Logic versus emotion in business

It seems to me that there is a kind of "fight" between logic and emotion in business.

On the one hand, people often buy on emotion. So, your sales pitch has to push some emotional buttons.

On the other hand, the other aspects of business seem to run better on logic.... Things like what opportunities you choose to pursue, figuring out your profits (or losses), how you're going to expand your business - these seem to be logical decisions....

I wonder if this affects HOW you sell?

There's a book I've been looking at recently, called "SPIN Selling" by Neil Rackham. This has nothing to do with the political style of "spin", but instead it's an acronym - for

Situation questions
Problem questions
Implication questions
Need-payoff questions

It seems to me like a "Socratic method" of selling.... The "Socratic Method" of teaching is to teach through asking questions.... By asking certain questions, the students are led down a particular train of thought until they figure out the answer for themselves.

SPIN Selling seems a bit like that, but through the questions, the prospect is led to identify problems they have, the serious consequences of those problems, and how the product being sold solves those problems.

One interesting thing about SPIN Selling is that Neil Rackham completely denigrates "closing". Anyone who knows standard sales literature knows that "closing" is considered to be a key part of the sale!

However, to qualify this, Rackham says "SPIN Selling" is most useful for highly expensive items. These are not usually spur-of-the-moment buying decisions - people might take days, weeks, or even months to decide - so it requires a different approach from the standard "instant decision" sales approach.

Perhaps it's more of a "logical" appeal - what do you think?

- Dien Rice

Dien,

I don't think it's a question of one VS the other...

For example, I've always thought of the way I would like to be sold as a basis for my sales copy.

So I think about how I buy things. Yes, emotion plays in these neighborhoods. I want something that will make me excited to buy it. Even if it's a relatively mundane item. I want nicely designed packaging, a promise it will do the job, and a fair price (but not cheap- because I don't trust anything cheap. Do you?).

Then I want supporting facts. OK, this product is what I want, but what are the facts? What specifications can you give me?

If I was buying a car (which I've been looking into lately) I'd want to know it's repair history (if used) or it's reliability over time as a model (if new). I'd want to know gas mileage, annual estimated repair/maintenance costs, resale value, etc...

Then I would make a decision -- most likely a decision - with emotional influences to be sure, BUT supported by FACTS (the logic).

I look at it like Ying/Yang. One cannot live in harmony without the other one.

Anyway that's the way I've observed my own buying habits. I like products that 'turn me on' but won't buy until I know the facts about it.

In other words, I buy emotionally, but justify it with logic At least I do when I 'sell' my wife on what I want to buy ;-)

"You see darling, the new BMW 520i is safer. And here are the crash tests. See for yourself honey. You deserve to ride in the safest car on the road."...etc...

In the meantime I'm salvating at the prospect of driving a sexy new BMW.. see what I mean?

I'd like to hear what other SowPuber's have to say!

Best wishes,

-Dave


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> In the meantime I'm salvating at the
> prospect of driving a sexy new BMW.. see
> what I mean?
Now Dave, if you truly wanted your wife to be safe, you would be pushing a Volvo brochure at her, the main danger then would be boredom.
You are right that logic and emotion are both tools in the sales kit.
While every individual is different, our basic motivations/ world views can be classified in 4 or 6 or 8 or whatever categories depending which theory you read. Taking the same basic criteria and the same information may lead to completely different buying decisions, depending on "what floats your boat". This shows up very clearly when using sales reps to sell a product. Given the same database, each rep may sell to 25% of the customers, however each one will sell a diiferent 25%, depending on the personal interactions and type of presentation. Successful sales people come from all types of personality, some may rely on flamboyance and a commanding presence, while others appear bland as pudding, while managing to hook into each customers triggers.

The type of sales approach you take will depend on your own world view, which will be attractive to people who think like you do. Just try and sell a product you have little enthusiasm for or faith in its "rightness" for the customer. Its hard work.

In Australia, every Volvo driver you come across -without exception - does something dumb on the road. And drivers of those vehicles are thought to be &$#@%^*&*&% (a meanace and danger on the road).

If this is common knowledge down here (and it appears to be) what would possess someone to buy a Volvo? They know that as soon as they buy one, their driving will go down the drain and they'll become the scurge of all other drivers.

Maybe that's the answer... they are so unaware of how people think of Volvo drivers, they buy their Volvo and then drive totally unaware of what's going on around them.

Hmmm

I'm curious... are Volvo drivers a bread unto themselves in your country? Are they as bad a drivers where you live as they are down here?

