This tried and tested technique of scarcity marketing has been used for increasing conversions by over 300%. Once you use it, you’ll never look back again!
This is part 3 of a 5-part series on increasing sales through your improving website through conversion rate optimization.
How To Make People Do What You Want Them To Do With Scarcity Marketing
What I’m going to talk about, you already know. You’ve heard of scarcity marketing. Please keep reading though. You’ve probably bought a product because of this technique.
You Already Know This About Scarcity Marketing
I can GUARANTEE that someone has done this to you with great effect. You probably didn’t even know it happened.
One of the easiest things for a consumer to do is put off buying something or performing action until later.
I don’t need this now, or I’ll buy it when I get paid or I’ll sign up later.
Good old procrastination is the biggest CAUSE for a customer not taking action now.
Some of the most successful online companies have found a way to solve this and are literally printing money!
This 101 Photo Manipulation examples will leave you breathless! You will not believe your eyes! Check them!
How Big Shops Get Around Procrastination
They have time limited sales. They introduce a deadline and incentive to act now.
If you don’t buy now, you’ll miss out. Hurry! Everyone else is buying it now. It might run out.
Guess what, I can guarantee you’ve bought something on sale that you didn’t plan to buy AND that you don’t need.
Have you ever seen a well marketed sale? People literally stand in queues to get into the store first.
These are normal educated people like you and me and MORE IMPORTANTLY, like your customers.
Why Is This?
The element of scarcity marketing.
If there is an endless supply or no incentive to complete the action now, people will naturally procrastinate.
The problem is that when they leave your website, they forget about you and go on their merry way.
You’ve missed out.
You need to introduce some form of scarcity to encourage your visitors to take action NOW!
Over the next few days, I’m going to PROVE to you just how well the concept of scarcity works.
If You Don’t Act Now You’re Going To Miss Out
Have you ever wondered why diamonds are so expensive? Scarcity marketing.
Why Diamonds Are So Expensive
They have no major use except that they are pretty to look at, and have a few industrial applications.
These industrially used diamonds can be manufactured and are cheap in comparison to the ones you see in jewelry shops.
I’m talking about the rocks that they mount on rings and other jewelry. Are they that much prettier than many of the other precious stones?
Did you know that the diamond companies have large stockpiles of diamonds and diamonds are actually not scarce at all?
If they wanted to, they could flood the market and diamonds would cost no more than other precious stones, but why would they?
People are happy to pay 100x the value of a diamond, just because they think it’s scarce.
These guys are brilliant marketers and I take my hat off to them.
Does It Work?
Does scarcity marketing work? Absolutely.
I bet you’ve even bought a diamond before. I have.
This type of scarcity marketing is known as limited quantity scarcity and is extremely effective.
There is another way that this type of limited quantity scarcity is applied to create an urgency to take the action now.
People fear missing out, and since there’s a limited quantity, they need to act now.
What I’ve Seen
I’ve seen people literally grabbing stuff at a sale (where there is a limited quantity) just because they fear missing out!
It’s crazy but it works.
I’ll look at the next type of scarcity shortly.
Scarcity works because it forces action. You can’t be a fence sitter if the product is coming off the market tomorrow. If you want it, you have to decide now.
3 Common Ways To Make People Take Action Now
So how do you apply scarcity marketing?
The Three Most Common Ways
- Limit The Time
- Limit The Quantity
- Limit The Offer
You need to get people to act now and not procrastinate. Once they leave your website they’re gone.
How Do You Limit The Time?
I’d suggest that you come up with a great offer for people.
Then place a time limit on that offer to create urgency.
E.g. “This discounted price is available for the next 48 hours and if you don’t act now you’re going to miss out.”
Remember that people buy on emotion first, then justify it with logic.
If you offer a service, you can apply scarcity by limiting the number of people you can take on as clients at a set price.
E.g. “The next 50 clients will get the price at £100 and thereafter it’s going up to £150. Act now before it’s too late.”
Limiting the quantity is easy.
E.g. “Only 100 more units available. Act now before you miss out.”
How Do You Limit The Offer?
Encourage people to take ACTION now by offering extras if they act now, like an extended guarantee, a bonus, a premium version, or other great extras.
WHATEVER BUSINESS YOU ARE IN YOU CAN MAKE SCARCITY MARKETING WORK FOR YOU!
You need to create scarcity. It’s about how to do it creatively and authentically.
Even if you can’t limit the time, or limit the quantity or limit the offer, you can still benefit from scarcity.
How? You create a feeling through your website copy. You need to use time sensitive words to create a SENSE of urgency.
For example, instead of ‘Click Here’ you can have ‘Take Action Now!’ or instead of ‘View This’ you could have ‘Hurry Up! Take Action Today!’.
Do you see how it creates an underlying sense of urgency?
Don’t Let People Procrastinate (And How To Prevent It)
What happens if you let people procrastinate?
They have a casual browse of your site, looking at some of the things that interest them.
Then they get distracted by something. Maybe they have too many tabs open.
Maybe they have to go for a meeting. Or a cup of coffee.
They close it down and your interaction with them ends there.
A missed opportunity.
You do this ALL the time to the many websites you browse.
This is happening right now on your website.
Is Scarcity Marketing For You?
You really should consider adding some element of scarcity so that people take action.
Don’t let them procrastinate. It’s costing you a fortune.
Don’t you think it’s time to do something about this?
Don’t Miss Out On This Offer
We showed you that procrastination stops people from taking action now.
A Website Has ONE Purpose
A while ago we mentioned that the ONE PURPOSE OF a WEBSITE IS TO GENERATE LEADS/INQUIRIES.
Procrastination, stops a website achieving this purpose.
So how do we solve it?
We need to encourage people into taking action now through some form of scarcity.
You need to get creative about what type of scarcity will work for you but IT HAS TO BE THERE.
Otherwise, you’re missing leads.
Can You Remember What I Said?
Remember that I said I’d show you the power of scarcity?
Now is the time:
3 Business Boosts For a Compounded Sales Explosion
This article looks at some powerful stats and shows you how scarcity can increase conversions by 300%!
Your Next Step
If you’d like some help on how to introduce scarcity into your offering please get in touch. We’d love to help..
If you’d like a powerful tool for your website, take a quick look at our,
Scarcity marketing reduces a visitor’s procrastination and gets them to take an action fast. Remember that 70% of visitors leave your website and never return.
You have one chance to get them to convert. This is what makes this app so powerful. It takes that one chance and MAXIMIZES it.
Read our next article in the conversion rate optimization series:
Using a Promo Video as a Surefire Way to Boosting Conversion