Never Discount To Get Sales—The Right Way To Trigger Sales

what is up everybody so good to see you we are in session again for another whiteboard session you guys will want to stick around for this because we're going to talk about the psychology of sales and why discounting works happy Black Friday to you all maybe it's Cyber Monday for you I'm just having fun with some words and we're gonna talk about like why we're so compelled to buy things during sales periods and do these concepts work in service based industries so if you're a service design shop will these concepts work for you you're gonna stick around for this we're gonna get right into it I'm joined today by Stewart and Ricky Ricky's editing Stewart's on the camera there let's get right into it okay so cyber Black Friday Cyber Monday let's get into it boom alright now before some of you guys get really upset at me and say Chris I thought you told us never to discount well let's talk about why you should never discount because what are we doing when we discount what we're doing is we are training customers of ours to expect a discount when we buy and this forms a pattern of behavior in the mind of your audience and your customer and we can see this in retail especially I don't know if you've noticed but in the last 10 years retail has gone through some really tough times when I talk about retail I'm talking about clothing stores places where you go to buy stuff to buy things in a physical environment they're suffering a lot of them are going out of business because they haven't figured out how to compete with online sales okay so what they you start doing is they do what you normally do when you start to panic because sales are down you start to discount you have flash sales you have sales for every kind of holiday that you can imagine like I said this creates an expectation in the mind of your customer and forms a pattern of behavior you're training them to expect the discounts so when they pay full price they feel bad and so they don't buy they just wait okay something else is happening learning the sales is that when you build a relationship based on price meaning that you're willing to discount what happens is when the price goes up the customers find somebody else other kinds of patterns that happen here you start to cement in the mind of your customer your brand and they start to think of you as the place to go when they don't have enough money and so when they do have enough money they go and hire somebody else who doesn't discount who holds our line who maintains a certain level of authority and expertise in their eyes this sometimes can impact in-house design teams we've seen this happen you notice this if you're working in-house I know many of you guys that watch a channel work in-house and you always wonder to yourself why is it when they have the cool projects that are well funded why do they send that out of house why is the in-house team always stuck with the the most boring work the tightest deadlines the maintenance the routine work while the cool new creative gets set by somebody out of house it's because within the structure of the organization this is not true of every organization but of many they look at the in-house team as the team that we have and so they look very longingly across the way the street the city the pond whatever it is to find the best in breed specialists that do exactly what they want to do and that's why they do that so there are patterns of behaviors that you don't want to establish because once that train track has been set it is very difficult to give them off that track so bricky how many people are watching live right now with us today 257 257 so I want to welcome all 257 are you guys taking a little bit of time away from your busy buying schedule during this super hectic Cyber Monday where you can get a lot of stuff at a discount okay so let's move on so the idea generally is to never discount but are there exceptions to the rule well yeah I think so because every rule is made to be broken so let's talk about what the exceptions are before I get into why these things work and how you can use this in your own business okay and I know we're getting very meta today very meta because coincidentally it's Monday here for us and I got a you know make sure that you guys know that we're also doing our own Cyber Monday promotion because Black Friday bleeds into Cyber Monday if you guys go into our website the future dot-com you guys can use the code gratitude gratitude I should spell that for you we're shy right out right up here we're at it too you two will save 20% but this deal ends tonight at midnight Pacific Standard Time so at 12 a.m. tonight Pacific Standard Time which is like nine hours away that's it save 20% the next time we're going to do a sail will be in July next year so if you're thinking about buying something your indecision may cost you if you wait until past midnight tonight all right let's get into the exceptions what are the exceptions to the rule when is it okay to discount well I'm talk about that first you can give a discount to your best and most loyal customers the customers who have been working with you for years who give you the first shot of the really cool projects who pay on time who are traditionally make up the biggest portion of the revenue that you have and those are your best customers so you can reward them by providing them a little bit of a discount if they need it and I think those are who you should give it to and not the first time customers the first time customers the ones who have never worked with you before who ask for a discount right up at the start those are what we call clients those are the clients we call from hell I have