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Philip Greenwood
10-14-2008, 11:33 AM
I originally published this article on our Executive Rockstar JV partners' Blog, but after dozens of partners phoned me to twist my arm to make it publicly available, I finally agreed – well anything for a quiet life! It's information that's taken me years to fully understand, and lots of my ($6,000 a day) consulting work is based on it, so go ahead and read it, but remember it's powerful stuff - treat it with the respect it deserves: Use it only for good purposes!

I don't know how long I'll leave this post up, so I would recommend that you read it all now, or copy it to your computer for future reference.

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Have you ever paused to wonder why we launch things? Launches are a huge feature of Internet Marketing, but practitioners rarely connect their practices with the field of research behind them – the study of influence. In this article I'm going to do just that: talk about why launches work, and how they can be improved.

The cornerstone book in this field is by Professor Robert Cialdini, called the 'Influence – Science and Practise'. He's studied the techniques of sales people, and conducted scientific experiments to evaluate which elements of their behaviour are most effective. His conclusions are presented in a very compelling fashion his book – it's an easy read too - so I won't attempt to go into detail here – I'll just offer a synopsis.

Of course, everybody believes that they make decisions rationally, but tests show that we don't – by a long shot. The human mind is actually geared to make 'good enough' decisions efficiently and rapidly, rather than correct decisions. The field of cognitive psychology has revealed and catalogued may errors that we make persistently – it calls them 'cognitive biases'. And this is where the fields connect – influence techniques take advantage of cognitive biases.

(As a short aside – there's parallel field called Decision Science that is all about how to compensate for your cognitive biases.)

Lets take a look at the elements that Cialdini says are powerful, and how they are applied in a launch:

Scarcity

People are motivated to take action to secure things that they perceive may become unavailable to them in future. This is the key component of a launch, and it's the main difference from 'Business as Usual'. Scarcity is created by limiting the quantity of the product or service available to the prospect – either in quantity or in time. i.e. We're only selling 300 of these or, this product will only be available until Saturday. Of course there has to be a plausible reason, which isn't always easy with a digital product.

But product scarcity isn't enough - a product could be as rare as hen's teeth, but since I have no reason to believe I'll ever want to own a hen's tooth, then I wouldn't be interested in a launch for them.

The main thing the scarcity does is provide two focal points – points in time: when the product becomes available, and when it will cease to be available – the decision dates. These two times create urgency for people to make decisions – decisions they otherwise would defer as being too hard or unimportant.

The other thing about the decision dates is that it implies that you will only want people's attention for a limited time – and they are much more likely to give it to you on that basis. Most people are challenged for how they allocate their scarce time, so this is a very powerful message. And now you've got the prospect's attention, there's much more you can do...read on to find out.

As the launch process timing nears the decision points, it's a powerful technique to increase the scarcity: For instance, we've generated high interest in Executive Rockstar (http://www.executiverockstar.info) already, and some of the big corporations have contacted us for bulk-bookings; one of our mega-affiliates has let slip about the bonus offer early, and we're doing damage control...etc

Perceptual Contrast

The main perceptual contrast is that the launch allows you to make special offers: A course the people normally buy at $5000, but which is being sold for $1600 is a bargain – even if you wouldn't normally spend $1600 much on a course. Of course you might not want to contrast entirely on price – you might want to point out that doing your course is efficient – if you did the course over a week at a seminar, you'd have to include loss of earnings, accommodation, deferred benefits, that would probably cost you another $ 2000.

And now you've got the prospect's attention, you can contrast other things too– what other people do that is wrong and how you do it better; how little value people get from other things and how much they get from you; how the people who do your course, or read your book, or view your DVDs, will be more successful than the 'fools' who don't buy the product.

Reciprocity

Reciprocity, or reciprocity debt, as I prefer to call it, occurs when you give something of value to someone else, and they feel indebted to you for it. The key words here are 'of value' - they need to know that YOU BELIEVE what you have given them is valuable – which is why Internet Marketers often attach prices to things that they are giving away (often at almost no cost to themselves).

So if you give away a document (like the Big Plan on our website), it's usually best to attach a value to the item – of course you can always imply value, for instance, by saying that the document is the result of years of research, the thousands of books you've had to consume to gain the insights, the luck you had to become friends with the top guru of the subject, and the immense power of the information – this is the strategy we used for the 'Big Plan', because we can.

Consistency and Commitment

People expect each other to be consistent – it's a highly prized social attribute. So when somebody says 'yes' to your freebie – through the sign-up box, and the opt-in email - they are more likely to follow the rest of your launch campaign, and read (or view) your other materials. If you get them to make a small purchase first, they are more likely to make a larger purchase later.

The on-line launch process provides other tools to utilise this need to be consistent – for instance the viral inviter – people who invite their friends to have a look at a website or document create for themselves a social obligation to support you – in order to be consistent. (And people who invite themselves with your viral inviter create a strong reciprocity debt!)

People who put supportive comments on your blog will also have a strong need to continue supporting you when it comes to the decision points – so create opportunities for people to show their support, and give public recognition to those who do!

