Prospect Theory - Sales Crash Course
Salespeople-- Here's a crash course in the psychology of judgment and decision-making under uncertainty (like a global pandemic or something 🤷🏽♂️).
It's called Prospect Theory. We think that people make rational choices based on their self-interest. Nope...
People frequently fail to fully analyze situations where they must make complex judgments. Instead, people often make decisions using rules of thumb rather than rational analysis, and they base those decisions on factors economists traditionally don't consider, such as fairness, past events and aversion to loss.
Hence why loss aversion is 2X more powerful than the desire for gain.
This is the email I'd be sending that uses Prospect Theory:
I've summarized several hours of research on consumer sentiment and purchasing data during these times of uncertainty for your industry.
Surprisingly, some companies are finding growth opportunities by being responsive to the shift to working from home and online shopping. The report is attached for your convenience (feedback appreciated).
Is it a ridiculous idea if we spoke about similar ways you can mirror these tactics?"
#sales #marketing #psychology