Attracting customers to your business is a tough proposition no matter what you’re selling, but do you know why your customers aren’t buying?
Knowing why customers don’t make a purchase can be confusing at times, but by knowing how customers make purchase decisions, you can adjust your strategy accordingly. In today’s digital world, customers have more information than ever at their fingertips. While it’s a boon for consumers, it’s making things harder than ever for businesses to sell the value of their product or brand.
Here are five of the top reasons why a customer might not make a purchase, and how your business can overcome those obstacles.
Competitors’ Advertising
One reason your customers might not be buying is your competitors’ advertising. Maybe you’re not advertising as frequently and consistently as the competition. Another possibility is that their creative outshines yours. Also, think about whether or not the competition’s ads are reaching audiences that yours aren’t. Whatever the reason is, make sure that your advertising is up to par in comparison with your rivals.
Difficult Purchasing Experience
In today’s retail environment, customers demand convenience. Think about factors like location and in-store experience. Do people have to wait in long lines once they’ve selected their items and are ready to check out? It’s possible that your business has adopted techniques to provide convenience, but the consumer isn’t informed on them. For this reason, it’s important to promote the convenient aspects in your messaging. If you offer easy parking options or a great return policy, include it in your marketing. Also, think about your e-commerce experience. About 45% of consumers say that closing sales online is a challenge to them, so make sure you have an easy checkout process in place and accessible customer service if they have questions or issues.
Price Exceeds Value at Time of Purchase
Is your product a “need” or a “want?” This can vary by individual customer and can depend on timing as well. If you own an auto parts shop, for example, consumers having car trouble will probably need your products more than those who just purchased a new vehicle. A customer’s availability of funds can also impact their perceived value. The more time people spend in your store, the more money they tend to spend, so try to organize displays to attract and gain the interest of the consumer to keep them at your business for a longer time frame and convince them of the product value.
Your advertising and creative can help shape the perceived value of your product. Tap into the emotions of consumers to drive your product from being a “nice to have” to a “must have.” Buying a new couch, for instance, is something that consumers can (and often do) put off, but using messaging that focuses on the importance of a living space and the memories that are made with friends and family, positions it as more of a necessity.
Competitor Discounts
Even if your product provides a good overall value for consumers, there’s a chance that competitors are undercutting you on price. With customers having access to so much information in the palm of their hand, they can easily do a quick search for a product and find the best price (which might be elsewhere). Decide where to position your product in the price spectrum. You can choose to be the cheapest, but if not, make it clear to consumers that your product is desirable because of its quality and that not every product is created equal.
Consumers Don’t Know You Exist
People can’t buy from you if they don’t know your business exists. If you’re not a well-established brand and you haven’t targeted your marketing efforts appropriately, it’s going to hurt the chances of people finding you. You can’t count on new customers finding you on their own and marketing shouldn’t be optional to your business plan and expenses.
While mastering these five obstacles, ensure your salespeople are knowledgeable, friendly, happy, and well-trained, and that your business offers a great customer experience. By combining a great staff and addressing the issues mentioned above, you’ll see a boost in your sales.