Liking - Emotional Associations and Disassociations

While you've got your prospect's attention, you'll want to create a personal bond with them – in this age of video, it's entirely possible to create asymmetric relationships – your video is watched by many people, and some of them will like you!

Some will like you for no other reasons than they feel similar to you. Others will like you because you represent who they would like to be. And there are many ways with video to amplify these asymmetric affinity bonds, using emotional associations – for instance: using bright colours, triumphant music, having beautiful people around you, advocating freedom, motherhood and apple pie...this is a vast toolbox.

You can also disassociate yourself from villains – but choose your villain carefully – it's best for them to be general (a group of faceless villains), rather than specific (George W. Bush). In the case of Executive Rockstar, we've chosen the nameless corporation as a villain – they use you up and burn you out; you have to take care of yourself...

Social Proof

Nothing sells like a hot product – if lots of people are buying it and say they love it, then people will perceive that product must be good. I'm really not sure that my Apple MacBook is better than a PC, but all the other Apple MacBook owners say they are...so they must be. Right?

So in a launch process, prospects need to hear from other, highly satisfied customers – it's a social shortcut we use to make hard decisions – decision scientists HATE this process, but it is massively strong. So it's a good idea to expose your affiliate marketers to your product, and collect up their testimonials.

And with an on-line launch you have an extended control of the perceptions of the prospect – they can't see the line outside your store (or the absence of it). They just know they've got a lot of emails about your product, and so they will believe that everyone else has too...

By concentrating your activities into a launch, the social proof you're able to deploy appears bigger than it would otherwise. So your affiliates, associates and previous customers should all benefit from their vocal support!

Authority

There are two forms of authority: Positional and earned. Authority is earned by people of superior wisdom, knowledge of power. Positional authority is achieved by reference – for instance wearing the 'clothes' of the earned authority or occupying the offices of earned authority. Regardless of these distinctions, authority is a powerful tool in a launch process.

You might do this by using the logos of previous, well known, client companies – or by getting someone with a wide reputation, like Frank Kern, to come out and speak for you. (Another aside: Did you ever really think of Frank as an authority before? Don't let the 'surfer dude' character fool you – Frank's about as savvy as they come).

The classic use of authority is by reference to 'science' or 'scientific studies' – the very association with a white lab coat seems to have the power to sell all sorts of cosmetic and food products.

Now we've cited Prof. Cialdini's studies in the document for the previous sections, but we've also observed some more techniques that we'd like to share. We haven't got the science to back these up to hand, but they do seem to work:

Risk-avoidance

We've noticed that people will go to extreme measures to avoid risk – preserving what they've got is a powerful motivator – and one that often prevents sales. For the prospect, each purchase is a risk, and so the offer of a guarantee is crucially important. But if a prospect is buying something to avoid a risk, you've got a stronger sale.

Reactance

The 'Reactance Point' is the point where people perceive your attempts to influence them – they usually immediately rename it as 'manipulation'. So if you say something directly to a prospect, you're more likely to reach their reactance point – and they will cease to believe you. So you need to imply things rather than tell them. The exception to this is when you are de-risking things – then it is best to be clear and direct about your offer.

Reactance can be used in another way: I'm sure now you understand these techniques completely, and how they are used in a launch process, then there's no need for you to get involved with Executive Rockstar - either as an affiliate or as a course participant. I've clearly told you everything I know, right here!

Rationality

Helping people make decisions on a rational basis is last in the list, because it's not really an influencing technique. However, if I offer you a straight exchange of $200 for your $100, then rationally it's a good offer – but it might make you suspicious...what if my dollars are counterfeit?

Furthermore rationality is subjective – what is rational for me, may be highly irrational for you. All we are doing with influence techniques is helping people make a decision based on our own rationale.

Summary

The amazing thing about these influencers is that they work, even if you know about them, and know they are being used – their power is diminished, but not eliminated!

If you're curious about Executive Rockstar JV Partner Program, go here:
http://www.executiverockstar.info/invitation/1/private.html

Dagenius
10-14-2008, 05:19 PM
Im glad you wrote this article, some of the things you spoke of i knew about already, and some of them I didnt. Im going to be applying all of this info into my own product launches. Thanks alot.

imported_Kim Roach
10-18-2008, 10:41 PM
Thank you for sharing this truly insightful article. I'm a big fan of psychology. Such a fascinating topic.

It's interesting that you mentioned scarcity when it comes to digital products.
Marlon Sanders does something I really like to create scarcity for his digital products.

He pulls his bonuses on a set time schedule. In fact, on his Promo Dashboard site right now, he has a countdown that says, "Order In The Next 00 Days 11 hours
21 minutes and 14 seconds And Get My Revealing Interview With Ryan Deiss On
How He Builds Large Businesses By Partnering With Experts!"

... And then of course it's counting down the seconds.

I found this technique very effective for creating scarcity for digital products. It really makes you kind of nervous when you see that countdown at the top of the page. Good Stuff!

- Kim

James Delong
10-25-2008, 03:12 PM
Great article. I find this process to be on point however I wonder why some many forget the little steps such as social proof. People should know by now that merely by watching infomercials late night that testimonials are so important in their launch.

