What is Sales Psychology + 6 Important Principles of Sales Psychology?
To be successful in sales, it is essential to understand who your customers are and what motivates them to spend their money. Sales psychology plays a significant role in buyers’ decision-making, and if you implement this process correctly in your work, you will become a great salesperson. Sales psychology or marketing examines the behavioral and psychological factors related to marketing products and services. Also, companies may use various methods to gain more information about their customers and effective sales tactics. Examining sales psychology can help businesses increase brand loyalty, improve sales strategies, and expand their business.
Learning more about sales and customer psychology helps salespeople and marketers improve their performance. Surely, you are also looking for more sales and have searched on Google with this goal. For this reason, in this article, we will examine questions such as how to sell well, whether sales psychology works in the Iranian market, etc., so that you can shine in your field of work and have something to say among your competitors.
What is sales psychology?
Sales psychology is a process that examines and studies the psychology of your target market to sell services and products. In fact, by using sales psychology, instead of convincing customers that they need your products, you find ways to market-based on their current wants and needs and thus present your products better. Although most consider ourselves logical, we cannot make decisions solely based on logic. In fact, as emotional beings, humans generally become attached to things, people, and issues that they feel emotionally connected to and helpful to. With sales psychology, salespeople and marketers can better understand their customers’ emotional needs and put themselves in their shoes. When you better understand your target audience, the driving force, or the emotional reason behind their decision, you can better sell your product or service and connect with them emotionally.
6 Important Principles of Sales Psychology
In his best-selling NYT book Influence, Dr. Robert Cialdini has highlighted six key and practical principles of sales psychology and suggests following these principles for better sales. These principles are reciprocity, commitment and consistency, authority, social proof, building attachment, and the principle of scarcity. These principles are backed by evidence-based research by Dr. Cialdini and a comprehensive three-year field study of what drives people to change their behavior. They can effectively strengthen anyone’s ability to sell for the ultimate result.
Principle One: Reciprocity
This idea is a favorite of marketers, and the principle works so that the person in the receiving role feels obligated to reciprocate in exchange for the value provided. Using the two-way principle is a great way to sell more to customers. We have all been in a situation where we have tried on a piece of clothing several times and felt good about ourselves in return for the value the salesperson gave us. This is a perfect example of reciprocity. This salesperson has played a good role in your mind, and you feel obligated to repay him for his kindness. However, to significantly impact customers, we suggest several other ways for the sales team and active marketers to do so.
Offer free samples to customers.
The stores in the north of our country are full of exciting souvenirs, and you must have encountered the kindness of salespeople in these regions while traveling. Isn’t this kindness and generosity what encourages customers to buy? Or, for example, a free sample of perfume and cologne! Why you shouldn’t use this technique in your field of work!
Promotional gifts, a window to enter the minds of customers
We are all happy and surprised to receive a gift. Now imagine that this gift is a necessary item and a favorite item. By understanding customers’ interests and needs, you can plant a small seed in them so that you will always remain in their minds.
Holding a webinar
By holding a webinar for people, you can introduce your products and send discounts or gifts to thank and appreciate customers via email or SMS.
Principle 2: Commitment and Consistency
This principle, proposed by Dr. Cialdini, revolves around the theory that people like to stick to what they have done or said. Once a person decides, they often stick to it and even consider whether it is smart. Use the techniques introduced to follow the principle of commitment and consistency.
Asking “Yes” Questions
You can use the principle of consistency to encourage your customers to make a decision. This principle gently encourages them to follow the path you have created and eventually give you a positive answer.
For example, you can ask your leads questions and ensure they answer “yes.” Potential customers who answer yes are more likely to respond to a purchase.
Don’t forget to cross-sell
You can offer a product with special conditions alongside their main purchase to further value your customers. You can even provide products that previous customers have been most receptive to along with this product.
Tagging Customers
Tagging customers makes them feel special.
These tags can be similar to the following:
Leather jacket for handsome men
Evening coat for elegant women
Principle Three: Authority
The principle of authority states that we are more likely to be persuaded by someone we believe has more knowledge than us. There are two ways you can use them to increase the power of your sales proposals.
Leave expert reviews to experienced people.
Expert reviews about a product should come from someone your target audience knows as an expert on the subject or as a trusted figure. Especially for B2B sales, the higher the rating of the person who gives the review, the higher the value of that review.