no relationship with you and I want a discount right away you stay away from these clients okay and then you take care of these clients and don't mix up the two these this sends the wrong signal to the group okay your best most loyal customers you can give them a discount if you feel like they it warrants one and to make things a little bit easier for them the next idea is I guess we're going to call this the Costco model which is if they buy in bulk so when you meet a client from hell and they ask you for a discount up front at the beginning of the relationship you could say well I could probably give you a discount if you're willing to book multiple projects with us today not in the future but today because there are economies of scale so for example let me break this down for you okay say you have one projects for a hundred thousand dollars and they say we'd like to get a discount on this and then you can ask them well what kind of discount are you looking for and I if somebody's gonna ask me for a discount I'm gonna ask them how much because in their mind they might be looking for 10,000 and I might be thinking $50,000 and I want to know from them precisely what kind of discount are you looking for and sometimes it's a non-monetary discount perhaps they're looking for something else like a if you have a service business in the hospitality they might be looking for an extra night in the room or an upgrade or something like that something that doesn't cost you money to give them those are things that might ask for but in this case in this scenario let's say they asked you for a 20% discount 20% okay so the discount there would take you down to I think by my math 80k and what you can do is you can turn back to them to say look I can give you discount on this project if you're willing to give me three projects upfront so if we if you're willing to book three projects right now at 240 K well I can save some money on my own by not having turnover on my team I can concentrate resources and we need to do this at the same time if you're willing to do that I can give you a discount for three projects that is a great negotiation tactic that you can use to give people a discount for an advance purchase that they make today right now okay and if you have questions please feel free to comment down below Ricky's gonna read your comments and he's waving he's like everything's good next thing is to test a concept viability whether or not a concept works or not let's pretend like you're in the manufacturing business and you make something a hard good or something and you want to see if the market actually wants it and be warned because this has happened to us before when we post on social media like we have a new cap or a new shirt or something people like want to want to take my money all that kind of stuff right and then when we go to make it we realize the people who make a lot of noise actually do not follow through do not actually purchase anything so we want to test a concept viability in the marketplace to see if it works and a great place to do that is a platform called Kickstarter you guys all are familiar with Kickstarter you can say look I have a product that I'm going to sell to you at a discount below retail price when it goes into production if you buy early with me I can discounters a little bit so again the same thing so a product let's say let's you're me and you want to write a book let's say the book is 40 bucks okay you want to write a book and you're not quite sure if anybody will buy the book you could say to them well if you buy during this period I will sell it to you for $30 so that you can save $10 you're saving $10 okay that's the idea there and if you have enough people who pay for it you can then go into production and you can actually write or design the book as we have and all apologies to everybody who backed us on the Kickstarter project the books are coming I swear to god it's coming it is so coming it's going to be shipping out this week as Ricky and Greg are sweating right now just thinking about it okay another thing that you can do to provide a discount is a pre-launch it's a very similar concept to testing some things viability and we do this quite often when we have a new course that we want to launch there's a period of time when we say given that the course is not done yet and we're still in the production phases if you're willing to invest take on a little bit of risk and it's tied to risk I'm gonna be right back and grab another marker if you are willing to take a little bit of risk with us meaning you're willing to wait like 30 days 30 to maybe 60 days something like that you can save money and I'm gonna do the dollar sign right say you can save a little bit of money and sometimes people are willing to say yeah we trust you we know you're gonna do a good job this is a great way for me to get an advanced copy of this and sometimes we throw in bonuses that's another way you can incentivize people if you buy during the pre-launch you'll get X Y & Z maybe there's a bonus webinar an e-book or something else we'll throw in an audio recording we do this all the time another reason why you want to give a discount now this one is going to be a little bit trickier to apply in principle but I can give you guys an example when you want to use a good story so when you discount without having a good story you can only be seen as this thing must be worth less than that but if you tie it to a really good story and here's how you can do this you can say for example if you buy during this period of time we're going to give X percentage of the same to a worthwhile cause of your choice that's a good story for us one of the big promotions that we had earlier this