Networking and 60 Second Commercials--Your Credibility
The Cost of Distrust Will Cost You Sales
Before we dig deeper into techniques you can use to improve your credibility, there is another issue called the “Cost of Distrust.”’ Steven Covey has written on this subject. Bottom line, mistrust slows everything down and increases costs. For example, When two people have trust with each other, a transaction can go very quickly. Mistrust slows down this process.
It takes more time, more energy to complete the transaction when the two sides don’t trust each other. Each sides wants to be sure. They don’t want to make a mistake. When they feel the conditions are not right, they slow it down. This increases the cost in time and energy to complete the transaction. Whenever you have distrust, expect the transaction to go slower and consequently cost more. Perhaps this explains why businesses today say it takes 8-10 contacts to make a sale. This is up from the 3-4 contacts five years ago.
Credibility Scale
In my pricing materials, I described a pricing scale that everyone carries around in their head. On the left side of the scale is the cost of the product. On the right side of the scale is the perceived value of the product. If the perceived value of the product clearly outweighs the cost, the customer buys. The scale image also applies to believability.
Everyone carries a credibility scale in their head. It’s part of the conversation going on in our heads. It comes into play with every purchase. On the left side of the scale you have doubts, questions, suspicions, and the baggage of our climate of uncertainty. These qualities weigh down the scale and become obstacles to overcome in a purchasing process.
On the right side of the scale is your credibility and believability. With a stranger, you probably start with the scale totally weighed on the left side. With someone you know your scale may be more balanced. Your challenge as a seller of products or services is to move the right side of the scale so it becomes weighed in favor of your creditability. You do this two ways: reduce the lack of credibility and enhance your believability.
More on credibility in the next blog entry. Your comments are welcomed...
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