Tuesday, August 10, 2010

Flatter Shoppers with Care and Caring

Professors Elaine Chan and Jaideep Sengupta at Hong Kong University of Science and Technology decided to measure the power of phony flattery. The Chan/Sengupta findings were startling enough that they’re being described now in many publications and blogs, including an item in Harvard Business Review. Unfortunately, almost all the descriptions I’ve read are misleading for retailers because important details are omitted. I’d like to highlight for you what was really discovered.
     In the study, prospective clothing shoppers were given a flyer advertising a department store. The flyer read, “We’re contacting you because you’re fashionable and stylish,” and then asked the shopper to visit the store.
  • It would seem that such obviously insincere flattery would at best amuse a shopper and at worst irritate them. But surprisingly, due to the flattery, shoppers rated the store more highly. But not all the shoppers did. More about that in a minute.
  • In a second experiment, participants were offered a discount coupon from the store that gave the flattery or from a store whose flyer offered no flattery. About 80% of shoppers chose the coupon from the phony flattery store. But only under certain conditions.
  • In the third experiment, flattered participants were told that the store charged especially high prices and had a restricted range of clothing. Even when confronted with these negatives, participants held onto their positive views. Unless they did a certain thing first.
     Here, then, is the rest of the story:
  • In the first experiment, the phony flattery had the clearest effect when participants were told they had only five seconds to respond to each question about how much they liked the store.
  • In the second experiment, the 80% figure was from shoppers who chose the coupon three days after reading the phony flattery. For those who chose the coupon right after reading it, the figure was only 54%.
  • In the third experiment, the negative information did push the ratings toward the negative if the participants, before receiving the phony flattery, were made to feel good about themselves by writing about a positive trait.
     With customers hungry for self-esteem, phony flattery can facilitate sales. This works best if the customer is distracted from thinking about the flattery having been phony, such as by being rushed or making a selection after some time has passed.
     But for best long-term results, give genuine praise.

Click below for more:
Build Self-Esteem of Your Teen Customers
Respect Customers Who Claim Expertise
Preoccupy Shoppers for Indulgent Choices

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