New Research: Why a Provocative Approach Falls Short in Two out of - - PowerPoint PPT Presentation
New Research: Why a Provocative Approach Falls Short in Two out of Three Critical Conversations conversation.com Housekeeping Items Your Participation Join audio: Choose Mic & Speakers to use VoIP Choose Telephone
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Co-Author: Customer Message Management Conversations That Win the Complex Sale The Three Value Conversations
Chief Strategy and Research Officer Corporate Visions @TRiesterer
Neuroscience
Review 40 years of Research Findings
Economics
Psychology Identify Core Science Concept Related to Task
Status Quo Bias
Stability
Difficulty
Regret
Persuasion Uncertainty Loss Aversion/ Risk Seeking Contrast Effect
Determine Most Likely Principles to Test
Condition 1 Condition 2 Condition 3 Condition 4 Condition 5
Develop Marketing/Sales Messaging Conditions Recruit hundreds of participants to simulation
Winning Condition
Develop a messaging framework based on winning condition. Validate against proven decision science principles Identify statistically significant differences based on simulation responses to determine winning condition.
Review 40 years of Research Findings
Economics
Psychology Identify Core Science Concept Related to Task
Status Quo Bias
Stability
Difficulty
Regret
Persuasion Uncertainty Loss Aversion/ Risk Seeking Contrast Effect
Determine Most Likely Principles to Test
Condition 1 Condition 2 Condition 3 Condition 4 Condition 5
Develop Marketing/Sales Messaging Conditions Recruit hundreds of participants to simulation
Winning Condition
Develop a messaging framework based on winning condition. Validate against proven decision science principles Identify statistically significant differences based on simulation responses to determine winning condition. w/ third-party researcher
Neuroscience
Preference Stability
Preference Stability Cost of Action/ Change
Cost of Action/ Change Preference Stability Selection Difficulty
Preference Stability Anticipated Regret /Blame Cost of Action/ Change Selection Difficulty
Preference Stability Anticipated Regret /Blame Cost of Action/ Change Selection Difficulty
Cost of Staying same De-stabilize their preferences Create enough Contrast Before and after hero Story
2 3 4 5 6
Standard Solution Value Added Solution Unconsidered Needs Last Unconsidered Needs First Statistically Significant Uniqueness Improvement 50%
5 6 7 8 9
Standard Solution Value Added Solution Unconsidered Needs Last Unconsidered Needs First Statistically Significant Quality Improvement 10+%
4 5 6 7 8
Standard Solution Value Added Solution Unconsidered Needs Last Unconsidered Needs First Statistically Significant Persuasion Improvement (10+%)
Preference Stability Anticipated Regret /Blame Cost of Action/ Change Selection Difficulty
Cost of Staying same De-stabilize their preferences
Create enough Contrast Before and after hero Story
Preference Stability Anticipated Regret /Blame Cost of Action/ Change Selection Difficulty
Cost of Staying same De-stabilize their preferences Create enough Contrast Before and after hero Story
Reinforce Reinforce Reinforce Reinforce
4 5 6 7
Status Quo Point of View Point of View + Upsell Reinforce Status Quo Provocative Message Provocative Message w/Upsell
Statistically Significant Improvement 9.63%
4 5 6 7 8
Status Quo Point of View Point of View + Upsell
Reinforce Status Quo Provocative Message Provocative Message w/Upsell
Statistically Significant Improvement 13.27%
4 5 6 7
Status Quo Point of View Point of View + Upsell Reinforce Status Quo Provocative Message Provocative Message w/Upsell
Statistically Significant Decrease 10.61%
Introduce Unconsidered Need Improved Capabilities w/ Anchor Improved Capabilities No Anchor Improved Capabilities Timed Discount External Factors No Control Reinforce Status Quo Bias New opt-out approach and new services New features that increase performance Adds 8% but we will share cost - net 4% increase Will cost 4% more, but should see payback 1 yr
New features that increase performance Adds 4% to the cost of the contract New features that increase performance Adds 8% to cost but you get 4% timing discount Must pass along outside cost increase Adds 8% but will split the difference to make it 4% Deliberately reinforce and highlight new features Will be adding 4% to cost of contract
Least Favorable Attitude Most Favorable Attitude
Least Likely to Renew Most Likely to Renew
Least Likely to Stick With Most Likely to Stick With
Most Likely to Switch Least Likely to Switch
Most Likely to Consider Competitive Offers Least Likely to Consider Competitors Offers
(least credible, lowest confidence, least innovative, least trustworthy, least compelling)
CHALLENGE
CHALLENGE
