Another great article from the most helpful Web Design & Digital Marketing Agency in Hertfordshire.
Using the ‘Scarcity Principle’ can dramatically increase your conversions. So what exactly is the Scarcity Principle? The Scarcity Principle is a social-psychological phenomenon, which results in creating an immediate desire in your prospects mind that they have to purchase something straight away for fear that if they don’t they may not be able to obtain it again in the future.
Here are 4 various ways in which you can apply the scarcity principle to your marketing activities:
1) Offering ‘limited edition’ products
I expect the majority of us can recall a campaign offering a product as a ‘limited edition’, which has invoked a strong sense of urgency in us to buy it. By offering a product as a limited edition, you are instantly driving up the demand by having applied the Scarcity Principle. If your prospects think that there will only be a limited number of your products available, they are more likely to be driven to wanting to purchase immediately, as otherwise they could miss out on it.
2) Do ‘available for limited time only’ offers
This strategy works really well, and I have actually just received an example of one in my email now! Omitting the sender’s identity, the content goes along the lines:
“Just a quick reminder. Today (Mar. 6th) is the last day to save £*** on your ticket to the ******************************* (the price goes up on Saturday)”
This email is effectively applying the Scarcity Principle to create a sense of urgency in recipients that if they don’t purchase their ticket today, they will have to pay more for it from tomorrow onwards.
Limited time only offers work well during Sales, and we see these all the time online where the seller has reduced the price of their products for a limited time, and after that time the price will go back up to the pre-sale price.
3) Offer extra benefits for early take up
Offering something extra for nothing is always a good marketing strategy, but making it time bound creates the Scarcity Principle, and will result in higher responses to your marketing campaign. This is an especially good way to get prospects to sign up early for your special offers.
For example, you can run a marketing campaign which offers everyone who pre-orders a copy of your new e-book, to be released in 10 days’ time, an additional free e-book and CD from your best-selling collection.
This strategy is also a good option when launching a new product or service where you have no historic track record to help establish trust with your prospects. By offering your prospects a benefit for early adoption/take up of your product or service, you will find it much easier to get started with your new venture. You could offer lower prices, early-bird discounts, or even entry into a prize draw to encourage your prospects to take up your offer, whichever you think is more appropriate for your product or service.
4) One time only offers
This strategy is where you create a one-time only scenario for a product or service, so the prospect is aware that the offer will only ever be made once and not repeated.
This could be an event with a special guest speaker, or you are doing a ‘one off’ webinar, and if the prospect does not attend they will not be able to obtain it on CD instead. Consider your products and/or services, and think of ways in which you could apply this strategy to your marketing campaign.
So you can see from the previous examples there are numerous ways in which you can apply the Scarcity Principle to your marketing campaigns. Do some research on how your competitors are using the Scarcity Principle in their marketing campaigns. Talk to your friends, family and colleagues to get some ideas on how they think you could use the Scarcity Principle for your products and/or services. Be creative, try something different, which makes you stand out from your competitors, you could be amazed at the results.
Thank you for reading our article and we hope you found it useful. If you would like us help you with designing any of your marketing material, please contact us on 01438 906200 we would love to help you.
Good luck with your marketing activities from Advenzia, the most helpful Web Design & Digital Marketing Agency in Hertfordshire.