Insights that Incite: Tested and Proven Ways to Activate Buying IntentTim RiestererChief Strategy Officer, Corporate Visions
@TwitterHandle • #CMWorld
AGENDA
@TwitterHandle • #CMWorld
Malcolm Gladwell
Morton M. Grodzins
Scientist behind the Tipping Point
What made the difference?
Gladwell Told a Better Story
Status Quo Buy“Why Change?” “Why You?”
-3 -1 +1 +2 +3-2
Status Quo Buy“Why Change?” “Why You?”
-3 -1 +1 +2 +3-2
60% BEFORE SALESPERSON
Status Quo Buy“Why Change?” “Why You?”
-3 -1 +1 +2 +3-2
60
NO DECISION
%
60%
BEFORE SALESPERSON
Status Quo Buy“Why Change?” “Why You?”
-3 -1 +1 +2 +3-2
60
NO DECISION
%
60%
74%Create
Buying Vision
26%Competitive Bake-Off
BEFORE SALESPERSON
Status Quo Buy“Why Change?” “Why You?”
-3 -1 +1 +2 +3-2
60
NO DECISION
%
60%
74%Create
Buying Vision
26%Competitive Bake-Off
BEFORE SALESPERSON
YOUR SOLUTION
Defeating the Status Quo Bias
PreferenceStability
YOUR SOLUTION
De-stabilize their preferences
Defeating the Status Quo Bias
PreferenceStability
YOUR SOLUTION
De-stabilize their preferences
Cost of Staying same
Cost of Action/ Change
Defeating the Status Quo Bias
YOUR SOLUTION
Cost of Action/ Change
PreferenceStability
Selection Difficulty
De-stabilize their preferences
Cost of Staying same
Create enough Contrast
Defeating the Status Quo Bias
PreferenceStability Anticipated
Regret /Blame
Cost of Action/ Change
Selection Difficulty
YOUR SOLUTION
Cost of Staying same
De-stabilize their preferences
Create enough Contrast
Before and after hero Story
Defeating the Status Quo Bias
De-Stabilize Preferences
INSIGHTS THAT INCITE …
Show Cost of Staying Same
Create Enough Contrast
Before and After Hero Story
De-Stabilize Preferences
INSIGHTS THAT INCITE …
Show Cost of Staying Same
Create Enough Contrast
Before and After Hero Story
Identified
NEEDS
CAPABILITIESSpecified
Creating a Buying Vision
Commoditized Conversation
NEEDS
Identified
Specified CAPABILITIES
UNKNOWNSTRENGTHS
Commoditized Conversation
Creating a Buying Vision
+ COST +COMPLEXITY
NEEDS
Identified
Specified CAPABILITIES
UNKNOWNSTRENGTHS
Commoditized Conversation
Creating a Buying Vision
+ COST +COMPLEXITY
UNCONSIDEREDNEEDS
Urgency and UniquenessLIVES HERE
Zakary Tormala, PhD
Persuasion and negotiations experts providing exclusive
research and collaboration on insights and concepts
Stanford University Graduate School of Business
Margaret Neale, PhD
Condition 1 Respond to Stated Needs Condition 2 Value Added Services
Condition 3 Unconsidered Needs LAST Condition 4 Unconsidered Needs FIRST
n = 400
PresentationUniqueness
2
3
4
5
6
Standard Solution
Value Added Solution
Unconsidered Needs Last
Unconsidered Needs First
Statistically Significant Uniqueness Improvement 50%
PresentationQuality
5
6
7
8
9
Standard Solution
Value Added Solution
Unconsidered Needs Last
Unconsidered Needs First
Statistically Significant Quality Improvement 10+%
PresentationPersuasiveness
4
5
6
7
8
StandardSolution
ValueAddedSolution
UnconsideredNeedsLast
UnconsideredNeedsFirst
Statistically Significant Persuasion Improvement (10+%)
NEEDS
Identified
Specified CAPABILITIES
UNKNOWNSTRENGTHS
Commoditized Conversation
Creating a Buying Vision
+ COST +COMPLEXITY
UNCONSIDEREDNEEDS
Urgency and UniquenessLIVES HERE
De-Stabilize Preferences
INSIGHTS THAT INCITE …
Show Cost of Staying Same
Create Enough Contrast
Before and After Hero Story
De-Stabilize Preferences
INSIGHTS THAT INCITE …
Show Cost of Staying Same
Create Enough Contrast
Before and After Hero Story
GainLoss
Value
2-3X stronger preference to avoid loss vs. acquire gains = “Loss Aversion”
Prefer taking risk that might mitigate a loss = “Risk Seeking”
Outcome
Prospect Theory
Which would you choose?
