People don't like to make decisions. With every decision, there is always the chance that one could make the wrong choice and suffer the consequences, even if those consequences only mean missing out on the benefits of the other option. The bigger the decision, the bigger the consequences of getting it wrong.
This is one of the reasons why people do not like pushy sales tactics. Even though they are interested in the product, they are not interested in making a big decision on the spur of the moment.
Big Decision, Little Choice
People can be comfortable making small, low-risk decisions. In fact, they do so constantly, often without thinking. And when you make enough small decisions that all move you in the same direction, they can add up to a major change, without the stress and sales resistance that would come from trying to make that decision all at once.
That is essentially the idea behind "nudge marketing," a concept which is directly related to today's inbound marketing strategies. It is about influencing people, often indirectly, to make a series of small decisions. These decisions can be as simple as clicking on a link to read a blog post or typing their email address into an online form. Each small decision brings them closer to buying your product or service, without ever feeling that they are being "sold" to.
Framing the Choice
A key aspect of nudge marketing is the concept of "choice architecture." Choice architecture refers to the way you can influence a person's decision based on how the choices are framed.
For example, people are typically fond of the status quo. Asking them to change how they do things and pay money to do so can be a hard sell. It is much easier to get them to change if they can try a service for free. Once they are using a free service, that becomes their new status quo. If they are then presented with a choice to pay to keep using the service (and keeping the status quo) or neglect to pay and stop using the service (which would force them to change), they are much more willing to buy. You have used choice architecture to nudge them towards the outcome you want by turning one big decision into two smaller ones.
Nudging Socially
Another aspect of choice architecture is that people want to follow the crowd. If other people make a choice, it becomes less risky to follow their lead. If it seems that most people, or a few people who are highly respected, all make the same choice, it becomes risky to not follow their lead.
Because of this, the most effective nudges are the ones that other people do for you. It could be people sharing your content on social media or simply having a large number of people who "like" or follow your company. This is also why online testimonials or referrals can be so powerful: they are better at nudging people along because they have more credibility and influence than the company that looks to benefit from a sale.
One could say that nudge marketing is a process of manipulating people towards a sale. But since it is also about helping people make decisions on their own, the end result is that customers feel less manipulated than they do with more traditional, direct forms of marketing. They end up more satisfied with the overall decision--which means they will be more likely to nudge others to make the same choice.
* Image courtesy of freedigitalphotos.net