year was when we were close to hitting I think 400,000 subscribers and so all our fans were watching as the counter was ticking down with our can hit 400,000 subscribers and we had said as a celebration with all our community once we hit 400,000 for period 500,000 sorry correction 500,000 subs Thank You Ricky fact-checker when we hit 500 thousand subs we're gonna do a flash sale for 24 hours I'm going to give you a certain percentage off these kinds of products so that's a story and these are unused when they need to be a little bit unexpected the problem with discounting and doing sales like in the retail model is we can almost expect at every holiday every vacation or navigation every holiday that's happening there's going to be a sell motion so all we have to do is wait them out and they inevitably will lower their price so the consumer has all the buying power at that point okay last but not least early payment we do this sometimes and and I've talked to many of us I've tried to teach this concept to many people if you write in to your invoices in when you do your invoices your contract if you write in we will give you a 2% discount net 15 meaning paid within 15 days of this invoice you will receive a 2% discount on the total bill now 2% doesn't seem like a lot and it's not a lot you know all contexts right if you look at 2% it's not a big in discount but as I've learned when I was taking a project management course the person was teaching a class said most publicly traded companies have in their bylaws that they must pay invoices that offer a discount they didn't even specify how much of a discount 1% would seem too little so that's why we go with 2% so if you discount an invoice that 15 meaning they have to pay you within 15 days you give them 2% you'll be surprised at how quickly you can get paid now some companies will ignore this and this is fine so 2% discount so what you do here because I'm gonna give you a little tip so you don't lose money I hate leaving money on the table is if you're gonna build a project for $100 when you go to build the estimate for this build that at 102 dollars so you've already made the money so if you discount it'll go back back it's not technically 100 dollars but let's assume it is it's $2.00 off then you'll get paid the amount that you wanted to get paid in the first place and if they miss this buy one day then you get the hundred two now this doesn't seem like a lot except for when you add some zeros to this so one hundred and two thousand down to a hundred thousand so you're gonna give them two thousand dollars off but you've made an extra $2,000 so build into your estimate the discount you plan on giving net fifteen and these days and dates can change if you want it could be net 5 net 3 net 14 whatever date net 15 seems like a reasonable amount of time two weeks essentially all right riki any questions so far that we need to talk about again you guys if you guys want to buy anything before the end of today Pacific Standard Time midnight it is a little after 3:00 to 3:30 so you have about eight and a half hours punch in the code gratitude you will get 20% off almost everything that we make okay let's get into the good stuff why you tuned in let's get right into it okay now for those of you guys that are sneakerheads Ricky don't tell them what it is for those of you guys that are sneakerheads this is the Nike collaboration with a company let us know in the comments if you can recognize this pair of sneaker right away this was just a little Easter Egg built into this video so it says so those of you guys that are watching it who's the collaborator Nike+ whoo thank you times whoo okay let's look at this let's say this pair of shoes from Nike is 299 normal suggested MSRP and they've done something crazy for the math sake let's say they are going to discount this 50% so they're gonna say 50% off right and just so my math works out I know people gave me a hard time on the math it's $149 okay $149 what is happening here and why are we so compelled to buy when we see stuff like this and it doesn't matter if you watch this video or not I'm gonna add in a little bit more detail on this it doesn't matter if you watch this video if you understand this concept or not this is something that is bigger than you meaning you can't fight what's happening on a psychological level that's why I said this is a psychology of sales and discounting and why it works even if you know why it works you're you you can't be immune to the effects of what's happening and explain why in a little bit okay it's $149 why are we so compelled to buy and why I'm stressing out right now because I should be online a couple things that put in my my shopping cart why I need to close those deals before the end of day today or forever lose this deal let's talk about you see these four icons I included these four icons to help you remember so the first one is called an anchor okay it's called an anchor okay if you think about it if you're at a boat and you're fishing or something like that let's pretend as a boat and this is you if it's me I'm wearing a big hat okay a really big hat he's laughing they're my ridiculously large hat to keep the Sun off my face an anchor hold you to a spot right so it prevents you from drifting too far away so what happens here is a 299 is an anchor you become fixated with this 299 so that you start to compare the 149 against the 299 and you start doing the math in your head that's almost 150 dollars off actually it is $150 off so you become obsessed with this number but if you just presented this number to people and said you could buy this shoe for $149 this seems like a lot for a pair of shoes especially if you're from a place that doesn't have a