Despite all the best advertising, often the sales lag dismally. More advertising dollars are needed to get more sales. It is really hard for self-financed small business owner to stretch the budget to make sales.
In his article in Harvard Business Review here, Steve Martin lists out a few important reasons a customer may not make that purchase decision.
When an entrepreneur develops a new product, the most important thing that he needs to understand that there might a huge customer inertia against the purchase.
The customer inertia to purchase the product may be primarily because of the “newness” of the company. Since small/new companies are known to go bust anytime , they are perceived as high risk by customers.
Lack of trust probably is a big reason why one would not one buy from an entrepreneur.
Understanding insecurities of customer
Understanding customer is important . It also involves knowing about their fear and insecurities. A customer may be insecure about
- Product itself ( if it works fine or not)
- Quality of Support
- Trust issues with the company/founder
- Fear of getting trapped after buying ( no refund after purchase for example)
Getting rid of customer fears
A customer is averse to buying because of the reasons above. However with right actions, customer may be persuaded that the product/company is indeed genuine.
- A well designed website that showcases the product in prime position
- A well tested product with as few errors as possible
- A chance to allow customers to try before they buy ( a trial period offer)
- Spelling out terms and conditions clearly
- Specifying support options
- Social Media presence ( for example a twitter handle, a Facebook Page)
- Case Studies
- Tutorials on how to use products
- A blog to showcase product features and your knowledge of the matter
- A FAQ section if needed
- References , reviews of product by external sites
- Quick follow ups with customer queries
Reducing customer anxiety and increasing customer trust is a very important part of sales process. When done right, customer trust increases and sales happen easily.
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