You have made great progress on your goals over these last two years. You’ve seen health and wellness program participation grow from 20% to 50%. Your employee satisfaction scores are up, and you’ve said some employees have even taken the time to thank you for the changes you’ve made. In addition, your employee retention rates have started to improve, which you said was the ultimate goal of making these changes. When you signed up two years ago, you really did your homework and looked at a lot of options before getting your entire team to come to a consensus and choose our company. It was a long process that involved a lot of people, but you ultimately arrived at a big decision to bring this program on board. As you look at making a renewal decision, it’s important to realize that you are at a critical point in this journey and that it’s important to maintain momentum to achieve your ultimate participation and retention goals. Any change to the program at this point could create an unnecessary risk of losing the positive gains you’ve made. Not to mention that bringing in another vendor would require you to invest time in getting them up to speed and money on implementation costs and other changes that you won’t have to spend if you continue working with us. Over the last two years we’ve been developing new capabilities to drive more satisfied participants, as well as give you confidence that your program is keeping pace with anything else available in the market today. As you consider your renewal with us, we wanted to let you know about two new services we think can have a tremendous impact on your goals. The first is a new weekly report that shows non-participants in the program how much benefit that those who are participating are seeing in terms of their fitness and wellness, as well as how much they are saving, and benefiting in terms of healthcare, by being part of your plan versus the alternatives. This kind of communication on a monthly basis will provide a gentle nudge to help encourage them to get into the program for the great benefits. Secondly, we’ve also added a new smartphone app with online tools, including automatic result tracking, and integration with popular fitness trackers. In tests, these touches have been shown to help your employees get more benefits from health and wellness programs, and feel like they’re making progress
The new services and functionality will add approximately 8% to the annual cost of your plan. However, if you renew before the end of the month, we will reduce the price increase by 50%, making it just a 4% overall increase to get this level of service. You’re making great progress. Stick with our program for another two years, and I know you’ll get to your 80% participation goal and further increase your employee retention rates.
Document Results
You have made great progress on your goals over these last two years. You’ve seen health and wellness program participation grow from 20% to 50%. Your employee satisfaction scores are up, and you’ve said some employees have even taken the time to thank you for the changes you’ve made. In addition, your employee retention rates have started to improve, which you said was the ultimate goal of making these changes. When you signed up two years ago, you really did your homework and looked at a lot of options before getting your entire team to come to a consensus and choose our company. It was a long process that involved a lot of people, but you ultimately arrived at a big decision to bring this program on board. As you look at making a renewal decision, it’s important to realize that you are at a critical point in this journey and that it’s important to maintain momentum to achieve your ultimate participation and retention goals. Any change to the program at this point could create an unnecessary risk of losing the positive gains you’ve made. Not to mention that bringing in another vendor would require you to invest time in getting them up to speed and money on implementation costs and other changes that you won’t have to spend if you continue working with us. Over the last two years we’ve been developing new capabilities to drive more satisfied participants, as well as give you confidence that your program is keeping pace with anything else available in the market today. As you consider your renewal with us, we wanted to let you know about two new services we think can have a tremendous impact on your goals. The first is a new weekly report that shows non-participants in the program how much benefit that those who are participating are seeing in terms of their fitness and wellness, as well as how much they are saving, and benefiting in terms of healthcare, by being part of your plan versus the alternatives. This kind of communication on a monthly basis will provide a gentle nudge to help encourage them to get into the program for the great benefits. Secondly, we’ve also added a new smartphone app with online tools, including automatic result tracking, and integration with popular fitness trackers. In tests, these touches have been shown to help your employees get more benefits from health and wellness programs, and feel like they’re making progress
The new services and functionality will add approximately 8% to the annual cost of your plan. However, if you renew before the end of the month, we will reduce the price increase by 50%, making it just a 4% overall increase to get this level of service. You’re making great progress. Stick with our program for another two years, and I know you’ll get to your 80% participation goal and further increase your employee retention rates.