lot of economic mobility if you're not in the kind of middle to upper-middle class a $300 or $150 pair of sneakers is a lot of money so this anchor means that you are fixated on this first piece of information that is $299 and now it's 149 dollars so when you're talking to clients about money and projects whenever you talk about money you should use the anchor bias okay you should use the anchor bias to your advantage if they say how much should this logo cost this is a very common conversation we have within our community how much this is local cost you could say the last logo that I did for a company like yours was $25,000 but based on what you and I are talking about today I don't think it needs to be that expensive it could probably be done for less than 18,000 see what I did there I incurred high at 25k I gave them a moment to think about it to process that to let the anchor do its work then I dropped the new number and the new number relatively speaking is a lot more affordable than 25k see the way that we work is we need to compare things we don't know if something well what I call the Goldilocks syndrome which is the porridge is too hot it's too cold then it's just right so we don't know if it's just right until we've tasted to other kinds of porridge and now we know this is just right for us so this is the first thing that's working in sales and why discounting works when you have a high number the new number becomes much more affordable relatively speaking okay well that's pretty good but that doesn't explain why we're all shopping like mad right now why is that especially here in North America what's happening the other thing is this thing okay it's it's a clock here because we're gonna use another concept called scarcity the time is going to run out it creates a sense of urgency so now we've got two things working for us the anchor bias and scarcity driving urgency so we know cyber monday is going to end when Tuesday happens built into their name the deal is going to go away so you have a finite amount of time to act otherwise you're gonna lose out on something you're gonna totally lose out on this and losing out on something is driving something else when you lose out on something it plays with your mind that there is the loss aversion bias that's going on here I know there's a lot of bias words that we're using loss aversion like we don't want to lose out on something that we think we have trial offers work like this so you you will you'll be allowed to try a subscription service usually software companies allow you to have a 30 day 15 day trial and then they start to charge you there's an app that I downloaded that was fully featured but it was only fully featured for 15 days and they started to charge me I think two dollars a month now and I was like I'm even know if I want this but I'm not ready to quite cancel this for young people especially you may know this form of psychology in what's happening here has FOMO you guys know what FOMO means right FOMO means fear that's a clue of missing out this is what's happening unfortunately on social media people posting their fancy lifestyles driving in their amazing cars dating super beautiful fancy people and it creates FOMO in you like I'm missing out on something why aren't I living that life for myself this is another part of why this works okay the next one is is Diamond it also is playing in with scarcity in terms of availability so this is scarcity of time limited time offer flash sale today only for the next four hours those kinds of things trigger what's happening oh okay I see okay okay okay so scarcity and urgency for time the next one is scarcity in terms of quantity okay and usually quantity is controlled by manufacturing so when supply is less than demand price goes up okay so quantity if there are fewer of these things and more people that want them then the price should go up so if you want to really trigger this here's how we do this okay so we're gonna say the new ad is going to be 299 today only today only save 50% off they never say spend 50% they just say save so it's like the whole sunglass thing okay so save 50% right for $149 while supplies last while supplies last 149 while supplies last and you can even show a counter so Ricky do they figure out what shoe this is yet they did congratulations guys if you've stuck it out with me in this video so far this is Nike X fear of God right fear of God that's the designer that's who's doing this so congratulations for everybody to figure it out your sneaker heads give yourself a pat in the back that you love sneakers okay little snap ease okay here we go and if we say that there's only a limited quantity this is usually what they do you notice this when you add something to your shopping cart what do they say limited inventory of stock they say that to stoke your feelings of missing out sometimes it happens they'll even tell you three left only three left it may or may not be true but even if it is it or not doesn't really matter the fact that there are only three left triggers this whole quantity issue of scarcity and now I feel like I really need to buy this thing whoo there's a lot for us to go through and why is this period so stressful for some people we're spending money we're getting what it is we want we're saving money because it comes as last bit this a knife this knife okay because it forces us through urgency to make a decision we have to decide we have to decide if we want to buy this before it all goes away what they decide and this is very difficult for a lot of people should I shouldn't I do I need this this is a really good price we'll go low or higher so these are things that we're struggling with and for a lot of people these three