Michael Ross

Not too far off from many of the studies done within the insurance industry on closing ratios. Namely ISO and AMS. As a rule of thumb, most salespeople will only close approximately 1 in 5 accounts overall due to the reasons you state. They relate with only one type of person, sell with one type of style, and send/receive information in one type of venue.

It's a given 20% of the prospects won't even deal with you for one reason or another. They don't like your hairstyle, they don't deal with women, they don't like tall men, short men, skinny, big, blue-eyed, brown-eyed or what have you.

It's the other 80% you need to cater to. By adapting your style to theirs, commonly referred to as 'Mirroring', you can increase your closing ratio dramatically. By understanding the psychology of what you're doing, you'll increase it even further. Possibly tenfold when measured on a monetary basis!

It not uncommon for 'professionals' to have a 'Kill Ratio' of 80% and higher! Think about it... You'll see the same number of people in a day and instead of closing one or two, you close four, five, or even more accounts! Wouldn't it be worth it to learn more about how to sell effectively and increase your paycheck without any additional work on your part???

Now taking what we've learned about selling offline, and applying it to the Internet, the same holds true. Increased sales. Ask yourself this question, "How many more sales could you possibly make by catering to the different styles people make purchases in???"

How much would just ONE more sale add up to at the end of the year??? Or two sales? A considerable sum of miney I would think, right???

If you sell one way, you tend to write ad copy one way. Your way. But, people buy their way! If you learn these techniques your profits will soar.

Prospects receive information and buying signals in 4 distinct ways. Multiply that by the 4 distinctive characteristic traits people exude, and you have an exciting challenge!

Add in the fact these traits and the way they receive information can change from day to day and you now know why salespeople are some of the highest paid professionals around.

Todays Sales Professional, to increase their Kill Ratio and paycheck, MUST allow the buyer to buy on their own terms. You must learn to not only know the "terms" the prospect will purchase with - before the prospect knows what they are - but you'll need to guide the prospect down that path as well. All the while letting the prospect believe they are in control of the whole process.

Kind of like magic. You control the illusion and the audience "sees" what they believe they "see".

Once people learn to shift the paradigm from 'selling' a prospect with the classic hard selling stereotype, to learning how to allow a prospect to buy, the closing ratios will remain in the 20-25 percentile range.

Great comments Garry and a great topic to discuss.

Success and Regards... Mike

http://www.CrashCourseMarketing.com
Increase YOUR Kill Ratio!

Mike,

RE:
> Once people learn to shift the paradigm from
> 'selling' a prospect with the classic hard
> selling stereotype, to learning how to allow
> a prospect to buy, the closing ratios will
> remain in the 20-25 percentile range.

-- One of the most effect techniques for
"Allowing a prospect to buy" is the 'take away' method of selling.

Which basically asserts,

"I'm not here to sell you anything, in fact you may not even be able to buy (this exclusive item) even if you do want it."

And speaking of Volvo's, they are boring.

-Dave




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If you're really wanting to hear about being a salesman while rolling on the floor holding your sides and laughing your butt off... Drop $6.95 at http://www.JimRome.com for a one month subscription to his radio show and do a quick search for 'sales'.

He has a couple of interviews where he does his 'take' on sales! Including tie-downs, the "I'll be in your area Tuesday and Thursday" routine, grabbing business cards out of fish bowls from Perkins, the 'Ride Along' boss and more!

Oh yeah!!! His take on the 'Take away'! Plus golfing 9 holes, napping in the afternoon, the 'Sunday Night Grip', among others.

I think you'll love it if you've ever been into hardcore direct selling! :-)

Success and Regards... Mike


fastest growing eZine for Sales Professionals and Internet Marketers...

Well, I'm even further down under than you are Micheal, in New Zealand. Over here a Volvo is a shopping basket for rich professionals wives.
Perhaps if you can afford it,you dont care what people think, besides you can afford to be stupid knowing your chances of getting killed are much lower than anyone elses.

I love that chart in "The Millionare next door" that compares cars by cost per pound. The Volvo comes in at just under $10 per pound, against mid range "cheap iron" at $4.50-5.00 per pound.

When I was a mechanic, I formed the impression that there was a disproportianate amount of BMW's getting smacked into things at high speed, compared to other cars. My quick informal research on Google reveals the following:
"Volvo drivers are stupid and drive too slow"
"BMW drivers are rude and drive too fast"

Just kidding.