A guaranteed gain of $75,000
An 80% chance of gaining $100,000 with a 20% chance of getting nothing
A certain loss of $75,000
An 80% chance of losing $100,000 with a 20% chance of not losing anything
Which would you choose?
When a man's an empty kettle, he should be on his mettle,
And yet I'm torn apart.
Just because I'm presumin' that I could be kind-a-human,
If I only had heart.
- Tin Man
Plan ASave 1 out of 3 plants and 2,000 jobs
Plan B33% chance of savingall three plants/jobs66% chance of saving none of the plants/jobs
Status Quo framed as a “gain”
Plan ASave 1 out of 3 plants and 2,000 jobs
Plan B33% chance of savingall three plants/jobs66% chance of saving none of the plants/jobs
Plan A2 out of 3 plants lostalong w/ 4,000 jobs
Plan B66% chance of losingall three plants/jobs33% chance of losingnone of the plants/jobs
Status Quo framed as a “gain” Status Quo framed as a “loss”
74%
26%
55%
45%
More than 70% increase in “persuadability”
Plan ASave 1 out of 3 plants and 2,000 jobs
Plan B33% chance of savingall three plants/jobs66% chance of saving none of the plants/jobs
Plan A2 out of 3 plants lostalong w/ 4,000 jobs
Plan B66% chance of losingall three plants/jobs33% chance of losingnone of the plants/jobs
Status Quo framed as a “gain” Status Quo framed as a “loss”
74%
26%
55%
45%
More than 70% increase in “persuadability”
GainLoss
Value
2-3X stronger preference to avoid loss vs. acquire gains = “Loss Aversion”
Prefer taking risk that might mitigate a loss = “Risk Seeking”
Outcome
Prospect Theory
De-Stabilize Preferences
INSIGHTS THAT INCITE…
Show Cost of Staying Same
Create Enough Contrast
Before and After Hero Story
De-Stabilize Preferences
INSIGHTS THAT INCITE…
Show Cost of Staying Same
Create Enough Contrast
Before and After Hero Story
NeocortexDesigned for Analysis – rationale, logicalJustifies Decisions
Limbic System/AmygdalaDesigned for Survival – emotional, intuitive
Makes Decision for Change
Craves Contrast
FUTURESTATE
CURRENT STATE
FUTURESTATE
What did we measure?
Purchase IntentInterest and likelihood of making a purchase
Attitudes and ChoiceWillingness to switch and willingness to pay more
AdvocacyLikely to tell others and recommend a new product
Product PerceptionsRepresents innovation and a clear improvement
3
4
5
6
7
8
Future Only Current then Future (Same
Screen)
Current then Future
(Separate Screens)
Current and Future (Side by
Side)
+14.63%Interest and likelihood of
making a purchase
Purchase Intent
3
4
5
6
7
8
FutureOnly CurrentthenFuture(Same
Screen)
CurrentthenFuture(Separate
Screens)
CurrentandFuture(Sideby
Side)
+14.06%Willingness to switch and willingness to pay more
Attitudes and Choice
3
4
5
6
7
8
FutureOnly CurrentthenFuture(Same
Screen)
CurrentthenFuture(Separate
Screens)
CurrentandFuture(Sideby
Side)
+12.46% Likely to tell others and recommend a new product
Advocacy
3
4
5
6
7
8
FutureOnly CurrentthenFuture(Same
Screen)
CurrentthenFuture(Separate
Screens)
CurrentandFuture(SidebySide)
+13.40%Represents innovation and
a clear improvement
Product Perceptions
CURRENT STATE
FUTURESTATE
De-Stabilize Preferences
INSIGHTS THAT INCITE …
Show Cost of Staying Same
Create Enough Contrast
Before and After Hero Story
De-Stabilize Preferences
INSIGHTS THAT INCITE …
Show Cost of Staying Same
Create Enough Contrast
Before and After Hero Story
Who are you going to be?
Gladwell or Grodzins