More Choice = Less Action

I recently walked into a McDonald’s in Orlando, Florida carrying a simple set of instructions: return to the hotel with three Egg McMuffins and three orders of hash browns.

I walked up to the counter and placed my order.

Me: Three Egg McMuffins and three orders of hash browns, please.

Woman at counter: Our Egg McMuffins are $2.59 each or two for $3.00.

Me: Okay, give me four.

Woman: How about the hash browns? They’re a dollar each or two for $1.50.

Me (thinking furiously): Umm… okay, I’ll just take two.

A few minutes went by, and then she was back.

Woman: We’re short one round egg, and cooking one will take a few minutes. Or you can have a folded egg now.

Me: I’ll take the folded egg.

When she brought out my food she threw a couple of apple turnovers into the bag at no charge — “for the inconvenience.”

Two thoughts occurred to me as I returned to the hotel:

1. I had just gotten a screamin’ deal: four Egg McMuffins, two orders of hash browns, and two apple turnovers for about nine bucks.

2. The next time I’m in Orlando, I will go out of my way to avoid that particular McDonald’s.

The woman behind the counter probably believed that she was helping me by offering the discounts.

In reality, she was making my life difficult. I wanted a nice, simple transaction, and instead I got something complicated.

The experience stuck in my mind a few days later when I was asked to evaluate a TV commercial for an aesthetic medicine practice. The ad suggested two possible actions: call on the phone for an appointment, or log onto the practice’s web site.

I advised the clinic to simplify the message and just give viewers instructions to call on the phone. Advertisers often find that just making this simple change significantly increases the response from the campaign.

The strategy seems counter-intuitive, but the reasoning is sound: a viewer faced with a phone number and a web address in 30 seconds won’t have the time or mental bandwidth to write down both. Faced with a decision about which one to remember, many people wind up remembering neither.

In “The Paradox of Choice”, Barry Schwartz discussed a series of studies in which car buyers were offered an array of choices:

Even though their decision was purely hypothetical, participants experienced substantial negative emotion when choosing between Cars A and B. And if the experimental procedure gave them the opportunity, they refused to make the decision at all. So the researchers concluded that being forced to confront trade-offs in making decisions makes people unhappy and indecisive.

Participants in these studies showed the pattern of reluctance to make trade-offs whether the stakes were high or low. Confronting any trade-off, it seems, is incredibly unsettling. And as the available alternatives increase, the extent to which choices will require trade-offs will increase as well.

What, then, do people do if virtually all decisions involve trade-offs and people resist making them? One option is to postpone or avoid the decision.

The last thing you want when you advertise is for your prospect to postpone or avoid a decision. Paradoxical though it may seem, offering one choice instead of two will increase the likelihood that your prospect will actually take action.

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Crackberry’s Sales Prevention Department

Here’s a story of what happens when a cranky customer and an inflexible merchant meet: both sides lose.

I’m a Blackberry user, willing (so far) to put up with the slow browser, lack of features, and iPhone envy. In return I get a physical keyboard and a comforting sense of the familiar.

I also have to deal with the fact that most of the really cool apps don’t come in a Blackberry version. So when I read about a travel app called Flightcaster, and learned that they make it for my dowdy old phone, I went right online to find and order it.

My search took me to a place called Crackberry. I pulled out my credit card and put through a $2.99 order at the Crackberry Store.

The next day I received an email which read, in part:

We are anxious to ship your order, however we need some additional information to complete the order process.

To ensure that only the authorized cardholder placed the order, we would like to verify the supplied billing information. Your order has been placed on hold until this verification is completed.

The following information is requested to ensure that the authorized cardholder placed the order. Please email or fax at least two of the following:

– Top portion of the most recent credit card billing statement showing, name, billing address and last four numbers of the credit card
– Photo copy of your driver license
– Photo copy of the front and back of the credit card before the order can be filled (optionally block out all numbers except first and last four)

My initial reaction was that this couldn’t possibly be real. It was clearly a phishing attempt from some nefarious individual intent on stealing my identity. But when I went on the Crackberry website, I found the same message in the “order status” section.

