As an introvert, I have always been curious about how sales work and how people are persuaded to make purchases. In the book "Influence - The Psychology of Persuasion" by Robert Cialdini, the author dissects the components of influence. There are eight factors that can create influence: reciprocation, liking, social proof, authority, scarcity, commitment and consistency, and unity. In each chapter, Cialdini thoroughly explains these concepts and provides numerous examples and studies to support his arguments. In this article, we will explore the core concepts and see how we can apply them.
1. Reciprocation
Reciprocation refers to the act of giving something small in the hope of receiving something bigger in return. An experience I have had related to reciprocation is when I go to a Chinese restaurant, and the waiter always brings the bill along with some candies. However, since I am not the one paying, I am unsure if this action truly works and if my parents end up giving more tips.
Reciprocation works not only in sales but also in negotiation. By making a more demanding offer initially and later compromising to accept a smaller one (the one we actually want), we can create a sense of gift-giving to the opponent because we have taken a step back. This technique is called "reject-then-retreat."
2. Liking
Jonathan Swift once said, "It is useless to attempt to reason a man out of a thing he was never reasoned into." It is challenging to change a person's feelings, and if they don't feel a liking towards something, they will find their own reasons to reject it. On the contrary, if they like you, you have a better chance of sealing the deal.
There is a related idea called the "Halo Effect," which suggests that positive or negative feelings a person has about one thing tend to affect their judgment and feelings about another thing. Apple is a great example of this. If we like the iPhone, we are likely to have a positive predisposition towards the Macbook as well.
But how do you make others like you? Find similarities and make them feel that you are on their side.
3. Social Proof
Approximately 95% of people are imitators. That is why social proof is so powerful. To create social proof that can influence people, three principles come into play: the number of people involved, an uncertain situation where you can provide guidance on what to do, and the feasibility of the action.
The message conveyed by social proof is, "This must be good because so many people (like me) are doing it" and "If so many people can do it, I can do it too."
4. Authority
Authority can be created through clothing and trappings, but this impression does not last long. Real authority can only be established by demonstrating expertise. One particularly useful tactic is to state your weaknesses or failures upfront. This approach works especially well when the person you are communicating with is already aware of them. It shows that you are an authentic person.
In the book, the author mentioned a story about a job seeker who included his failures on his resume along with an explanation of what he learned from them. It helped him stand out! Perhaps it's worth a try.
5. Scarcity
Most people are loss-averse, meaning they tend to prioritize avoiding potential losses over acquiring equivalent gains. Businesses often use this cognitive bias to their advantage. This tactic works because it limits our free choice and creates a sense that our freedom is being threatened. In order to retain our freedom, we desire scarce items or opportunities even more.
However, it's important to note that if the scarcity tactic is used too often, it can lower the brand's image. When negotiating or selling something in person, it is suggested that you reinforce the freedom of choice for people by explicitly stating that they are free to decline
6. Commitment and consistency
We have a natural inclination to be consistent with our self-image and to uphold our commitments, especially when we have put effort into them and when our commitments are publicly displayed and made willingly. One simple trick that companies use is to have customers fill out forms themselves, which helps reduce the cancellation rate because it reinforces their commitment.
7. Unity
Unity refers to the sense of "we-ness." When we find similarities between the person we are talking to and ourselves, we are more likely to consider them as part of our group. This sense of unity can be created through shared kinship, shared hobbies, or even the same geographical location.
Summary
To influence others, we can start by applying the above principles. Some are particularly useful for online businesses, while others are more applicable to in-person sales. However, creating authentic connections with others is the most important aspect overall.