Another effective scarcity marketing tactic is the “few items left” tactic. Building on the previously mentioned research, Jack Brehm developed the psychological reactance theory to explain the human response to diminishing personal control. “The theory holds that a threat to or loss of freedom motivates the individual to restore that freedom.” — Jack Brehm
When opportunities become less available we lose the freedom of choice. And when our choices are limited or threatened, our need to keep that freedom makes us want the item even more than before. What to do?
Email prospects to let them know that some of your most popular items are selling out fast to increase the likelihood of them buying.
- The Limited-Introductory-Price Tactic
When you use discounts to increase sales, you need to find the right balance. You don’t want to offer them too often as they will only decrease the perceived quality of your product. One way of using discounting profitably with scarcity is launching a new product. Whether it’s a beta-program you need testers for or a new sweat-repelling invention in sports apparel, you need to give people an incentive to try it out. You don’t have any product reviews or feedback to rely on for proven effectiveness of the product. So, it’s a good idea to offer an early bird discount to get new prospects to try your product.
- The Limited-Bonuses Tactic
In customer service, people always talk about giving your customers “that little extra.” Combining this with scarcity can have a great impact on your sales. Offer your prospects a freebie if they buy more than one item, or if they buy specific products. Offering a free product isn’t always the best tactic if you sell luxury items with a high price range. Then we’re back to the perceived quality of your product diminishing because you’re giving it away for free. Another option is to offer a free resource or service related to your product. If you sell high-end electronics, you could email a promotion for expensive televisions. Then, you can include a bonus such as a free installation, or 3-months free Netflix if they buy now. If you sell expensive sports equipment you could offer a free training guide. The opportunities are endless as long as you remember to include scarcity and a reason to buy now.
- The Order-Before-XX-Today Tactic
Consumers today aren’t only demanding—they’re also becoming more impatient. According to one recent study, 38 percent of people said technology had made them less patient than they were five years ago. This puts more pressure on businesses to keep up with deliveries and shipping time. Thus, things such as “next-day-delivery” are in high demand among consumers. So, if you have the possibility of offering “next-day-delivery” you already have an advantage over the competition. And by including scarcity, you’ll be able to sell even faster.
- The Limited-Products Tactic
Crystal Pepsi.
Heinz purple colored ketchup.
Cinn*A*Burst Gum.
These are all items that, in hindsight, weren’t noteworthy. But now? They are highly sought after because they’re no longer available. Once again, when we’re presented with the prospect of losing our freedom of choice, we do what we can to avoid that loss. In other words, if you have a product that you only produce in limited quantities, use that scarcity to sell more. It’s not that people are afraid they won’t get the product. They’re also afraid they won’t have the choice to buy the product.
There are two ways to use the “limited products” tactic.
The first is notifying prospects that a popular item is back in stock, but will be sell-out soon. The other option is to promote your products in advance and encourage potential customers to pre-order if they want one. It’s important that you include the number of products you’re producing to emphasize the limited availability.
- The Device-Limited-Sale Tactic
With 37% shoppers (age 18-24) doing most of their shopping on mobile devices, a device-specific sale can give your sales a bump in the right direction. Send out an email to your list and tell them that you have a limited offer for them if they buy on mobile or through your app. Because the discount is only available via mobile, it feels more exclusive than a regular one. If you include a time limitation to your offer or another incentive to get people to buy now it can drive even more sales and engagement.
Go Beyond The Discount
Everyone’s doing time-limited sales nowadays. So, if you want to stand out from the competition, you need to take your scarcity marketing to a new level. If you believe in your product there’s no reason to host time-limited sales every other week to get people to buy. Instead, use some of the above strategies and focus on the exclusivity of your product. Get people to buy now instead of later (read: never) and watch your sales soar.
Scarcity doesn’t need to be a reality. People simply need to think that something is scarce in order to be compelled to act. The recent fuel crisis proves this beyond doubt.
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