Saturday, April 14, 2007

Removing the risk

Imagine all the things you would be able to do if there was no risk associated with doing it.

Think about all those things you would like to do, but the risk of doing it is too high.

Recently I sold a vehicle online. It didn’t sell for the first few weeks, then there was some interest, but the “tyre-kickers” didn’t want to commit to purchase.

Why was this?

For them the risk was too high. The risk of buying a lemon. The risk of the vehicle being misrepresented. The risk of not knowing this guy called Tony.

How could I reduce the risk?

I got a brand new warrant of fitness and I gave them a 24-hour money back guarantee. If they weren’t happy with the purchase, or felt I had misrepresented the vehicle they could return the vehicle in the same condition and I would happily give them their cash back. Suddenly I had buyers and the price went up, all because I had reduced the perceived risk.

What else could I have done?

Test drives, included a free vehicle check, petrol vouchers or service history records.

What can you do to reduce your client’s risk?

Imagine how much more business you could do if your clients felt there was no risk associated with their purchase of your recommendation or service.

You could:
1. Have a 14 day free look period.
2. Offer a refund of your fee if your promises weren’t delivered.
3. Offer a free 20 minute check.
4. Introduce a client loyalty programme.
5. Use testimonials of existing clients.
6. Use regular newsletters to reinforce your knowledge and expertise.

Doing business doesn’t have to be risky for your clients. Think of ways you can reduce your client’s level of risk so they are even more comfortable working with you.

Wishing you better business!

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