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Logan Tod
               Wednesday 2 April 2008




           Persuasion
  Stone Roses, child nursery,
The Economist & bread makers,
 Richard Sedley, cScape Customer Engagement Director

                           Key words:
           marketing, persuasion, motivation, conversion
        customer engagement, credibility, logan tod, cscape
A few things learnt…

• Credibility
• Influence
• Timing
A few things bouncing…

• The power of storytelling
• Semantic vs. episodic memory
• The role of relativity
The conversion triangle
            Utility




Usability             Persuasion
What is persuasion?

The goal of persuasion
is to change someone’s
 attitudes or behaviour.
     Make them comply with a request
using an understanding of human psychology.
How we make our decisions
Elaboration Likelihood Model

  • High elaboration (central route)
    Requires great deal of thought to make a
    decision


  • Low elaboration (peripheral route)
    Requires little thought, reliant on decisional
    heuristics

                                                     Petty & Cacioppo, 1981
The need for
 decisional heuristics




500 milliseconds to         4 seconds to
determine credibility   determine usefulness
• Credibility
• Motivation
• Timing
Four types of credibility
• Presumed =    General assumptions in the
                mind of the perceiver
• Surface   =   Simple inspection or initial first
                hand experience
• Reputed   =   Third party endorsements,
                reports or referrals
• Earned    =   First hand experience that
                extends over time

                                 Stanford University, Persuasive Technology Lab, 2003
The power of credibility
A                          B




                                                     Marketing Experiments Journal, Feb 2007
Conversion rate = 2.69%    Conversion rate = 3.03%
                 % change = 12.64%
         Projected monthly gain = $30,582.30
• Credibility
• Influence
• Timing
Principles of influence

• Reciprocity
• Commitment and consistency
• Social proof
• Affinity (Liking)
• Authority
• Scarcity


                          Robert Cialdini, Influence: The Psychology of Persuasion, 1984
Incentives and reciprocity
         A                                               B
       Sign-up                                  Report



       Report                                 Sign-up

Conversion rate = 84%   Conversion rate = 72%


      44%                                   91%
 completion accuracy     completion accuracy
                         Embedded Persuasive Strategies to Obtain Visitors’ Data. Gamberini, Petrucci, Spoto, Spagnolli
Social proof (consensus)




                   Experiment: Milgrim, Bikman and Birkowitz
Good testimonials...
• are focused – talk about specific benefits or
  personal situations
• overcome objections – target conversion
  barriers
• are contextual – position where customer might
  ask questions and need reassurance
• are plentiful – build a wall of testimonials
• are credible – lead with skeptics and problems

                           Why testimonials do (and don’t) work: Holly Buchanan, Future Now
                                                               Sean DeSouza: Pyschotactics
                                              Marketing Experiments: Optimizing site design
• Credibility
• Motivation
• Timing
Persuasion windows

• When you are in a good mood
• When your world view no longer makes sense
• When you can take action immediately
• When you feel indebted because of a favour
• Immediately after you have made a mistake
• Immediately after you have denied a request

                                  Stanford University, Persuasive Technology Lab, 2003
• The power of storytelling
• Semantic vs. episodic memory
• The role of relativity
Copyright: Steve Double - www.double-whammy.com
Make them feel proud?

           The first,
           the last,
           the best
           and the rarest?
Elements of a good story
• PASSION to make your customers care
• a HERO to drive the action
• an ANTAGONIST to challenge the hero
• a moment of AWARENESS where the hero
  realises how to overcome his or her obstacles
• TRANSFORMATION wherein the hero
  accomplishes his or her desired goals



                            The Elements of Persuasion: Use Storytelling to Pitch Better, Sell Faster
                                                    & Win More Business by Maxwell and Dickman
• The power of storytelling
• Semantic vs. episodic memory
• The role of relativity
The role of memory
     in the customer odyssey
                     individua                   The mem
                              l features                   ory of ep
                                           or the un                   hemeral
                                                     ique part                  details,
                                                               iculars of
                                                                          an exper
                                                                                   ience.