So I fired off an email to Crackberry Support:

…if you truly want a photo copy of my driver’s license and/or my credit card statement just to put through a $2.99 order – please cancel the order. Amazon doesn’t ask for this information. Zappo’s doesn’t ask for this information. Delta Airlines doesn’t ask for this information I spend a couple of thousand dollars on airline tickets. And I’m not sending it to you, either.

Before we go further, I’ll stipulate something that is probably obvious to the dispassionate observer: I didn’t need to go my-way-or-the-highway quite quickly. I could have politely asked for an explanation first. Noted.

But the support staff for an online retailer should be equipped to deal with the occasional customer who is quick to take offense.This one wasn’t.

I received an email from Jim B., a Crackberry “customer service specialist”, this morning:

Hello,

We have received your email request for the cancellation of your order. Your order has been canceled and a confirmation email has been sent.

Thank you,

Jim B.
Customer Service Specialist
Toll Free (888) 599-8998

On one hand, I’ve got to respect them. Crackberry has rules, and if a customer doesn’t want to follow those rules, they’d apparently prefer not to have the business.

But here’s what could have happened: Jim B. could have explained the situation (rampant fraud? a problem with my card number? something?), started a dialog, and tried to see if there was some way to accommodate a customer.

If we’d worked something out, and I got the app, we’d have a relationship going forward. Crackberry might have received further orders from me in amounts much larger than $2.99.

In addition, I’d have been a great referral source: I’d have shown off Flightcaster to my colleagues who travel, and told them where I bought it. More customers, and more revenue, for Crackberry.

Instead, it stops here. I don’t have the app;  Crackberry doesn’t have my money, future business, or referrals. We both lose.

Are there “customer service specialists” on your staff? How do they handle cranky customers?

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How Radio Sales and Production Interact

In any organization of significant size, there’s a sales department and an operations department. There are three principles that apply:

  • They need each other.
  • They don’t understand each other.
  • Often, they flat-out hate each other.

So it is with radio stations. When an advertising salesperson sells a commercial schedule, the vision of the client travels from the client through the seller to the Production Director. And although the technology has changed since this was recorded in 1995, the interaction still goes a lot like this:

[youtube=http://www.youtube.com/watch?v=U6PRBvfAVhY&feature=player_embedded]

Hat tip to my ex-colleague Bill Cooper for alerting me to this. And a salute to Clear Channel Production Directors past and present: Matt Jones, Bill Stevens, and Todd Tolces.

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An Unusual Auto Dealer Offer

Tom Gill Chevrolet, a dealership in Florence, Kentucky (near Cincinnati), is offering an interesting gift-with-purchase: dinner with Pete Rose.

[youtube=http://www.youtube.com/watch?v=nS1DuM88Prs&feature=player_embedded]

Be offended, or saddened, if you wish.  Pete has to make a living, and he’s not allowed to do it in baseball. The only thing I want to know is whether it works.If this promotion sells cars, I’m in favor of it.

Hat tip to Sports Illustrated for directing me to Ted Williams Head.

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Old Spice Guy Wins, Using the Only Score That Matters

After a flurry of reports that the viral hit “Old Spice Guy” campaign had resulted in a sales drop, some more numbers are in. Brandweek reports that:

According to Nielsen, sales of Old Spice Body Wash—the line touted in the Wieden + Kennedy-created campaign—rose 11 percent over the past 12 months and since the effort broke in February, sales seem to be gaining momentum.

Over the past three months, sales jumped 55 percent and in the past month, they rose 107 percent, also per Nielsen. Recent sales figures from SymphonyIRI  also show a lift for Old Spice Body Wash products.

The initial “sales drop” story came from 52-week scanner data released by SymphonyIRI. However, says Brandweek, data measured since the campaign launched on February 21 show  definite increase, with a significant jump in the four-week period ending July 11.

Viral status and sales do not always match up, but in this case it appears that the Old Spice Guy has done his job.

This pleases me, since I now have an excuse to embed this in my blog:

[youtube=http://www.youtube.com/watch?v=Xd-xFRT1azE]

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