Looking to increase your retail sales this holiday season? Implement some timeless psychology hacks. Stores have been using these techniques for decades to get consumers to buy more, and you can too.
5 Psychology Methods to Try in Your Retail Space
Here are five of the easiest and most cost-effective methods to implement a little bit of psychology into your salon or spa retail space.
Free Gift Offers
Consider adding a free gift to your holiday purchases, because, in reality, free gifts are not “free,” for you or your clients. Offering a gift with purchase is a proven way to drive sales and retain loyal customers. The idea? Rewarding clients for their business results in an emotional response that ends in a purchase. Studies show that almost 90% of consumers indicate that they are likely to buy more frequently from a retailer after receiving a free gift and 65% say they are likely to share their experience with others.
Take Advantage of Reciprocity
How many times have you gone to the grocery store and tried a sample or two of whatever food product they’re giving out? As you walk through the store, you probably feel slightly obligated to put that item in your cart. After all, they gave you something for free, so you should give something back to them, right? This feeling you get is called the Principle of Reciprocity and it can persuade your clients to buy. Consider setting up a free sample stand during high-traffic times in your retail space, and watch the power of reciprocity in action.
Display Social Proof
As 6 Principles of Persuasion author Dr. Robert Cialdini says, “If you can get people who are similar to the person you’re trying to persuade to speak on your behalf, it’s a lot easier for you than if you have to try to hammer your message one more time into [someone’s] mind.” 88% of consumers trust online reviews as much as personal recommendations, so use this to your advantage! Print out the most favorable online reviews for your products and display them in acrylic stands in your retail area.
Consider the Eye Level of Your Customers
As they say, “eye level is buy level!” Most clients won’t take the time to scan up and down every shelf in your retail space, so put your most profitable items at eye level so they are the first thing a shopper sees. A leading coffee manufacturer in the UK found that shelves directly at eye level had a 23% more sales. If your client base is mostly women, the average eye level for an American woman is roughly 5 feet.
Utilize the ‘Domination Effect’
Put your small ticket items that cost less than $2 right by the register. Research shows that people are more likely to spend $100 when it’s broken up in smaller bills ($1, $5, $10, and $20 bills) than if they were carrying a single $100 bill. The reason why things like magazines and candy are at the checkout lines is that they cost around a dollar to purchase.
Think about it…when you pay $0.75 for a Snickers bar, you don’t really feel like you’re spending any money. However, you likely won’t break a $20 to buy that Snickers, right? (Okay, some of us definitely would.) The smartest retailers understand this effect and that’s why they only put these items at the checkout line. You’re going to spend money anyway, so what’s an extra dollar?
Your New Retail Regimen
Incorporating your products into your business culture beyond the holiday season will help your clients feel less like they are being sold to, and more like they are being taken care of by your team. Want to learn even more ways to incorporate retail into your business culture and keep moving products off your shelves? Download our guide for the ultimate revenue-boosting retail regimen.