things combined together make for a very powerful thing to push people past the resistance of not buying or not signing on the dotted line somebody else is going to get this from you and you felt that kind of pain in your heart so this the abandoned cart thing really gets into the loss aversion bias you'd even buy it yet it was sitting in your cart and when you go to check out what happens so like you know what it's sold out now so what happens you're like me you start to regret you start to get upset Chris why didn't you decide earlier what were you waiting for so that emotion that you're feeling is really the thing that all this stuff is tapping into there's an excellent excellent book cannot recommend it more it's called here's the book it's called influence it's the psychology of persuasion written by dr. Cal Dini Robert Cal Dini of persuasion okay and I think there are six or seven big concepts in here in the in the book influence that studies how human beings behave and why we do the crazy things that we do and how when you understand what the triggers are you can use them for the force of good or the force of evil depending on how you do this influence the psychology of persuasion okay I know what you're thinking I think I know what you're thinking Ricky what are they thinking do you know you have the consumer sentiment right now the audience sentiment why am I telling you all this cuz I'm gonna teach you something but before I do I want to remind everybody today is Cyber Monday this is the last bit of our four-day sale and we've had a phenomenal month we've broken our sales records it's been a personal hi for all of us I went in on a really high note here guys so we're offering 20% off if you guys use the code gratitude gratitude when you go so you're gonna go to the future comm hopefully find something that you want you can say 20% off by using the word gratitude and hopefully I'm spelling this correctly because you won't work on checkout if you don't use the right code their gratitude we're grateful for you during this Thanksgiving gratitude and some of you guys were like well why should I buy anything aren't I getting the videos for free I guess you are getting the videos for free and the only way we're able to give you guys the videos for free is because there are people just like you who have purchased things and who have donated money to us that we can keep this experiment called a future going our mission to teach a billion people on planet Earth how to make money doing what they love this is part of what we're doing these print us weren't free putting this thing together isn't free the three people that are standing here making this happen for you it's not free so we appreciate everybody we're grateful for you for buying stuff from us ok let's get into how do we apply this can't discounting work for you and yes it can I'm gonna show you how right now hopefully this is where the video the retention spike goes up I want to introduce you there concept that most people don't talk about it's a concept that I've tried and have used very successfully over and over again so now the jig is up because I'm gonna tell you what's happening to you right now it's called the reverse sale I wanted to take the worst and flip it over I might have decided not to because it's gonna be too hard to read this is the reverse sale concept let's talk about it okay some of you guys know I make a typography course I teach typography right and there are not many typography courses out there thankfully because I don't like competition so there's a typography course and you can buy now and all that kind of stuff it's $149 since we have no competition there's very little supply meaning us and if there's demand for people to learn how to design with type chances are you're gonna look around and this is gonna be it $149 course right and I think it's really really good I'm biased because I wrote it I produced it with Ricky and Jonah and everybody else I helped me put this together produce this thing and this cost me way more to learn than $149 I went to Art Center studied design this class should be more so I'm having a conversation with Ben burns and I tell him Ben this class is too cheap I believe people question whether or not this class is valuable or not at this price point how could it be at this price point so I said to Ben I want to change the price he goes what do you mean I want to raise the price he goes ok how much do you want to raise it by I said well for right now I want to double the price so I want to change the price here we go with the red marker again to $2.99 you what why would you charge $2.99 he's I just hear me out just make it happen charge $299 for the course he goes ok I said I want you to email everybody that's interested in taking this class that in certain number of days the price will be going up to $2.99 and I said you don't need to explain more okay it's going to be $2.99 if you need to tell them I'm gonna update a few modules but the course is going up it's our most popular course that teaches design it's $2.99 and you know what happened the first day the email went out we did get this at this price over ten thousand dollars I think there's maybe $16,000 I can't remember I'll just write 16 here $16,000 in sales in 24 hours okay and I don't remember the details but let's say 30 days this course goes up to $2.99 so this is the best price to buy now what's happening here well we have the anchor anchor is working for us right let's check it off we have the anchor the anchor says this course $149 is actually worth 299 dollars we have the sense of urgency we have urgency through the time in 30 days that's going up so in 30 days it better go up or we're lying to our