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One big mistake I’ve seen companies make is writing about their products while using their competitors’ copy as inspiration.
So, apart from sounding exactly like their competition, they also offer a very similar service. Which begs the question: how is the customer supposed to decide who to go with?
Of course, having different prices can be a big selling point, but what if they are not strategically and psychologically placed in front of your potential customers? Most importantly, how do you know if what they wrote and how they wrote it is generating the conversions they need?
In this note, I’ll go ahead and go over the five proven psychology tips I always follow when writing copies for my clients, which will help you optimize your copy so you can stop leaving money on the table.
These tips can help you whether your business is based on services, products, or software as a service (SaaS).
1. Anchor bias
One big mistake companies make when showing their pricing options is to first show their lowest price option, or even free.
I understand. They believe that by showing their lowest bid first, they will position themselves as market leaders who serve everyone with competitive prices. This, however, is not the case.
Studies show that people’s decisions are greatly influenced by the first thing they see. Therefore, in this case, your decisions will be affected by the first price option you see, which will become an unconscious benchmark for the other price options.
Of course, anchor bias can be applied in many ways in marketing and copywriting. In fact, I can write an entire article just about anchor bias. But right now, I only share one element of action.
What are you doing: Show your most expensive pricing option first. This will become the reference point (your bait) and make them choose another plane.
Related: 4 psychological techniques that can improve the price of your products
2. Serial positioning and primacy effect
Now that you know which pricing option is the first, how do you organize the benefits of each offer? Welcome to series positioning and the primacy effect.
As I said before, studies show that people tend to remember the first and last items on a list. This is known as the series positioning effect; the former are stored in your long-term memory and the latter are stored in your short-term memory.
However, the last elements decrease over time, leaving them with only the first elements. This is known as the primacy effect.
What are you doing: Now that you know the right order (most important first), you need to do a customer voice survey and find out what benefits your customers want the most. Once you do, you’ll be one step closer to optimizing your bid position for more conversions.
3. Aversion to loss (FOMO)
The current “FOMO” (fear of getting lost) is actually an aversion to loss. However, it is deeper than just being afraid of getting lost. Feelings of losing something are twice as strong as those of gaining something.
Our desire to avoid pain is more vital than our desire to seek enjoyment and fulfillment. Avoiding the negative feelings that accompany loss is a strong motivator for us to act on something.
We can also be very irrational when we make decisions based on the fear of losing what we want right now. It’s easy for marketers and business owners to add scarcity to their offerings without understanding their meaning, but now you know.
What are you doing: Offers prices for a limited time. Introduce a competitive pricing deal that will go away soon or decide to raise prices and get them fixed at current prices.
Related: The role of memory in customer service
4. Effect of time versus money
What do you value most: time or money?
One study shows that people have a more positive reaction to selling arguments that refer to time rather than money.
My theory is that time is finite, while money is just the opposite. Therefore, employers value time more than money. Also, I strongly believe that time has a more emotional connotation than money. When it comes to positioning your product, you want to keep that in mind.
What are you doing: Instead of focusing on how much your copy will save, focus on how long it will save. How many hours a day will they return? How many days a week will they be back so they can spend more time with their families?
5. Central effect
This psychology tip complements the anchor bias, the first on this list.
Research shows that we often go with the average option when we are presented with multiple options, especially when the options are not significantly different and the benefits of each are clear to the person making the decision.
What are you doing: Suppose you have three price levels. The first will be the most expensive, possibly a decoy. The one in the middle will be the one you really want them to choose, also known as your money generator. The latter will be a lower price offer with basic benefits that will only work for a small number of people.
Related: How to Choose a Pricing Strategy for Your SaaS Business
Now look at your current copy and see where you can implement the psychology tips I mentioned earlier. Easy!