The me
         m
gist, the ory of meani
         genera            ng. Me
                l signifi         m
                          cance o ory that prese
                                 f remem         rv
                                         bered e es only the
                                                xperien
                                                        ces.
• The power of storytelling
• Semantic vs. episodic memory
• The role of relativity
68%



32%
16%


      0%

84%
Thanks for listening
•   Richard Sedley: r.sedley@cscape.com

•   cScape newsletter: www.cscape.com

•   Blog: loopstatic.com
•   Ideas: richard-sedley.tumblr.com
•   Snips: sedley.tumblr.com

•   Twitter: twitter.com/richardsedley
•   Linkedin: linkedin.com/in/richardsedley
•   Facebook: profile.to/richard

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Online Persuasion: What I'm currently thinking about

  • 1. Logan Tod Wednesday 2 April 2008 Persuasion Stone Roses, child nursery, The Economist & bread makers, Richard Sedley, cScape Customer Engagement Director Key words: marketing, persuasion, motivation, conversion customer engagement, credibility, logan tod, cscape
  • 2.
  • 3. A few things learnt… • Credibility • Influence • Timing
  • 4. A few things bouncing… • The power of storytelling • Semantic vs. episodic memory • The role of relativity
  • 5.
  • 6. The conversion triangle Utility Usability Persuasion
  • 7. What is persuasion? The goal of persuasion is to change someone’s attitudes or behaviour. Make them comply with a request using an understanding of human psychology.
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  • 9. How we make our decisions Elaboration Likelihood Model • High elaboration (central route) Requires great deal of thought to make a decision • Low elaboration (peripheral route) Requires little thought, reliant on decisional heuristics Petty & Cacioppo, 1981
  • 10. The need for decisional heuristics 500 milliseconds to 4 seconds to determine credibility determine usefulness
  • 12. Four types of credibility • Presumed = General assumptions in the mind of the perceiver • Surface = Simple inspection or initial first hand experience • Reputed = Third party endorsements, reports or referrals • Earned = First hand experience that extends over time Stanford University, Persuasive Technology Lab, 2003
  • 13. The power of credibility A B Marketing Experiments Journal, Feb 2007 Conversion rate = 2.69% Conversion rate = 3.03% % change = 12.64% Projected monthly gain = $30,582.30
  • 15. Principles of influence • Reciprocity • Commitment and consistency • Social proof • Affinity (Liking) • Authority • Scarcity Robert Cialdini, Influence: The Psychology of Persuasion, 1984
  • 16. Incentives and reciprocity A B Sign-up Report Report Sign-up Conversion rate = 84% Conversion rate = 72% 44% 91% completion accuracy completion accuracy Embedded Persuasive Strategies to Obtain Visitors’ Data. Gamberini, Petrucci, Spoto, Spagnolli
  • 17. Social proof (consensus) Experiment: Milgrim, Bikman and Birkowitz
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  • 20. Good testimonials... • are focused – talk about specific benefits or personal situations • overcome objections – target conversion barriers • are contextual – position where customer might ask questions and need reassurance • are plentiful – build a wall of testimonials • are credible – lead with skeptics and problems Why testimonials do (and don’t) work: Holly Buchanan, Future Now Sean DeSouza: Pyschotactics Marketing Experiments: Optimizing site design
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  • 26. Persuasion windows • When you are in a good mood • When your world view no longer makes sense • When you can take action immediately • When you feel indebted because of a favour • Immediately after you have made a mistake • Immediately after you have denied a request Stanford University, Persuasive Technology Lab, 2003
  • 27. • The power of storytelling • Semantic vs. episodic memory • The role of relativity
  • 28. Copyright: Steve Double - www.double-whammy.com
  • 29. Make them feel proud? The first, the last, the best and the rarest?
  • 30. Elements of a good story • PASSION to make your customers care • a HERO to drive the action • an ANTAGONIST to challenge the hero • a moment of AWARENESS where the hero realises how to overcome his or her obstacles • TRANSFORMATION wherein the hero accomplishes his or her desired goals The Elements of Persuasion: Use Storytelling to Pitch Better, Sell Faster & Win More Business by Maxwell and Dickman
  • 31. • The power of storytelling • Semantic vs. episodic memory • The role of relativity
  • 32. The role of memory in the customer odyssey individua The mem l features ory of ep or the un hemeral ique part details, iculars of an exper ience. The me m gist, the ory of meani genera ng. Me l signifi m cance o ory that prese f remem rv bered e es only the xperien ces.
  • 33. • The power of storytelling • Semantic vs. episodic memory • The role of relativity
  • 35. 16% 0% 84%
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  • 41. Thanks for listening • Richard Sedley: r.sedley@cscape.com • cScape newsletter: www.cscape.com • Blog: loopstatic.com • Ideas: richard-sedley.tumblr.com • Snips: sedley.tumblr.com • Twitter: twitter.com/richardsedley • Linkedin: linkedin.com/in/richardsedley • Facebook: profile.to/richard