customers there is no scarcity in terms of like limited quantity this is a digital product that's the beautiful thing and you you need to decide and you have 30 days from today to make this decision are you going to lose out on the deal or not but you remember that little icon the Train what I want to do is I want to train our customers to have buyer assurance that the products that they buy when they buy it will almost always be the best price because if anything our products and courses go up in price that's the behavior I want you to be aware of okay so what we do is we we reward the early adopters the innovators to come in to buy something when it's not even fully baked they're the people who buy the pre-launch presale stuff they get it at the absolute best price now originally this class was $79 then I went to 99 149 and now it's at 299 it's briskly so the issue wasn't the price what we wanted you is to let people know we reward you for buying early and speaking of buying early just wanna let you guys know that this is the last opportunity this year until July of next year in terms of our planned sales and just if you guys want to mark your calendar because you like the things that we make there's only two times that we really sell things or put things on sale it's during Independence Day July 4th and during Thanksgiving holiday and Black Friday ok that's the only two times so you're gonna wait quite a few months so if you say to yourself if I buy something like this today with 20% off can I put that knowledge to use and make the money back in time for the next promotion that's the only real question you have for yourself how can you apply this concept of the reverse sale to a service design business any ideas on how to do that why don't you go ahead and let us know in the comments below and I'm gonna get into it in one second I'm gonna take this opportunity to see if there are any really great questions that are coming in from the livestream Ricky are there any great questions no no no no not a single question how many people are watching right now 495 okay well hello 495 people watching live with us today I hope you guys have enjoyed the conversation thus far I will be doing more of these whiteboard sessions so if you like this video don't forget to like comment and subscribe let us know what you think share it with your friends I like teaching I like helping people and if this is a winning combination we'll keep doing these I have at least two or three more of these planned whiteboard sessions with you okay how can we apply this in our business you can call up all of your existing clients today and tell them that starting in 2020 January 1st your prices for services are going to go up your hourly rate is going to go up your project rate is going up and you could just tell them what that is and you could tell them in in appreciation their patronage of their loyalty how many years of service that you've been able to provide them in terms of the relationship you've been able to build you are willing to lock in this price if they can if they're willing to book in book something with you within the next X number of days is anything that's coming down the line when you let people know what's going to happen it will start to trigger all the emotional psychological things that are going on that you yourself are victim to or succumb to yourself so tell them right now send out an email blast call them up call some of your best clients up and tell them your price is going up starting 2020 of next year and see if any of them pull the trigger what's really great is even if they don't pull the trigger you've had the difficult conversation of the prices going up so that when they call you next you can say to them oh yeah Mary you remember last year when we talked about this my prices are now this and Mary oh hopefully we'll say yes I do remember I'm sorry I couldn't book you at that point in time I totally understand what you're doing here's money for the new price and this is how you can easily raise the price it's nice when you tie it to things that people associate with change like January 1st New Year's that's a great reason to to change your prices ok this is how you use the reverse cell Chris and every have you ever used this for blind do you have an example no because we don't have fixed prices we always tried to price the client so there's never a standard price for anything I said I have you some of these other concepts though back from here like this one here this is what I'm pulling from right here right I have you some of these things before when clients have called us in the past and they asked for a discount I say if you're willing to pay for this in advance more often or not about 50% they're like no we're not ready to do that right now they try to maneuver around that and every once in a while they're like yes we're ready we'll buy three from you right now that's awesome we do provide a discount to our loyal customers and the discount usually sounds something like this they'll say Chris because they're usually upfront with us we don't have a lot of money for this project it's something that's a pet project for the CMO or CEO we don't have a ton of money for it and usually I say to them look tell me what you have it doesn't matter to me I really appreciate the business and I'll do it for whatever you have and I put that back on them sometimes if you put it back on them they if they have a generous spirit and they're good-hearted people and they're ethical they will come back and probably offer you more money than what you were willing to quote it for under the discount price okay we have tested the constant viability viability we've done pre-launching so we've done