Sales Funnel Psychology 101

This week I had 3 great meetings. Incredible was not near a way to describe it. Two of them hit me in the face like a magic punch and the third, I hit out of the part. When Joe Polish introduced his idea of screening, funneling and directing clients into an automatic funnel, I think he had lost his mind.

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Like any online marketer, you want to understand the consumer first and don’t waste a lot of time.  Sales is the heart and blood of any business, I don’t care the type. The industry or the service. It’s about sales. If you are wasting most of your time to develop sales plan, technique, shiny objects or magic pill, you are totally missing the boat. Money comes to you when someone buys whatever it is you are offering or selling. If you miss this any part of the journey with the customer, you are soon gonna be out of business.

The truth is, I did not believe this, I like the being busy, talking a lot and making everybody happy. Guess what….when the customer leaves, check your bank account. If it did not change in figures to the positive, you are missing it.

Business is about NUMBERS

We can experiment with different formulas Formula…use FREE, or use small price or use big ticket.

When I first started teaching high school, I had a disdain for Math teachers. They focused on formulas, rules, and absolutes. They never missed that whenever the taught. 1 +1 = 2 and 1-1 = 0. There is no short cut around this, it’s a numbers rules. The more 1 +1 you have is a sure principle for business. The more you add  +1 to the bottom line, the more the account records. When we are selling, we need to think about this, we need to dream about this and then we need to get into our science lab and go to work. This part of the business is where some people hate each other. Baseless people sell snake oil, others sell inspiration, others sell hope and since I am in sales, I learn that people buy because of only 2 reasons.

# 1 – To increase pleasure aka joy aka HOPE

#2- To decrease Pain aka worry aka stress

If you are offering something that does not meet these two human need, they will not buy. It’s not field of dreams, “Build it and they will come.” They are quite busy with their life and you need to disturb them, interrupt them or inspire them to take action with your stuff. That’s real. That’s cold and the truth is that is very blunt.

BIG tickets and Small tickets require SAME EFFORT

When I sat in my meetings this week, I started out razzle dazzling the parent on my offer to teach their child. I have a very small practice where I teach 15-20 kids the SAT Prep and ACT Prep. As a teacher, I can afford to jump into my car and chase everyone with a child who needs a private tutor. I can chase grades k-12 and then stop anyone way in between. The truth is, most people spend for Pain or Pleasure. Parents spend to get their child into college CRAZY sums of money. That’s easier to attract and to get than to chase the K-6 child or parent or the Grade 7-10 parent or child. I can comfortable sit across from a Grade 10-12 child or parent and command a $3000 check for a 8 week class. So let’s do some math. If I chase 12 students and get 4 to buy a 12 week program, at $45 per hr or I chase 30 parents and get 6 to buy a $3000 8 week program, which is an easier sale?

Where is the biggest pain?

Where is the biggest desire?

When is the motivation the highest?

 

For me…It’s so much easier to get those 6-12 parents to swipe that card or sign that check for a child about to graduate and head off to college and I am totally upset that I did not realize this all along. My woo or wow is pointless if there is no pain. My story and sales message is worthless if the desire to get a better choice is not as high as those wanting to go to college. Since colleges keep increasing their fees and parents keep the same jobs, they are looking for RELIEF. That makes selling easy. Offer a solution to their problem and that $3000 is a sure thing.

In my meetings this week, I realized the power of wealth. One parent was filthy rich, he owned 2 gas stations, a liquor store and 10 sub shops. To him $3000 is no big money and my little room is not his type of thing. He wanted bells and whistle, name recognition, a logo, a brochure and all the corporate stuff. I offer RESULTS. Simple, I got a the testimonials of those who achieve and succeed as my social proof. The second meeting was a total waste of time, the parent got into my funnel by default and I was creamed. Last meeting was ideal; it took 3 minutes to get that $3000 moving across the desk. It was smooth. Like a marriage. She want help, I offered it, she signed. NO bells. NO whistle. No pressure.

But why did I lose those other two?

I sat down to analyze it. I realized I really did not create any reason for them to buy. I was nice, I sound intelligent and they really did not have a pain or I did not create for them a Problem/solution. If you are into selling anything in a small space. This is a sure fire way you can sell like a genius.

The Methods – Create for them a problem and offer a simple solution.

Since the dawn of time, man has been looking for a solution for their problems. They can tell you all their problems but they don’t get a chance to hear it themselves. You need to make it a reflective thing. Tell them what they said. Repeat it to them. Let them hear themselves in your voice. Then,

….transition, “So I am hearing you saying…your child is FAILING….right?

Or …So you are saying you feel fat because….. (REPEAT THEIR PAIN)

 

Closing becomes a BREEZE

Well in our program….”We offer 1. A plan to …. OR

“Well in our program we offer 1. A sure fire way to burn the …..

Then Rap it up like a magic man.

I would like to start by: Giving you a 3 month plan to 1. 2. 3

Or I would start by “Scheduling a weekly class for you to 1.2.3.

 

Once the client is qualified, you are able to get a close in a breeze. This way it’s easier to sell more high ticket with less pressure. You are offering a solution and making the client feel relief from all their anxiety and pain.

What can you offer to your client that is easier for them to buy that they think and let them see the price effortlessly as I did.

Now nothing I just said is limited to my practice for selling tutoring or a personal trainer selling weight loss. It can also work for marketing training, online web designing or any other business where people get problems and look for solution. The truth is, you have to understand it’s an ARITHEMATIC business. Look at the effort, sales ticket and time you have. Then make your choice. Either way, it’s a numbers game or the Psychology is ….YOU need to KNOW THIS.

Author Bio: Nigel Williamson is a youth development specialist, author, success coach, and education expert. Known as “The Bounce Back King,” he’s the author to Life’s Ultimate Ticket, Secrets to Study at US colleges and Universities, and the creator of the Scholarship Secrets Toolkit, an student scholarship guide program for International Students wishing to study in the US.  For more information, or to contact Nigel, please visit http://www.internationaleducationsolution.com/gift or to take part in his Student Success Blog, visit http://www.menandmentors.org

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Praveen Rajarao is an Entrepreneur and in his spare time blogs on his website –http://www.dailymorningcoffee.com and http://www.pbgeeks.com. His topics range from blogging to technology to affiliate programs and making money online and how-to guides. Daily Morning Coffee is also accepting Guest Posts from Professional Bloggers at this time, take a look at “Write For DMC” page for more details on the same.

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2 comments

  1. Hi Praveen,

    Wow aswesome post really, you’ve shared some great tips. I have a blog which is only about 4 months old and I don’t get that much traffic.

    So it’s important to make the most out of the little traffic I do get. I had some idea about the part of creating a problem and then offer your solution but I haven’t put in action yet. I have an idea for a blog post and I’m gonna try out what you wrote here.

    Happy Holidays, and thank you very much for sharing these tips, really helpful

    ~Philip
    Twitter:

  2. @ Philip, the truth about creating a problem is more psychology than reality. Most people can tell you their pain words when discussing a problems. You just need the ability to zero in on one of the problems from their entire comment. IF you are looking to do that with a blog,look for unique problems, dont be too general try targeting a micro-niche.

    Nigel

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