Although there is a considerable art to persuasion, there is also trackable science to it as well. One of the greatest experts on the Science of Persuasion & Influence is Robert Cialdini has narrowed down 6 of the most important principles to persuasion and influence, and they include…
His scientific studies have shown that when all 6 of these principles are practiced in your business, you will have a considerable edge over your competitors. In Part I of this article I will be going through the first half of these principles, then in next month’s
Now before I continue, allow me to add a 7th Principle, that I believe will make or break all 6 of these other principles.
Congruency: You absolutely must be congruent and sincere in ethically and honestly wanting to create win/win outcomes with your clients using these principles. Otherwise, you’ll end up with people having buyer’s remorse and never wanting to do business with you again, tenants that have no respect for you or your property, and in my belief, you’ll just have bad karma all around.
In the wise words of the late, great Zig Ziglar; “You can have everything in life you want if you will just help enough people get what they want.”
Reciprocity: You’ve probably already heard of “The Law of Reciprocity,” and there’s a good chance you give your clients gifts at the time of closing to help seal the deal, and hopefully gain their referrals in the future. According to Cialdini’s study, there’s a real science to how to do these best though.
For example, Cialdini did a study where he had a waiter at a restaurant give a mint to every customer after their meal, and they found that the waiter’s tips typically went up by about 3% with the mint vs. without the mint.
They didn’t stop there though. They then tested how much the average table would tip when the waiter gave two mints at the end of the meal instead of one, and instead of tips doubling, they actually quadrupled to a 14% increase in tips!
The study didn’t stop there either though. They then had the waiter leave one mint, start to walk away from the table, then turn around and say “For you nice people, here’s an extra mint,” tips dramatically increased to a 23% increase compared to if there was no mint at all!
So if you aren’t already giving gifts to your clients and tenants, even just small gifts, then I highly recommend you start. And if you aren’t going out of your way to make your clients and tenants feel special and unique with how much you appreciate them, then start.
Scarcity: This is an easy one for the real estate business right now because inventory is so low, and the cost of buying a house keeps going up. This has created a considerable scarcity in the Las Vegas area, and human beings just tend to be wired to “Want more of those things there are less of.”
In studying this principle, Cialdini took note of the fact that in 2003 British Airways announced that they would stop offering the twice daily, London to New York Concord flight because it had become so expensive and “uneconomical.”
The very next day after British Airways did this, sales increased dramatically. Sound familiar to the Las Vegas real estate market?
Now I’m not saying that you should unethically create a false scarcity just to do more business, because people are onto those kinds of tricks and your referrals will most likely go down if you do, but I am saying that it’s perfectly ethical to help others understand when there already is a scarcity so it’s important they buy now before the inventory gets lower and prices, including interest loan rates, go up.
There’s a little more to using the principle of scarcity though if you want to really persuade others.
Instead of just telling them what they will ‘lose out’ if they don’t do business with you, you also want to point out what the unique benefits of doing business with you immediately, rather than waiting. You want to mention both what they will lose, and what/how they will gain.
Authority: People follow the lead of credible, knowledgeable experts. There are many ways to establish yourself as an expert.
You can create educational Youtube videos; you can write articles for publications. You can write a book on the topic you are an expert
at, and so much more, but one of the simplest ways of establishing yourself as an expert is having someone else casually introduce you as one to others.
The science has shown that when someone is introduced by someone else as being an expert in a specific area, even if that someone else is a close friend or relative, the person being introduced
is automatically looked at as an authority figure.
In addition, having someone with a personable voice other than yourself answering your phone and transferring calls to you with a brief introduction such as “Let me connect you with Mary. She has over 22 years experience selling properties and really knows how to find the best deals” has been shown to increase appointments by as much as about 22% and as much as a 15% increase in the rise of signed contracts.
There are other factors that play a role as well, including dressing well professionally.