First, let me tell you a little story.
Only earlier today it was so hot. Me and my girlfriend went to the beach and got some Ice cream as you do.
Then the unforgivable happened.
A big blob of ice cream fell and it’s like I saw it fall in slow motion. Everyone knows the tragedy of having your ice cream fall on the floor.
We were happy we got ice cream but the feeling of losing that bit of ice cream felt far greater than the gain from getting us an ice cream.
That is the loss aversion bias; the tendency for people to prefer avoiding losses to acquiring gains.
Studies have shown that loss aversion is psychologically twice as powerful as the gain of something.
But I want you to be the creator not the reactor so here are 3 things you can do.
1) Attach a time frame to your offer – this is common but now you see the power and potential it has. This will encourage customers to buy in that time frame to avoid losing out on the reduced price.
2) very similar to the first idea – add in a visible countdown timer
This can really get to peoples head, it’s like a bomb waiting to go off.
These work great on landing or sales pages.
3) you have all heard of limited edition stuff. It’s the same idea. If you have a limited number of products or people you can have on a webinar then tell them. This is represents scarcity- but that’s a video for another day.
Here is a bonus tip or more like a warning:
Use this powerful psychological bias at your own digression because If you use it too much then customers could feel manipulated or they will only buy when there’s a sale so you will lose out!
If you found this valuable, let me know in the comments.