – supply
D – demand
The four basic laws of supply and demand are:
- If demand increases and supply remains unchanged, then it leads to higher equilibrium price and higher quantity.
- If demand decreases and supply remains unchanged, then it leads to lower equilibrium price and lower quantity.
- If supply increases and demand remains unchanged, then it leads to lower equilibrium price and higher quantity.
- If supply decreases and demand remains unchanged, then it leads to higher equilibrium price and lower quantity.