I came across this paragraph in a blog post by sales professional Grant Cardone.
“No one buys a $57,000 watch to tell time. People buy things to solve problems. The cost of the item isn’t what matters. Once the buyer is able to see the problem the product solves, their decision becomes much easier to resolve. Get to the “why” and the sale will follow.” Grant Cardone (original article at Entrepreneur magazine)
How do you get someone to buy something that they do not need?
Just as nobody really buys a $57,000 watch to solve the problem of “what time is it”, nobody does an expensive MBA just because they want to know more about business. Nobody hires an expensive consultant just because they need to finish a simple project. Nobody hires an expensive coach just because they need help with discipline.
Cheap watches tell the time. Cheap MBAs teach you about business. Cheap consultants can get projects finished. Cheap coaches can help you with discipline.
A casio watch can be bought for €2.99. It tells the time as well as the $57,000 watch. Why are they different? The casio watch has 8 functions. The $57,000 watch tells the time, and the date. The casio watch allows me to change the time. The $57,000 watch requires a trained technician to move the clock forward an hour.
Why does someone pay the $56,997.01 difference (and get less functionality)?
There is something else we are buying when we buy.
“Bread and Water. Everything else is marketing.” Tony Anagor
I did an interview with Tony Anagor, one of the coaches who works with my Leadership Communications courses at IESE Business School. Tony said “Bread and water. Everything else is marketing.”
What did he mean?
Once I have food and shelter, I can survive. I don’t need anything else to survive. I want other things, but I don’t need them.
If I say “I need friends, I would die without my friends”: it is not literally true. I want friends. They make my life worth living. They add to my life. They are not needs in the way of food and shelter. I wouldn’t value highly a lonely life, without friends.
If I say “I need an iPad. All of my friends have an iPad.”: not true. I really, really want an iPad. However, the reason that I want it is the important thing for a salesman to find. Why do I so need an iPad?
I want it because it might remove the anguish of feeling left out. I want it because it might give me a sense of importance in having an “in-demand” item. I want it because I like playing with new technology. I want it because my friends are playing some online game and I am less connected because I am not involved.
What are your thoughts?