Monday, January 22, 2018

Convert Controversy to Retail Sales

A set of studies at Georgia Institute of Technology and University of Pennsylvania plotted the relationship between controversy about a topic and the interest of people in talking about the topic. The finding was that as the amount of controversy increases, people do want to talk about the topic more. Thus, even a negative review of your business can draw people to tune into your social media channels and come into your restaurant, clinic, office, or store to hear your retort.
     Those researchers said the upward slant lasts only so long. When the degree of controversy reaches a certain tipping point, interest in discussion is outweighed by discomfort at even thinking about the matter.
     More recently, researchers at Stanford University discovered a circumstance in which the more polarization in opinion, the better for sales. This is when a consumer feels unsure of their psychological identity.
     The researchers identified a group of study participants who expressed agreement with questionnaire items like “My beliefs about myself often conflict with one another” and “Sometimes I feel that I’m not really the person that I appear to be.” The researchers found that, compared to consumers who did not agree with such items, these individuals with low self-concept clarity preferred merchandise and experiences which had received polarized ratings. The distribution with high polarization had a cluster of ratings at a one star, another cluster at five stars, and just a few ratings in between. A low polarization distribution had a large cluster toward the middle with few ratings at the extremes.
     Researchers at New Mexico State University and University of Nevada-Reno had found that people are more likely to purchase an item when presented just the average rating rather than the distribution of ratings. The researchers concluded this is because the single overall rating is easier for a shopper to mentally process, what is easier to process leaves us with a more positive feeling, and positive feelings stimulate buying behavior.
     But some shoppers prefer complexity to simplicity, and people unsure of their psychological identity are among those shoppers. These might be your potential customers who are going through jarring changes in their lives—such as a college graduation or a divorce—or feel they are surrounded by others who hold views widely divergent from their own—such as a political liberal after an election of a conservative slate of candidates in their community.

For your success: Retailer’s Edge: Boost Profits Using Shopper Psychology

Click below for more: 
Welcome Shoppers’ Questions About Negatives
Mean More with Mean Ratings
Sell Identity Affirmation to People
Look Simple, But Offer Complexity
Profit from Polarization
Market by Political Propensity

No comments:

Post a Comment