Kickstarter for sure we've pre-launch our courses there's a great course that been pre launched recently with Greg Gunn color for designers we've had a good story about why we're discounting something when we hit 500,000 subs and we've also put into our contract the early payment clause to get them to pay faster and it does it does work not always but it does work so I think we've done all of these without the question Ricky yep great you thanks for asking that whoever asked that if it was you thank you okay let's get right back into this so if you're in a productized business if you can do anything that scales a digital product download a t-shirt a cup cap whatever it is you can do the reverse sell and say the price is going up this happens quite a bit you can see this in Tesla now Tesla we were generation 1 Model S owners of a Tesla and they had offered us so many different things because they needed to establish a customer base free lifetime charging there's a couple of things that they threw in there and at first I thought yeah this is a gimmick this is total gimmick they're gonna offer this to everybody but now as we can see once the install base of customers have been established now they no longer offer like lifetime charging for your Tesla that's free now you have to pay for it above a certain amount and so that's what we're seeing there so they would send us emails and marketing things to say like buy this before this period of time and still get lifetime free charging they would do that right that's what was happening there so now that you know these concepts be on the lookout for promotions that hate your inbox when you land on a site what's happening to you what are they trying to do to get you to feel like you have to buy I think that's it for this video I don't have anything else to say unless there was a question from Ricky there was a good question there was ok get up man all right and if I can I will do my best to answer it and then when today when should you start using the reversal if if is if you're a beginner designer is this some that you can apply directly or when is the best time to apply this okay so the reverse sale in the sale are exactly the same they are fundamentally exactly the same in terms of their structure so maybe this was a clickbait title and talking to you about why sales work but the reverse sale is just as effective so the next time a client calls you and asks you for a discount stop them there try to do the reverse sell them and say look I don't discount but I do know that my prices are going up cost of doing goods is much higher I have a bigger team they're more expensive I've recruited new talent I've expanded services things are going up give that a shot this is all in hopes to try to help you guys understand price anchoring the scarcity in terms of time and fear of missing out those are the concepts that you can use I'll give you another one that you can use okay here's a free one this is the bonus one the bonus one is this when clients are calling you and they're inquiring about whether or not they want to do work with you you have a pleasant conversation it's you tell them how much it's going to cost what it kind of involves and then you're going to say to them please let me know in the next couple of days because I can only guarantee availability because I'm getting a lot of requests and multiple holds on the business so three project is about to drop if those projects drop before yours I'm not gonna be able take on this project you can create that same scarcity mindset if you are a freelancer a true freelancer when you're being booked and putting getting put on hold one thing that you can do this is a tip that a lot of freelancers use is when a company calls you and says are you available in the next two weeks for work you can say yes but I'm gonna have to put you in second hold somebody else has already reserved that time by saying that you created a sense of urgency in their mind that they may lose you so they may say we want to challenge the whole we want to book you right now and we're gonna guarantee you work for those two weeks then you said let me get back to you you have a conversation with yourself because there was nobody put you on hold you call them back said look I can get out of it you need to send me a check for 50% up front the time is bought you got it that's how you do that so that's scarcity again okay creating urgency behind a transaction that's it anything else Ricky nope okay fantastic guys thank you very much for tuning in today we talked about nope not that one today we talked about this one right here we talked about bra we talked about Black Friday and Cyber Monday cyber monday and the psychology of sales and why discounting works now I don't want you guys to discount I want you to be able to get the full value of what it is they're doing so once you understand how the sale works trying to apply the reverse sell let me know after you try this what's worked what doesn't work what challenges you have in the comments below don't forget to Like comment subscribe I'll see you guys next time

Channel: The Futur

Views: 289,610

Rating: 4.9660182 out of 5

Keywords: the futur, futur brand, disrupt design education, chris do, business of design, how to, scarcity, psychology, discounting, should you discount, never discount, rules, guide, black friday, cyber monday, sales, promotion, fomo, trigger, purchase, buy now, limited time, flash sale, psychological triggers, conversion tricks, urgency, how to discount, reasons why people buy, psychological, influence behavior, e-commerce, ecomm, e-comm, sell more, how does discounting work

Id: UNrd-XtaC28

Length: 40min 49sec (2449 seconds)

Published: Mon Dec 02 2019