Jan 20, 2020: COVID-19 Hit China. China Closed. People Placed In Quarantine. Businesses And Factories Closed Their Door.
The question was – When the Coronavirus will hit America? Should I short the US stock market? Should I bet against the Dow Jones or Nasdaq?
All this come to the main question:
Should I read and act on the expert’s opinions?
10’s or 100’s thousand dollars we have made if we listened to what we know coming!
So why we did not do?
1. Uncertainty. Inability to predict the future
2. Afraid of Losing money.
3. Avoid taking responsibility.
These are the primary reasons people avoid acting on an offer that can re-energize their life and business.
I, You, and Your customers make thousands of decisions every day. There are small decisions such as what for lunch, what movie to watch, ext, and big decisions,
1. Will You Marry Me?
2. What should I subscribe to or buy to accommodate the New-Business normal?
3. Should I invest in the stock market or in my business?
Many decision problems seem to be problems of choosing between the status quo and accepting an alternative that has more advantages than disadvantages.
While each decision seems to be logical thinking – decisions always involve emotion.
Trying to provoke emotions advertising paints the ‘future life’ with or without the product or service you need to acquire. And in most cases features never sell service or product the overall benefit and image does.
The business decision relies on two main factors:
1. Now- Do I Need The Product Or Service?
2. What Is My Financial Risk?
The reward is always unknown. Because we cannot predict the future.
What Is Known?
- How Much Can I Lose If It Does Not Work? The Cost
What We Assume?
- It Will Help Me
Often consumers delay or avoid making a decision and then pay More.
What hurts more:
Are the time and money lost not having the product or service?
While facing the choice, consumers and business owners make decisions based on simple “rules of thumb” of
Do’s… and Don’t do.
Consumers are accustomed to various auto-decision making methods. The auto-decision based on
1. Possibility of loss?
- Advertising reply: Free return policy.
- 14 days of free use.
2. Is it for me?
- Advertising reply: This is how it will enhance your business.
- What will you lose not having the product or service?
3. Will, I regret it later?
- Advertising reply: No contract.
- 30 days money-back guarantee.
Big Decisions Carry Responsibility. More Responsibility No One Needs Or Likes To Take.
Saying “NO” bears no responsibility and, to most: No possibility to fail.
We all know that saying quick ‘No’ is a fast escape that can be extremely costly.
Doing the same thing expecting different or better results is an attribute that belongs to fools, Said Albert Einstein.
Making a progress decision today is shaping tomorrow’s recovery and joy.
Regardless of the action, your customer takes, in their eyes, there is always be some risk involved.
Minimize the perceived financial risk will increase your sales.
1. How My Product Or Service Contribute To Your Life?
2. How My Product Or Service Boost Your Youthful Image?
3. How Much You Lose Without My Product Or Service?
4. How To Minimize The Perceived Risk?
The monetary risk has a more significant weight than the potential reward in a business decision.
The relationship between risk and reward is a crucial piece that related to the action a businessperson will take.
Not Facing The New- Business Normal During And After COVID-19 Fast Is Risky.
It’s important to remember that often we forget to include the time factor.
Not having the right product or service is ok. Because in 98% of the cases, we will be able to buy it later.
A huge risk is a time elapsed.
1. Will I Survive Without It?
2. What It Does To My Image
3. How Much Damage I Cause Not Having It?
1. Evaluate The Time-Immediate-Needs.
2. Assess The Possible Financial Risk.
Many decision problems seem to be choosing between the status quo and accepting an alternative that has more advantages than disadvantages.
Store owners do not feel that money he pays his suppliers is a loss, and the money he receives from his customers – is a profit.
Instead, the merchant summarizes the costs, and the receipts for specific periods, and assesses the balance between them.
Consumers do the same. They do not value their payments as losses but as alternative purchases.