Start low – or start high- which will make people buy?
Ebay study shows that if you start the price of an item high, it increases the perception of it’s worth being higher than if it was low. But, does that really lead to a higher sales price?
Actually, turns out that lower starting prices can lead to a higher sales price because of 3 reasons: 1. Because the starting price is a barrier to entry and increase participation.
- Increase in traffic afforded acts as social proof for potential bidders.
- Bidder for items with starter prices are more likely to spend more time updating bids. More likely to stay committed.
They did however, find that social proof was particularly important. If they saw that other people were in demand for the item – it radically increased its perceived worth.
How can we show off what we know w/o being labeled a showoff?
Like most people, when you know best you like to present yourself well. (maybe you even start a blog……just…like….this….one)
But, there is a dilemma. Problem is that when you are trying to relay your point you can come off as boastful and conceited – and they may like you less. And possibly be less inclined to follow your point.
So get someone to speak on your behalf. Public speakers do that. They have an introduction to highlight their best credentials. This works best when the person doing the introduction really believes in you. Which is why it’s generally best to have the person who booked you do your intro.
Beware the Fundamental Attribution Error: when observing another person’s behavior we tend to not give enough weight to the role situational factors (i.e..money) shaping that person’s behavior. Study showed that people do not discount the opinion of paid intermediaries enough. A skilled 3rd party setting up your presentation will help lend credibility (also in negotiations)
This can even be a receptionist who sets up calls by giving their credentials. “you need to speak with Judy who has 15 years experience selling properties in your area.” After adding their credentials in a doctor’s office increased compliance with doctors’ orders.