Mustang
04-06-2009, 02:57 PM
I enjoyed reading this article although it is probably too complicated - or too long - for the average Joe.

Tim Wright
04-24-2009, 11:07 AM
Thank you for your article, Phillip. The information is very helpful and useful for planning future launches.

I especially like what you say about reciprocity and creating emotional associations. It seems like these are real keys to creating a "connection" with people.

I am actually in the midst of trying a "mini launch" with my small list of subscribers using my daughter's upcoming graduation as the excuse for contacting them and asking them to post notes of encouragement and advice. There's no sales pitch, but just an invitation for them to contribute their own thoughts and words of wisdom on a special blog I created just for this purpose.

My hope is to "warm up" this list by creating an emotional connection with them. I think this naturally creates a feeling of reciprocity. I will then send out a "special offer" as a way of showing my appreciation for their involvement in encouraging my daughters. I think that they will be more willing to take me up on this simply because of the relationship created by THEIR contribution to the blog.

All that to say, thank you for your article. It is extremely helpful as I am learning.

All the Best,

Tim

Gregory Simpson
04-26-2009, 10:15 PM
This was really an impressive and enjoyable article to read, providing solid content for newbies and good reminder info for the more seasoned JV professional.

Aaron Glinski
06-21-2009, 07:06 PM
Very impressive and extremely helpful.

cal gladyng
07-15-2009, 02:06 PM
cheers for sharing

c4rves
07-16-2009, 01:45 PM
Great post, some really good pointers here I already know most of this but good points here to keep them fresh in the mind thanks .

VisiTrak
09-04-2009, 11:06 PM
I also enjoyed the article. Regarding the portion that deals with my potential customer being "manipulated," however, has raised a few concerns.

In my opinion, there needs to be some form of manipulation in order to create a sale. I would appreciate a little more detail, in your opinion, or the forum members' opinion, for that matter, regarding these details.

Any responses would be greatly appreciated.

Thanks

George

dev.null
09-15-2009, 12:22 AM
Awesome post Philip - reads like a book. Over the past 10 years I've seen each of these points, sometimes some of them are together, but most of the time guys "waste" entire articles on just one point (how many ways can you slice "scarcity" anyways?). Your article is short and concise, yet comprehensive.

Looking for more great info from you!

Sally Laird
09-29-2009, 10:30 AM
Thank you for a really informative article.

euhlir
09-29-2009, 05:13 PM
Killer article here Phillip. I really took something from the reactance portion. Thanks.

Jay Author
10-18-2009, 02:09 PM
Thanks for sharing such a quality information here with all of us. I am going to use your advice as a checklist for my promotions.

Jay Author

owbg
10-22-2009, 12:45 PM
Thank you for sharing the article.

Debi Davis
12-27-2009, 11:06 AM
Thank you for sharing this read. Cialdini's book is great for reading, referencing and rereading again.

Paul Morris
12-29-2009, 01:44 PM
Good article Phillip .. The thing I have problems with is .. the psychology of the sell ... Im quite good at 'disecting' a pitch and can see the use of psychology, But am I looking too far past the usual user/buyer ... I would more prefer the subliminal soft sell approach .. see attached .. http://bit.ly/8SVLLf

Do I think too much .. ? or is ( what I would call ) the hard sell common place.

regards Paul

fireword
12-31-2009, 12:55 PM
Great thought for moving both an online and offline business to profit making


www.theebooks4u.com

Sally Vollenweider
02-23-2010, 12:24 PM
Although written over a year ago, this is both timeless and priceless advice. Thanks

Marlene Kristensen
03-10-2010, 10:38 AM
Wow what a great post!

This is exactly what I was looking for.

Thank you very much!

Kunj K
03-31-2010, 06:00 AM
It's funny, over the past few years everyone kept referencing the book "Influence"... and I finally got round to reading it...

I was like :o

Thanks for your article, I liked how you tied the principles in that book to product launches.

MoreProfits
07-16-2010, 03:14 PM
Thanks, I particularly like the idea of using scarcity in the launch promotions to motivate people to decide quickly.

dougp
07-28-2010, 09:42 AM
Thanks for reminding me about the principles that are in the Cialdini's book. There are a couple of elements that I could extend on this article. Something that you can use for social proof online is lots of testimonials. If a lot of popular credible marketers have their name behind a product, then many prospective buyers will associate the quality of the marketer with the product. In addition, to help establish authorities, try to collect as many "badges" to place on your website. That's why marketers place "as seen" on ezine articles, Digg, Google, Yahoo, and etc on their website on clickbank. Some people will think that "oh wow" this website was featured on this network, so it must be an authoritative website.

Doug

Victor.C. Richefeller
11-13-2010, 02:25 AM
Very Rich In Content,

I must say, this is one of the most insightful and well researched posts I've read in recent times.

Gracias.

ninjatechs
11-17-2010, 06:38 PM
Thanks for sharing such a quality information here with all of us.

Dwayne K
11-18-2010, 12:37 AM
Thanks for sharing Philip!

You hit all the main points about launches and
launching in the post.

D