Conversion
rates are often given little thought by the average business owner,
and invariable when I ask someone out of the blue, they take a guess.
That's not good enough - you have to start measuring it NOW.
Regularly
business owners massively overestimate the percentages … I remember
one who guessed they sold to 80 -85% of people who called or came
into their business. After some serious testing and measuring we
discovered it was nearer to 35%. It was a huge shock to the owner,
but it also represents a tremendous opportunity.
Think of the
bottom line difference you can make by significantly boosting your
conversion rate. If you can take your conversion rate from 30% to
60%, bam, you've just doubled your turnover.
It's possible,
and here are the ways to make it happen …
SET SALES
TARGETS
Give your sales people a clear idea of what you need them to achieve.
Explain the exact reasons why they need to achieve it, and outline
your financial situation. Offer bonuses if they meet the targets.
People want to succeed, but can only do so if they know by what
measure they will be judged.
Hints and
Tips …
1. Set clear targets.
2. Explain why these targets need to be met.
3. Offer appealing bonuses for accomplishment.
4. Provide plenty of encouragement to those who beat the target.
MEASURE
CONVERSION RATES
When you do, you'll find almost invariably that your conversion
rate improves. Of course, you won't know for sure, because you've
never measured it before, but you'll start to focus on selling to
the people who come in the door.
Hints and
Tips…
1. Test and measure everything you do.
2. If it is not working, don't be afraid to change.
WRITTEN
GUARANTEE
This is where you write a guarantee addressing the customer's key
frustration in buying from you. For example, a hairdresser that
guarantees "you will like your haircut and so will 98% of your friends."
Or what about the dentist who guarantees you "no pain?"
Pick out
the one thing that people are scared of when buying form you, and
guarantee that it won't be a problem. If it is, offer to refund
their money, or put things right. Once you've finalized it, make
sure you tell people and advertise it.
Hints and
Tips…
1. Find out what your customers want above all else, and then promise
to deliver just that.
2. The best way to find this out is by listening to your customers
… they'll tell you.
3. Include this promise in all your literature and advertising -
make it a real selling point.
4. If you don't deliver on the promise, make sure your team are
empowered to correct it or offer a refund. 5. Don't ever promise
more than you can deliver.
DEFINE
YOUR UNIQUENESS
If there's nothing different about you, people will only buy from
you because of convenience or price, nothing more. Added to that,
you'll never be able to raise your prices; if there's anyone doing
it cheaper, people will buy from them. You need to work out what
is special about you, then make a big deal about it. And don't just
say "price or quality" - these are empty terms. Make it very specific,
and meaningful.
Hints and
Tips…
1. Sit down and ask yourself "what is it that makes us stand apart
from the rest?"
2. Once you know what sets you apart, tell the world, and tell it
loudly.
3. Don't underestimate the power of uniqueness - simply by doing
something different you can get lots of attention.
4. If there's nothing unique about what you do, start changing or
adding things.
PRINT A
BENEFITS AND TESTIMONIALS LIST
This is a sheet you can give away to every person who comes to look.
It contains the four most important things about your product, or
the seven reasons yours is a better choice for them. Make sure you
use it each time. Alternatively, print testimonials on it - that
is, direct quotes from your past customers about how good you are.
A mix of both can work very well.
Hints and
Tips…
1. Help people make a decision by clearly explaining how it will
positively benefit them.
2. Use testimonials to show customers they weren't the first to
buy this product … that it is ok to say YES.
3. Testimonials help reassure people's decisions - a real human
need.
DEMONSTRATIONS
If you can demonstrate the product first hand, do it. People like
to see with their eyes, and experience the product before they buy.
If you can't demonstrate, think of a way you can do something similar
- what about before and after photos? Or what about samples to give
the person to try? Taste tests are another option. Who hasn't gone
for the dessert after they have had a sample?
Hints and
Tips…
1. Make it real by showing how it works, tastes, feels, sounds and
smells.
2. A demonstration is a great way to swing someone on the edge of
a decision - all that's left is to see it in action.
3. Use videos for products that can't be demonstrated first hand.
OFFERS
To seal the deal, throw in something they didn't expect - something
that gives them the perception that they are getting a great deal.
Then place a time limit on it, which pressures them into making
a decision. Make sure it's something they will value highly which
doesn't cost you very much. I know of a car yard for instance that
offers buyers a "full tank of gas" if they sign today. You'd be
amazed at how many people are swung to buy a $50,000 car because
of $30 worth of free petrol.
Hints and
Tips…
1. Look for low cost products that have a high "perception" value.
2. Stipulate a time frame during which the offer is available.
3. Make the "special something" either useful or very memorable.
DISPLAY
AWARDS AND CERTIFICATES
The funny thing about certificates and awards is that it doesn't
matter what they are, or what they were for. When people see framed
awards or certificates, they think "This place must be good". Even
team awards will give the impression of quality. The only really
relevant detail is the year. Displaying something with 1979 showing
prominently may damage your chances of making the sale.
Hints and
Tips…
1. Display everything you have won or been awarded (remembering
to check the date).
2. Talk about accolades with customers.
3. Enter as many awards as possible … you may be surprised at the
result.
MAIL ORDER
Allowing people to order from home can give you the edge. If you
can take the hassle out of the buying procedure, by letting people
simply call and order, many customers won't balk at the higher price.
In this day and age of "time starved" professionals, the convenience
of home delivery is a real bonus.
Hints
and Tips…
1. Do the costing carefully and ensure you pass on the extra overhead
to customers - people won't mind.
2. Tell the world - mail order is a real selling point.
3. Throw something special into your mail order bag so when customers
get their parcel they also get a little surprise. And it doesn't
have to be expensive to make an impact.
POINT OF
SALE DISPLAYS
What you do inside your shop is just as important as what you do
outside - you have to advertise your products just as hard. Work
on your displays making them attractive, and if possible, interactive.
Make tester bottles, or listening stations, or taste samples always
available. If people can experience the product without fear of
being pressured, they will, and if they like it, they'll buy.
Hints and
Tips…
1. Make them bright and colourful to attract attention.
2. Use SELLING words that convey the benefits.
3. If possible, have a sampler people can try.
REPRINT
PRESS ARTICLES
If you've had anything printed about you (well, anything positive
anyway), photocopy it and hand it to potential customers. This shows
that other people know about you, and that you have a degree of
"celebrity". As weird as this may seem, people are attracted to
this "star power". It also builds credibility, because it seems
as though someone objective is saying something nice about you.
Hints and
Tips…
1. It gives instant credibility so use it as a sales tools.
2. Try and make colour copies if possible.
3. Hang positive articles on your wall so all can see them.
TRY BEFORE
YOU BUY
If you can do this safely, do it. It's the old "puppy dog' technique
- try taking a puppy home then returning it two weeks later. Obviously,
people won't have that kind of attachment to the product (unless
you sell pets), but the product will become part of their life.
It will be twice as easy to say, "Which credit card would you like
to pay for that on?"
Hints and
Tips…
1. Make sure the prospective customer is genuinely interested in
buying.
2. Ensure they know exactly how the product works so they gain the
maximum benefit from it over the trial period.
3. If you are out of demo products, offer to take their name and
put them on a waiting list.
Excerpt from
"Instant Cashflow - the keys to multiplying your business profits"
By
Bradley J Sugars.
