Hi Chris younggren here again and welcome back to another sales thought of the day today, we’re picking up on part two of how to make the reciprocity laws work force in sales.
Now this week, we’re going to talk a little bit more about how the law could actually backfire on us and how could they have us agreeing to a unequal or a uneven exchange and have most feeling like we got taken advantage of to explain how this law Could take advantage of you, let’s turn to that example of our neighbor, helping us with our groceries, and then we went ahead and lent him that fancy nice expensive power saw that we never lend to anybody now.
The neighbor had helped us carry in two bags of groceries.
It took maybe two minutes out of his or her time and we in turn three days later were asked.
If he could borrow our power saw now, this power saw is expensive.
We don’t lend it to anybody, we’re very particular about it and we really lucked it whenever he requested that he can borrow it.
I mean, after all, it cost fifty sixty bucks an hour to rent one of these.
However, we went ahead and relented.
Why? Because the power of cognitive bias, so if your neighbor was offering an unfair exchange – and you didn’t really want to do it anyway – why’d you agree well, you know why it’s the law of reciprocity at work.
Once again, you see the way this law works.
Is it allows for your neighbor to get to offer that first favor and then they actually get to pick the get out of debt favor that you are required to go ahead and return now, because of this, this can leave you open to getting played or getting An uneven exchange, it all centers around this immense desire for us humans to even the score.
It’s so hard for us to accept an uneven exchange, and we just want to get rid of that uncomfortable feeling of owing somebody.
Something so will sometimes agree to do things that we don’t even want to do just to respect this law and there’s another emotional reason why you went ahead and lent him that power saw when you didn’t really want to, and that’s because reciprocity, it’s a universal social Norm, we don’t want to be disliked by flying in the face of social norms being known as mooch.
Is such a harsh label the world willing to take the short end of the stick when it comes to the favor exchange just to keep this from happening now? Another way to create uneven exchanges between two parties is something called reciprocal compromises and they’re, actually, probably even more stealth than the do something nice for me and I’ll do something nice for you approach.
So we can better understand this concept of reciprocal compromises.
Let’s turn to a real-life example that dr.
Chow feigning his book influence talks about.
He said that one day he happened to be walking down the street and he was approached by a Boy Scout who was selling tickets to a scout, sponsored circus.
There were five dollars.
Each so he was asked if he would purchase a ticket he declined, then the Boy Scouts stopped and said.
Well, if you don’t want to purchase any tickets to the circus, how about a chocolate bar for a dollar each well, dr.
shell Dini, whips out two dollars goes ahead and makes the transaction.
Sheldon, he realized that he had fallen victim to the rule of reciprocity because he doesn’t even really like chocolate bars and he likes two dollars a lot more.
Child any experience in this Boy Scout example is a perfect illustration of the final aspect of reciprocity bias, and that is we’re obliged to make concessions when someone else has made some type of a concession to us.
A great example of using the reciprocal compromise.
In sales can be seen used by finance managers when asking a guest for cash down when they’re financing a vehicle.
Now, first, the finance manager is going to make it known that most lenders do like to see 20 % of the selling prices at down payment, and then they give them some good reasons on why it’s beneficial for the guests to go ahead and put the money Down when it comes time to ask for the cash down or if they’re going to go ahead and do the 20 % most guests will decline and say I didn’t want to put any money down, the finance manager usually come back with.
Well, how close could you come to the 20 % if they can’t put anything down again, they’ll typically, the Bonanza will say how about 10 %.
He figures that amount up and shows it to them.
They at this point, maybe you’ll, come up with two three four or five hundred dollars and then the final compromise, the finance manager, makes is figuring up.
The tax title license on his calculator, turning it around and saying we at least wanted to put down the tax and license didn’t you, and he points to that particular figure.
Now I tell you what I’ve seen this work when customers tell you right from the beginning that they’re not going to put any money down, it works about 50 % of the time or more.
So it’s a great method on helping somebody do something.
That’s actually good for them.
I mean I view this as helping the guests no different than a personal trainer.
Helping me go through short-term pain to get long-term gain, but guests.
Putting the money down upfront is going to help them later on down the road, because, after all, by putting the money down, they’re gon na save money on interest charges and they’re gon na actually lower their payment due to the rule of reciprocity influencing the compromise process.
It could lead to a compliance method that could easily be used as a negotiation tactic and that’s called the rejected retreat method.
Let’s return to that example of the Boy Scout and doctor child eeny.
First doctor child eeny rejects the Boy Scouts solicitation of the circus tickets.
However, then, the Boy Scout retreats and makes a second request, which is accepted where the Boy Scouts said unintentionally to go ahead and use the ask and retreat method is unknown.
However, one possible explanation could be that maybe the Boy Scout was offered a greater incentive to sell the chocolate bars over the circus tickets, and maybe the circus ticket was just kind of a throwaway item to get to what he really wanted to sell, which was the Chocolate bar either way the result was the same, and the reciprocity rule has great power and that great power could actually be used for ill intent.
I think spider-man’s Uncle Ben’s said it best when he said with great power comes great responsibility and we should use this power.
I mean it’s a powerful rule, but we need to be aware of its capabilities and what it could do and that it could make us either a victim or a perpetrator to the power that lies within the reciprocity bias laws.
Well, I hope you learned something too.
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