WHY CUSTOMERS BUY FROM YOU

The InBlog

Expert bloggers at instoremag.com

WHY CUSTOMERS BUY FROM YOU

Posted by: Aleah Siegel in MyBlog on Aug 24, 2010

Tagged in: Untagged

Everyone wants to feel like they are getting a deal.

A groom's worst fear is that if he tells his buddies what he spent on a diamond they might say "Ah Man, you paid to much".

So how do you make the young man in your store FEEL like your diamond is a great deal?
*How do you create the feeling of VALUE without discounting?

People BUY a product based on TWO factors.

1) They buy it because of the PRICE.

2) They buy it because they LOVE it.

Tiffany's charges much more than Walmart, yet Tiffany's is thriving because people love it. This is because Tiffany's has demonstrated value. The way they present each piece on a beautiful tray, the way they treat their jewelry. Even the way they take in repairs all demonstrate luxury and value. The value of Tiffany's is in the emotion. People buy it makes them feel special. They buy because they love it.

*If you can create value in your store without discounting then you can make more money. Price is not as important as making the customer feel they made a good purchase. If you do not love it, you will not buy it, and conversely, the more you love something the less price matters! (If Hagen Daz ice cream was suddenly $10 a pint I would still buy it because I love it - Aleah )The Best way to make a sale, and a profit, is to get your customer to LOVE your jewelry! We are in the love business after all.

Most Jewelers price their diamonds based on the tangables. The carat weight of the ring, the number of stones. But MOST CUSTOMER'S BUY based on the Intangibles! They buy from you because their mom shopped with you, because your salesman was their friend in college, because you are the hippest store in town. Customers buy based on intangibles....SO SELL your intangibles! Your INtangables ADD VALUE.

Your intangables might be your store warranty or the services you provide. Maybe they are your long history in your community or the charity events you hold. Your personal credentials are also intangables that add value to your jewelry. All of these things create a story about your store. Your story is what you should sell, not just jewelry. Your story could be your events, your fun decor, that you help each bride with their wedding, or that if it rains on Christmas then they get their jewelry for free. The BETTER you deliver your STORY the better your customer feels about their purchase and the less price matters .

People love a story. That is why antiques are so popular. When anyone asks me about a piece of jewelry I am wearing I always have a story to go with it. My dad, a very creative business man and a smart jeweler, suggests having a card go along with each piece of jewelry that has each has a story on it Specific to that piece. It can be as simple as

"I was at the Las Vegas

jewelry show and as I was leaving out of the corner of my eye I saw this piece., It was so special and eye catching I just had to have it!" Or your story could be about the artist who made it or what part of the world it came from. If you go to any chain store and they will have no idea where there jewelry came from. If you can make them LOVE the story of the jewelry then price is no longer the story.

**I hope this helps you stir up some good ideas! I would love to discuss ANY of this with you Any time you like. Feel free to contact me any time.

***If there is ANY THING I can do for a retail Jeweler, you know I will do it!

ALEAH at OLYMPIAN DIAMONDS 1800 882 8900

Set as favorite

Email This

Comments (3) Add Comment

...
written by Ralf Kircher, August 25, 2010

Great advice, Aleah, and I think you've hit the nail on the head for most sales.

But as a guy, I also wonder if anyone is ever going to get me to LOVE a diamond. We guys love the person we're buying it for, love the fact that she loves it, but I'm not sure how many of us actually love the stone enough to feel comfortable knowing we didn't get it at the best price — and the best price is very different from the lowest price.

When I bought my wife's engagement ring, I knew I could have gotten a stone with the same specs for probably a lower price, but I wanted the absolute best diamond I could get for the amount of money I had to spend. Certainly, I saw diamonds with similar specs online listed for the same or even lower price. But I trusted the expertise of the jeweler I'd asked to find me a diamond more than my own, knowing that I was paying for the best possible cut his trained eye could find. And I know from diligently reading INSTORE that the cut can affect the look and price of the diamond more than anything else when the diamond is within a range of color and clarity levels as a comparable stone. So if my friends are surprised that I'm in the business and didn't buy my wife a larger stone for the same price or pay less for the same size, I just shrug and say, "YOU find one that looks that good for that price."

I think it's up to the retailer to build that trust and four Cs education — and to stress that no two stones are alike. That will give all the give ammunition any guy whose friend tells him he paid too much needs. And I think the logic of the explanation he gives will go over better with the friend than if he simply says he paid that price because he loves the stone.

All the other intangibles? Yes, definitely. Go for it! Getting me to love a diamond and expressing that love of it to my guy friends to justify the price? Um ... well ... if we're talking a sports car instead of a diamond, yes, definitely.

...
written by aleah, August 25, 2010

Ralf! You are right! What a great comment. I especailly like the part about no two diamonds looking a like. I guess it is easy for me to talk about loving a diamond because I LOVE Diamonds! Hopefully even if the customer does not love it yet, my love will come through to help make the sale.

Whose Story is Really Important?
written by Maarten de Witte, August 25, 2010

Aleah, you are right that the story is important to the customer, but THE STORY THAT MAKES THEM BUY is not your story - its the story they get to tell!!! My experience with consumers is that while they may nod their heads knowingly while listening to your (often way too lengthy) story, unless that story truly clicks with them, unless they can easily repeat that story, they won't remember much when they go walking out your door!

When a guy answers to his buddies there are only two things he can say with confidence: I got the real deal aka the Best, or I got the deal deal aka the Cheapest. Of course 99.9% of the time the easiest story for him to tell is all about the 4-Cs and what a great (low) price he paid for them. It is much harder for him to explain that he bought the Best and why it actually is the Best! So, 99.9% of the time we sell based on price. Its the path of least resistance. Its what everybody else in the marketplace does. FYI, the last time I shopped Tiffany's the first thing they asked was "what's your budget", followed by "what size and color are you looking for". So much for romance!

The best advice I have for getting your customer to BUY FROM YOU is to be aware that they are all tuned in to radio station WIIFM (What's In IT For Me). Give them a simple and compelling story that focuses on them and their needs, a story they can easily repeat, and you don't have to sell them - they will make the decision to buy from you all on their own.