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A Categorization Scheme That Works Roy H.
Williams <http://www.WizardofAds.com>
in a recent "Monday Morning Memo" (a brief free must-read newsletter) pointed
out that potential customers can be divided into two types: Transactional and
Relational. He quoted Bill Bergh as follows. "Relational shoppers ... consider today's transaction to be one in a series of many. Relational shoppers don't enjoy comparison shopping or negotiating. They are looking for a supplier who is an expert they can trust.... Consequently, relational shoppers are far more likely to be repeat customers." A Practical View This view of web shoppers jolted me. It's so obviously true, I remain surprised I have overlooked it for so long. Further, this categorization does work. Sure, most people looking for a good mechanic will be relational in their approach. And many looking for an expensive new television set, take a transactional approach. Gather the facts, then shop to save a hundred bucks or more. So as in all categorizations, there is overlap. But these definitions hold better than any I have seen. Who Is Buying On The Web? There's simply no question; the vast majority of web buyers are transactional. (Or behaving in this way.) The evidence is only indirect, but inarguable. Go look for a digicam. You'll find a thumb nail which links to a larger view which includes the key features of a particular model. You'll find absolutely no information that helps you evaluate the benefit of a given feature. Information needed by anyone new to digicams, simply isn't available. Such sites are only interested in transactional shoppers, people who already know what they want, and are shopping for price. Unless you have an extensive marketing and sales background, it is unlikely you can succeed on the Web targeting transactional shoppers.
Apart from the categorizations, the key point to be derived from the above quote is that *only* relational shoppers become repeat customers. Exactly what every small business needs. Once a fellow buys the digicam, he won't be back. Thus if you seek repeat business, ignore transactional types and target relational shoppers. This
means demonstrating all manner of service and support. Cover the
spectrum. And by all means be expert in your narrow niche. You want people to
come to trust you, your knowledge, and support. The Real Challenge That few online shoppers are relational, goes a long way toward explaining why small businesses seeking to grow a base of repeat customers struggle so. The number of relational shoppers will increase as more of the sorts of businesses and services they need become available online. However this growth won't happen quickly. If your web-based business depends upon repeat customers, and thus relational shoppers, be patient with yourself. This will take time. <><><><><><><><><><> Bob McElwain, author of "Your Path To Success" and "Secrets To A Really Successful Website." For info, see <http://sitetipsandtricks.com/webways/> <><><><><><><><><><> |
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