January 29, 2008

In this issue: Loss vs. Gain

by Eric Albertson

Word count: 635 (main article)

Time to read: 2-3 minutes

What works best to get action? Loss, gain, or something else?

Playing on loss or gain too transparently, at times, just seems too crude and blunt an instrument for use in professional sales and marketing. What to do?

You really don’t care, do you? 

As long as qualified people respond, and enough go the distance for you to achieve your objective of getting new and incremental business, you probably don’t care, do you? And like you, I want be proud of what I do, and how I do it.

On one hand…

Imagine that a neighbor wakes you in 3:00 A.M. in the February darkness to tell you that Home Depot is giving away a gas barbeque to the first 25 people to open a credit card account at their new location near you. You would probably think the neighbor was crazy.

On the other hand…

Imagine this same neighbor wakes you in 3:00 A.M. in the February darkness to tell you that you left your garage door open, and a couple of teenagers are wheeling your gas grill out of your garage. You might thank the caller, dial 911, or grab a baseball bat and head for the garage.

Same gas grill; different feelings

The physical feeling of loss is dramatically different from the pull of potential gain. This is how your targets feel. Use it carefully.

OK, so you made your point

The psychologists tell us that fear of loss motivates action roughly two-to- three times more effectively than hope for gain. But at what price?

Is there an option for elegance and grace?

I hope so. Here is the structure of some possibilities:

  • “I work with (target market) who are ready to be done with (some high probability of pain for the target market), and get on with (goal or aspiration).”
  • “I help (target market) people who want (goal) without (target market pain) as a downside.”
  • We help (target market) fix (cure, reduce, avoid, remove, stop, etc.) their (high-probability pain for the target market) and get (whatever it is that is desired).
  • We help (target market) improve (measurable element) by (percent, dollars, etc.) within (some specific time frame).
  • We help (target) who aren’t actually in (some market pain) but who just need (type of help) to achieve (some aspiration).

And here are some examples that use the structure above:

  • “I work with manufacturers representatives who are ready to be done with disloyal suppliers and get on with building success with a few lucrative & loyal suppliers.
  • “I help medium-sized city governments who want to have a better relationship with developers, without getting taken advantage of, as a downside.”
  • We help supply-chain software companies reduce their low premium service renewal rates and get the bottom line profit growth that Wall Street requires.
  • We help chief financial officers improve return on equity by five percent to 15 percent, within 18 months.
  • We help small business owners who aren’t actually in financial trouble, but who just need cash flow help to achieve the business growth that they know is possible.

You are on to me by now

The trick here is to just use both the problem and the outcome or the pain and aspiration together, without jumping up and down hard on the pain. Consider using the structures above as a starting point for your own efforts.

Testing is the real key

Whatever message you decide to use must be tested. Always build two messages (elevator speeches) and run a test. Use one at least 25 – 100 times in a row and record the results. Then try the other on as similar an audience as possible. You may be surprised that the one you like wasn’t the one that performed the best. More on testing, later.

Cheers, 

sig


PS: I am about to release the second edition of Elevator Speech, the step-by-step guide to writing a brilliant elevator speech. The first version sold over 20,000 copies, qualifying it for best-seller status on anybody’s list, from what I can see.  If you wish to be notified when the new elevator speech e-Book is available send me your email and name using the form below and I will contact you as soon as it is available. The price will be $47. The second edition will include all sorts of delightful surprises to help you create a message that get’s people to say, “Tell me more.”

Email*
First Name
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The second version of Elevator Speech will also be available in a printed version, and in an audio version, sometime during the first half of 2008.

PPS: Got a question about succeeding in business that you want answered? Drop me an email with your question at eric@succeedinginbusiness.com. Each week, I’ll select one question to answer in the postscript area of the newsletter. If I pick your question to answer, I’ll send you the book of your choice from my catalog, and you will get my answer. Let me know in the email if you want to remain anonymous or not. I am fine with your preference, either way.

PPPS: OK, I lied. Sometime soon, not next week, I’ll cover the ways that top performers in any field use the concept of what you don’t know you don’t know, to get things done, that most people would consider impossible. This will be a direct follow-on to today’s newsletter; don’t miss it.

 


About Succeeding In Business

Succeeding In Business helps commission-dependent individuals and leaders of organizations that are seriously committed to enhancing their ability make more money, while working less.

The principals at Succeeding In Business have Billions of dollars of commissionable revenue sold behind them and practice what we preach everyday. In many ways, reading this newsletter is simply getting a peek into our world as we help you and our clients succeed in business by making more while working less. Succeeding in Business is all about both making money, having a life and paying it forward.

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