Reinforce Status Quo Bias
You have made great progress on your goals over these last two years. You’ve seen health and wellness program participation grow from 20% to 50%. Your employee satisfaction scores are up, and you’ve said some employees have even taken the time to thank you for the changes you’ve made. In addition, your employee retention rates have started to improve, which you said was the ultimate goal of making these changes. When you signed up two years ago, you really did your homework and looked at a lot of options before getting your entire team to come to a consensus and choose our company. It was a long process that involved a lot of people, but you ultimately arrived at a big decision to bring this program on board. As you look at making a renewal decision, it’s important to realize that you are at a critical point in this journey and that it’s important to maintain momentum to achieve your ultimate participation and retention goals. Any change to the program at this point could create an unnecessary risk of losing the positive gains you’ve made. Not to mention that bringing in another vendor would require you to invest time in getting them up to speed and money on implementation costs and other changes that you won’t have to spend if you continue working with us. Over the last two years we’ve been developing new capabilities to drive more satisfied participants, as well as give you confidence that your program is keeping pace with anything else available in the market today. As you consider your renewal with us, we wanted to let you know about two new services we think can have a tremendous impact on your goals. The first is a new weekly report that shows non-participants in the program how much benefit that those who are participating are seeing in terms of their fitness and wellness, as well as how much they are saving, and benefiting in terms of healthcare, by being part of your plan versus the alternatives. This kind of communication on a monthly basis will provide a gentle nudge to help encourage them to get into the program for the great benefits. Secondly, we’ve also added a new smartphone app with online tools, including automatic result tracking, and integration with popular fitness trackers. In tests, these touches have been shown to help your employees get more benefits from health and wellness programs, and feel like they’re making progress
The new services and functionality will add approximately 8% to the annual cost of your plan. However, if you renew before the end of the month, we will reduce the price increase by 50%, making it just a 4% overall increase to get this level of service. You’re making great progress. Stick with our program for another two years, and I know you’ll get to your 80% participation goal and further increase your employee retention rates.
Detailed New Capabilities
You have made great progress on your goals over these last two years. You’ve seen health and wellness program participation grow from 20% to 50%. Your employee satisfaction scores are up, and you’ve said some employees have even taken the time to thank you for the changes you’ve made. In addition, your employee retention rates have started to improve, which you said was the ultimate goal of making these changes. When you signed up two years ago, you really did your homework and looked at a lot of options before getting your entire team to come to a consensus and choose our company. It was a long process that involved a lot of people, but you ultimately arrived at a big decision to bring this program on board. As you look at making a renewal decision, it’s important to realize that you are at a critical point in this journey and that it’s important to maintain momentum to achieve your ultimate participation and retention goals. Any change to the program at this point could create an unnecessary risk of losing the positive gains you’ve made. Not to mention that bringing in another vendor would require you to invest time in getting them up to speed and money on implementation costs and other changes that you won’t have to spend if you continue working with us. Over the last two years we’ve been developing new capabilities to drive more satisfied participants, as well as give you confidence that your program is keeping pace with anything else available in the market today. As you consider your renewal with us, we wanted to let you know about two new services we think can have a tremendous impact on your goals. The first is a new weekly report that shows non-participants in the program how much benefit that those who are participating are seeing in terms of their fitness and wellness, as well as how much they are saving, and benefiting in terms of healthcare, by being part of your plan versus the alternatives. This kind of communication on a monthly basis will provide a gentle nudge to help encourage them to get into the program for the great benefits. Secondly, we’ve also added a new smartphone app with online tools, including automatic result tracking, and integration with popular fitness trackers. In tests, these touches have been shown to help your employees get more benefits from health and wellness programs, and feel like they’re making progress
The new services and functionality will add approximately 8% to the annual cost of your plan. However, if you renew before the end of the month, we will reduce the price increase by 50%, making it just a 4% overall increase to get this level of service. You’re making great progress. Stick with our program for another two years, and I know you’ll get to your 80% participation goal and further increase your employee retention rates.
Price Increase Anchor and “Justified” Discount
CHALLENGE
CHALLENGE
Chief Strategy and Research Officer Corporate Visions @triesterer Linkedin/in/tim-riesterer