Share Expert Content
To demonstrate your expertise in a field, you should consistently provide customers with research, podcasts, expert articles, infographics, and other essential items to establish your authority. By doing so, you will close more deals and build a stronger customer base.
Principle 4: Social Proof
The principle of social consistency shows that people look to the behaviors and actions of others to determine their behavior. Suppose you have been paying attention when buying from online stores like Digi Kala. In that case, we have paid attention to the opinions and comments of other people at least once and have made a purchase decision based on these people’s views. In Karlanser, many employers read the opinions of previous employers when hiring freelancers. Companies can easily go further by displaying other people’s views or real-time customer activity information on their websites. In this way, your current customers will influence your future sales, and any actions they take will be a practical step for your organization.
Follow the principle of social proof.
Work with influencers
Products and services that are introduced by influencers usually achieve high sales figures. To work with these people, check if they have done any advertising in your field and what returns they have brought to business owners. If you plan to do influencer marketing, ask them to express their opinions about your products and mention the benefits of your products.
Display customer reviews
By displaying the opinions of old buyers, you attract new audiences and customers to your products. Customer reviews are one way to increase sales and build trust with new customers.
Presenting case studies
Showing case studies on the effects of using a product in a customer’s life will lead to approval and visibility from new people.
Principle Five: Creating Attachment
The attachment principle suggests that we are more likely to respond positively to requests from people we like. Therefore, customers are more likely to buy from those they admire. Factors such as praise, shared goals, common interests, etc., follow these principles. If you want to follow the psychology of professional sales, your customers should feel that you can understand their problems and relate to them. This way, people can understand your brand better and feel very close to them.
Adhering to your values
A clear example of adhering to your values is companies that take positive steps to protect the environment, support older people, etc. For example, if you have an online clothing store, you can send your products to customers in beautiful cloth bags instead of plastic.
Express your weaknesses and mistakes.
Addressing weaknesses and mistakes requires great courage. However, you should know that expressing weaknesses is a strength in sales psychology. It shows customers that you intend to provide better service for their comfort and trust.
Don’t forget storytelling.
Storytelling is an excellent technique in sales psychology. You can describe your brand story to make an impression on customers and include your products and services.
Principle Six: The Principle of Scarcity
The principle of scarcity and scarcity states that your customers need less common products. Also, psychologists state that when a product is scarce, people want it more. This also applies to ourselves, and we must have experienced that when faced with limited quantities, limited-time offers, only a few items in stock, etc., we are more encouraged to buy.
Brian Tracy’s Psychology of Sales
Brian Tracy’s book Psychology of Sales discusses the principles of psychology and helps salespeople succeed in their work with strategies and techniques. It is one of the best-selling sales books in the world. Tracy helps people learn how to create a successful sales mindset, communicate better with customers, and gain their trust. Brian Tracy discusses the key points that we will introduce in this book.
Successful Sales Mindset
Tracy believes that the first step to success in sales is to develop a sales mindset. This mindset includes believing in your ability to sell, a passion for helping customers, and a willingness to work hard.
Effective Communication
Tracy says in Psychology of Sales that successful salespeople must communicate effectively with customers and gain their trust correctly. This is done by actively listening, asking different questions, and establishing personal customer connections.
Identifying Customer Needs
In this book, Brian Tracy states that successful salespeople must be able to identify customer needs and provide products or services that meet those needs. They do this by asking questions and listening to customer responses.
Is sales psychology practical in the Iranian market?
Sales psychology is efficient because Iranians are emotional. Therefore, salespeople aware of sales psychology can influence their customers and encourage them to buy their products. Some sales psychology techniques in the Iranian market are introduced separately below.
Positive use of emotions
If you intend to sell your products or services, encourage your customers by creating a sense of satisfaction and happiness.
Building trust
To build trust and use sales psychology, you should consider quality assurance, warranty, and customer trust.
Creating Needs
Professional salespeople must assess customer needs and then use various techniques to create a need for their products.
Frequently Asked Questions
What is sales psychology?
Sales psychology examines the psychology of your target market to understand how you can sell your products and services to your customers. When you better understand your target audience and the driving forces behind your customers’ decisions, you can better deliver the services they are looking for.
What are the key principles of sales psychology?
Key principles in sales psychology include reciprocity, commitment and consistency, authority, social proof, attachment, and the principle of scarcity.