The Problem with "Convenience Buys" and "Pity Buys"
It's been said over and over and over. People buy from those they know, like and trust. Sometimes, though, sales that are made only because of the "know, like and trust" factors can be detrimental to future sales.
The Convenience Buy
I used to be a distributor for promotional giveaways, which are items imprinted with logos to help advertise a business. Since I was already selling print advertising, it seemed like a natural fit. For many years, selling both of these related products and services helped me maximize my sales to a niche rich with co-op advertising dollars to spend.
Then the print advertising publisher I represented closed. While I did retain some of the print advertising client base as promotional customers for a few years after that, that side of my business eventually died, too.
Why didn't these customers continue? Fact was my print advertising customers were buying promotional products from me simply because it was convenient for them to do so along with their print ads. When they no longer had a reason to buy the print ads from me to use up their co-op advertising funds, many moved their promotional products buying to the open market, sometimes going to even more convenient online vendors.
My selling ego took a hit. It was hard for me to admit that some of these folks were buying from me merely out of convenience.
The Pity Buy
While the convenience buy does make some sense from a practical standpoint, another "sale of convenience" does not: Buying out of pity.
Like the convenience buy, pity buyers and sellers are in convenient, close proximity, either physically or virtually. They may even have friendly relationships with each other. To show support, they may buy products and services from each other regardless of whether a real need exists or not. This situation is common in networking, especially in leads groups where giving or referring sales to other members is a requirement.
Also, these sales are not based on a genuine need. These purchases are made out of pity for the seller's plight or feelings. As a result, the seller gets a false sense of success and security. Then, when these customers discontinue buying, the seller is left confused, emotionally hurt, struggling and sometimes broke.
Convenience and Pity Sales Referrals
Sometimes what's being "sold" is a referral or lead. In networking, particularly in leads groups, sales referrals can be given to a fellow member simply because he is conveniently in the group. Networking groups may also feel like they need to help new or struggling members by passing both legit and lame "pity" referrals to them.
In both situations, the leads are often poorly qualified, which can cause the seller to chase bad or unprofitable business. The seller who received the referral opportunity may also feel socially obligated to pursue the business, regardless of its value.
Tips for Avoiding Convenience and Pity Sales
Don't beg for buys. Begging may work for dogs. But both sides lose when begging becomes part of the selling process. The buyer gets nothing, may even lose, when giving in to a beg for a pity sale. The seller may gain this sale, but the next one is not assured since this one wasn't based on providing value for the buyer. It was only won using coercive tactics such as pity, peer pressure or guilt.
Don't take it personally. If a friend, family member or "convenient" customer doesn't buy from you or stops buying from you, don't take it personally. They're just making a decision that's right for them. You want customers who are buying from you because they have a need and value the particular solution you provide... not just because they feel obligated, feel sorry for you, or find you to be a convenient solution at the moment.
Don't feel obligated to return the favor. Turning the tables, here's an arm-twisting technique that sellers may use on you to gain sales. This can easily happen in close-knit networking groups where sellers and buyers are convenient and in frequent contact. Sellers, disguising themselves as buyers, may make a small or token purchase from you with the hope that you will feel obligated to return the favor and buy something (usually bigger) from them. Refuse to return the favor and you could be in for a healthy dose of guilt from this "seller/buyer." If you receive a sale from a very unlikely or inappropriate buyer, beware that there may be ulterior motives at work.
Don't do sales "exchanges." Had a very odd experience that's a variation of the last scenario. I was approached by another freelancer who suggested that we purchase a small service from each other through a site we both use. The goal of the purchase "exchange" was for each of us to receive a (forced) positive rating and add to our sales track records, thereby improving both our chances of getting found and hired. I think this could be filed as both a convenience and pity buy... and gaming the system. (I politely declined, of course.)
Don't refer unless qualified. If a sales lead or its intended recipient is not qualified, nobody wins. The referring party appears clueless or unprofessional. The customer prospect can feel frustrated when the connection is fruitless, or even negative. And the seller wastes time chasing the wrong business. Learn to accurately evaluate any sales opportunities you refer and the people you are connecting. If you're on the receiving end of a bad convenience or pity referral, summon up the courage to be honest with the parties involved to avoid pursuing business you shouldn't.
Bottom line: Understand why your customers do and don't buy from you. If a significant share of your sales are achieved because of convenience or pity, be aware that you are in a very precarious situation that could impact your sales income and future.
Disclaimer: Both the publisher and author have used their best efforts in preparation of this information. No representations or warranties for its contents, either expressed or implied, are offered or allowed and both parties disclaim any implied warranties of merchantability or fitness for your particular purpose. The advice and strategies presented herein may not be suitable for you, your situation or business. Consult with a professional advisor where and when appropriate. Neither the publisher nor author shall be liable for any loss of profit or any other damages, including but not limited to special, incidental, consequential or punitive, arising from or relating to your reliance on this information.
© 2017 Heidi Thorne