Monday, June 6, 2011

How Buying Behaviours Work


Buying Behaviours are a completely different way of thinking about customers. Unfortunately, they appear superficially similar to personality types and behavioural styles – which have been inappropriately used in sales processes for over eighty years.

Why Personality Typing is a Lousy Client Analysis Tool

Now, don’t get me wrong. I am a huge fan of personality typing in recruitment and placement and of behavioural styles in teamwork, personal and professional development and leadership. It’s just that often these tools are asked to perform tasks they were never meant for. For example, what’s the use of analysing a client’s personality type when that same personality type has been known to exhibit entirely different buying behaviour in different sales environments? I’ve even known companies that still use the model of the four temperaments (choleric, sanguine, etc) – first documented by Hippocrates 2,500 years ago!

How is Buying Behaviour Different?

Buying behaviour is more closely related to behavioural styles (like DiSC®) because it involves two of the same parameters: (1) How ‘friendly” they perceive the environment to be. (2) How much personal power they believe they have in this interaction. Buying behaviour and behavioural styles are different because buying behaviour involves two further parameters, past experience and buying beliefs.

Past Experience
Past experience is a huge determinant in buying behaviour. We retain long memories of sales interactions – particularly unhappy ones - and these significantly influence our approach next time we have to purchase what we see as a similar product. You need to be aware that products that the client sees as similar can appear totally unrelated to you. For example, you might see absolutely no connection between purchasing new software for their business and buying a replacement kitchen appliance – but, to them, they are virtually identical. They are both situations where they have little knowledge or interest in the product, no confidence in being able to make the right choice and they resent having to spend the money in the first place.

Buying Beliefs
Regardless of our personality type, we all have set beliefs about how we need to act in a buying role. Often these beliefs vary depending on the product. I have known people who are generous as saints when dealing with their local shopkeeper but like Genghis Kahn when buying a new car. This all comes back to their beliefs about the trustworthiness of a particular industry. Sometimes, these are based on past experience, but, more often they are driven by stereotypes. They expect real estate agents to embellish the property and motor vehicle salespeople to be loose with the truth – so they are cynical and untrusting. They expect wait staff to be knowledgeable and honest with their food and drink advice so they follow their suggestions on the chef’s special and a wine to match. I’m not saying these stereotypes are justified (sorry to my friends in real estate and the motor trade); but that is the reality.

So, What Can You Do?

Recognise there are five buyer behaviours (as identified in the TILT! Sales & Sales Management Training Programs):

Emotive: Driven by impulse and emotion. Their past buying experiences have been mostly positive and pleasant. They probably have more ‘bad’ buys than the average because of their impulsive nature, but don’t tend to dwell on the negatives. Their belief is: “I’m only here once, so I might as well enjoy it. If I don’t it won’t be there next time.”

Offensive: Always trying to keep you on the back foot. Their past buying experiences: have been generally positive, in their eyes. They remember every negative one as a defeat. Their belief is: “This is win-lose…and I’m not going to lose. Nothing personal, it’s just business.”

Cautious: Needs proof of claims and past evidence of success. Their past buying experiences have been disappointing because the salespeople were, in general, unprofessional. Their belief is: “If they expect me to spend my money with them, they better get it right.”

Appeaser: Says whatever you want to hear and hides negative thoughts and emotions from you. Their past buying experiences have been generally positive, with one or two stand-out negative experiences. They don’t believe they have the confidence to confront a pushy salesperson.

Altruistic: Driven by their desire for fairness and concern for others. Their past buying experiences are less relevant with this type, as they tend to see each buying challenge separately. Their belief is: “If I’m fair and reasonable with people, in general, they will be the same with me.”

There is one question you should ask as early as the relationship will allow: “How did it go when you bought your current…? Or “What was it like for you last time you got something like this?” Any question that uncovers a customer’s past experience and their level of trust gives you valuable information about how you should build the sales relationship with them. And if it’s negative, that’s okay, because you have a fantastic opportunity to create a unique impression and quickly build trust by treating them the exact opposite to what they expect.

Understanding how customers like to buy provides the most useful information in helping them to buy – not be sold to – in the way that they prefer.


Article Contributed by Kevin Ryan, an international speaker , workshop leader and author with Training Edge International. He is a business communication expert specialising in the areas of employee and client engagement, sales, humour intelligence and presentation skills.
Email : kevin.ryan@trainingedgeasia.com
Website : www.trainingedgeasia.com

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