Robert Cialdini's book Influence:
The Psychology of Persuasion explains how people are persuaded. Published in 1984, it highlights key principles that influence human behavior. This book integrates psychology, marketing, and sales very cleverly.
I recently re-read the new edition of the book and decided to post what I learned from it.
Reading this book should be mandatory for anyone who wants to be successful in sales. It is a study of human psychology and timeless behaviors.
Key Principles of Persuasion
Cialdini outlines six principles that influence decisions:
1. Reciprocity
- People feel they should return favors. This can be used in various interactions and marketing. Give customers a free gift and they might order from you.
2. Scarcity
- Limited availability increases desire. When something is scarce, it becomes more appealing, prompting quick action to avoid missing out. Perhaps this comes from our early years as hunter-gatherers.
3. Authority
- People follow the advice of credible experts. Establishing authority enhances persuasive efforts as individuals comply with knowledgeable sources. Have you seen those actors wearing white coats telling you to brush your teeth with a specific toothpaste?
4. Commitment and Consistency
- Once individuals commit to a position, they are more likely to maintain that commitment. Encouraging small initial commitments can lead to larger actions over time. Especially powerful are commitments made publicly. Humans don’t like losing face in front of people they know.
5. Liking
- We are more easily persuaded by people we like. Similarity, compliments, and cooperative efforts enhance likability and persuasive power. As a Chinese proverb says: “Do not open a shop if you don’t smile” or something to that effect.
6. Consensus (Social Proof)
- Individuals look to others behavior to guide their actions. Demonstrating that many others have made a particular choice significantly influences decision-making. Again, this stems from our hunter-gatherer days. If you saw your tribe running away from something, you tended to follow to stay alive just in case they were potentially running away from a saber-toothed tiger.
Examples of Startups or Tech companies Using These Principles:
Reciprocity
Dropbox
- Dropbox gave extra storage space to users who refer friends, creating a sense of obligation to reciprocate by inviting more people. This was in the early days when Dropbox was trying to grow virally. It worked during those days because storage was perceived to be valuable.
[Visit Dropbox](https://www.dropbox.com)
HubSpot
- HubSpot provides free resources like e-books and webinars, building goodwill and encouraging users to purchase their software. Fondly called a “lead-magnet”, it is a technique many a B2B company use.
[Visit HubSpot](https://www.hubspot.com)
GitHub
- GitHub offers free repositories and tools, fostering a community where users feel compelled to contribute by sharing their code and projects. Free has value as we learnt when Microsoft paid $7.5BN for Github.
[Visit GitHub](https://www.github.com)
Commitment
- LinkedIn encourages users to complete their profiles. Once users invest time in building their profiles, they are more likely to continue using the platform. Some argue that there is friction in this type of onboarding. But once you spend that time and effort, you are locked in.
[Visit LinkedIn](https://www.linkedin.com)
Duolingo
- Duolingo uses daily streaks to encourage commitment to language learning goals. The streak feature motivates users to maintain their progress. I can vouch for its effectiveness and many other techniques that Duolingo uses; I have been using Duolingo for over two years now.
[Visit Duolingo](https://www.duolingo.com)
Spotify
- Spotify encourages users to create and follow playlists. Once users invest time in curating their music preferences, they remain loyal to the platform. This is similar to what LinkedIn does, but I believe Spotify’s user interface and low subscription pricing mechanism are also pretty addictive.
[Visit Spotify](https://www.spotify.com)
Social Proof
Airbnb
- Airbnb showcases user reviews and ratings. Seeing positive experiences from others increases trust and persuades potential users to book stays.
[Visit Airbnb](https://www.airbnb.com)
Yelp
- Yelp displays reviews and ratings from other customers. Potential customers are influenced by these reviews, choosing highly-rated businesses. This technique worked in the early years of Yelp, which now suffers from the problem of fake user reviews.
[Visit Yelp](https://www.yelp.com)
Kickstarter
- Kickstarter displays the number of backers and the funding raised for projects. This visibility encourages others to support successful campaigns.
[Visit Kickstarter](https://www.kickstarter.com)
Authority
- Google's authority in tech is well-established. Its reputation in search technology and innovation persuades users to trust and use its services. Google invests in its Google X projects to bolster these credentials (that is my theory).
[Visit Google](https://www.google.com)
Apple
- Apple leverages its authority as a design and technology pioneer. The brand’s association with innovation and quality persuades customers to purchase its products. As the CEO, Steve Jobs used to fixate on superior design as a differentiating feature for Apple products. That is woven into the company’s DNA.
[Visit Apple](https://www.apple.com)
Liking
- Instagram's visually appealing and user-friendly interface encourages users to like and follow others, fostering a sense of community and engagement. Heck, if it makes you feel warm and fuzzy from being liked, then you begin to appreciate the platform as well.
[Visit Instagram](https://www.instagram.com)
Etsy
- Etsy connects buyers with artisans, creating a personal connection. Unique, handmade products and the ability to interact with sellers enhance user engagement and loyalty. We like to connect with unique creators and like to be seen to be supporting indie artists.
[Visit Etsy](https://www.etsy.com)
Scarcity
Supreme
- Supreme capitalizes on scarcity by releasing limited-edition products in small quantities. This creates urgency and exclusivity, driving high demand and sales.
[Visit Supreme](https://www.supremenewyork.com)
Amazon Prime Day
- Amazon uses scarcity during Prime Day by offering limited-time deals and discounts, creating urgency and driving a surge in purchases.
[Visit Amazon Prime Day](https://www.amazon.com/primeday)
Using Cialdini's principles can drive user growth, retention, and revenue for startups and established companies alike.
