Posted on June 29th, 2009 in Advice, Customers, Simple Cash Blog, Strategies | 4 Comments »
I’m going to share my thinking about desperate buyers and hungry markets in just a moment. First, I want to set the stage for you.
I have a very nice home office. It’s large and overly comfortable. I have monster-sized windows with a great view overlooking a lush green valley — at least until the snow flies. I appreciate that it’s a killer office. It was a great investment and I have to tell you that I just love it.
My brother and I were sitting in my office just a few days ago. We started talking about launching new products in new markets. We were specifically talking about giving the right people the right stuff at the right time.
We know that marketing — particularly selling — is the alignment of wants and needs to appropriate solutions. Burn that word into you mind: alignment. We know that some people would rather use the word congruence than alignment. But alignment is easier to grasp. Congruence tends to imply agreement whereas alignment is more about matching. It’s that alignment, or matching, that I want to talk about right now.
People tend to say “desperate buyers” and “hungry markets” at the same time, as if they are the same thing. The reality is that they are not the same. In fact, there are two fundamental differences that you absolutely must understand.
Desperate buyers have an immediate need. These buyers are trying to get answers right now to solve a problem that is causing them great pain. Desperate buyers will usually reach a breaking point, or they have a deadline to meet. I’ll talk more about this in a minute.
Buyers in a hungry market, on the other hand, have an immediate need plus future needs to satisfy. People in a hungry market can often delay gratification or push off pain in the short term but the wants and needs do not go away. The itch doesn’t go away.
It might sound like I am “splitting hairs” and I know that desperate buyers sound very much like people in a hungry market. In fact, some desperate buyers are just part of a hungry market — that’s true. But, there are differences that can have a profound impact on your business.
The best way to understand the difference is to provide examples. When someone is going through a divorce they are usually desperate. They are consumed by this life event and they will drink down as much information as possible. They will do anything to reduce the pain and understand how to get the problem solved. However, this pain will eventually go away — the divorce will eventually occur.
On the other hand, investors are constantly looking for new and better information; they’re hungry. They aren’t truly desperate but they always want more. Like desperate buyers, they have an itch to scratch. But, that itch never goes away and they will seek new information constantly in an effort to get the upper hand, or otherwise get an “unfair” advantage.
So, desperate buyers tend to be a bit more focused. They also tend to think more in the short term. People in a hungry market are a bit less focused (because they are less desperate) and they think and act in relation to the long term. I realize this isn’t 100% accurate but it’s mighty close.
This information is very useful. In fact, it could mean the difference between wild profitability and making $12 a month. Here’s why…
You can target desperate buyers with products and services that provide immediate benefit. Your language and your tone will help you make more money. You can more easily get into their mindset and walk in their shoes once you realize just how badly they need what you have.
If that doesn’t quite make sense, consider the following. Desperate buyers aren’t really well suited for memberships. They are looking for an immediate, short term solution.
Of course this also means that memberships are best suited for hungry markets because they want constantly updated information. In reference to my example above, you’d probably want to sell a report about getting through a divorce whereas you could set up an investment membership or newsletter. Now you know why this makes so much sense. It’s not random.
It’s this kind of thinking — and alignment — that will best satisfy your customers. This is also a good way to start thinking about your sales funnels. Desperate buyers require short sales cycles and quick, punchy results. On the other hand, in a hugnry market you can stretch out the marketing funnel and do more pre-sales. I guarantee that this kind of thoughtful alignment will put more money in your pocket.
If you’re looking for more great marketing advice, plus proven online business models that easily attract money, then I highly recommend that you read about the Simple Cash Blog. There is no better way to generate income online. You get to cut to the front of the line, with direct access to proven and tested cash systems.