People are highly complex and often mysterious, so we all struggle to understand our fellow humans. However, there are a few basic psychological tidbits that can help you when interacting with your next customer.
- People justify decisions with facts.
Example: a man sees an advertisement with a photo of a sports car and instantly falls in love. However, he can’t bring himself to buy the car based on a feeling, so he reads the copy for technical details about the powerful engine, safety features, and low maintenance.
He wants the car because it makes him feel good. But he buys it only when he can justify the purchase rationally.
Financing Tip: Help the customer justify a large order by showing them how and investment in their business is affordable with payment options that fit within their budget.
- People are egocentric.
The word “egocentric” means centered around the ego or self. We all see the world in terms of how it relates to us personally. So when you ask someone to do something, it must also answer the unspoken question, “What’s in it for me?”
Financing Tip: Show the customer what is in it for them. With financing they now have more payment options that can be customized to fit their budget.
- You can’t force people to do anything.
When people buy, it’s not because you wield some magical power over them.
You can urge. You can push. You can entice. But ultimately, people do what they want to do. This means your job is to show how what you’re offering meets your prospect’s needs.
Financing Tip: Meet your prospects need for affordability without underselling your business. Offering financing increases customers’ buying power and encourages them to buy more and repeat purchases in the future.
- People are naturally suspicious.
It’s true that there’s a sucker born every minute, but most people are moderately skeptical of any offer. They seek to avoid risk.
You can never predict the level of suspicion any particular person has, so it’s usually best to back up all claims with evidence, such as testimonials, survey results, authoritative endorsements, test results, and scientific data.
Financing Tip: Instead of struggling to answer financing questions… send the customers to us, let us handle their questions and skepticism about financing.
- People are always looking for something.
Love. Wealth. Glory. Comfort. Safety. People are naturally dissatisfied and spend their lives searching for intangibles.
At its simplest, it is a matter of showing people how a particular product, service, or cause fulfills one or more of their needs.
Financing Tip: Help customers keep their money where it belongs, in their pocket. Offering financing lets customers pay over time without draining the wallet.