Have you ever gone online to research a product that you wanted and become so overwhelmed by the numerous options available to you that you don’t purchase anything? The sheer number of product choices available to us as consumers can be overwhelming. Although choices are nice, too many of them can cause consumers to walk away and not purchase anything.
In an effort to refrain from overwhelming potential consumers, it’s important for marketers to know their target audiences and provide them with the products they want and need most, along with response methods that are familiar to them. Consumers don’t necessarily want more product choices; they want the products that are right for them.
The first step to limiting consumer choice is to recognize who your target audience is and understand the reasons why they buy your product(s). Once you know this information, cater your product offerings accordingly. One simple example, a life insurance company that advertises in a magazine shouldn’t advertise all ten types of coverage available to choose from; instead, it should only advertise the most appropriate product or products for that magazine’s readership. By knowing your target audiences inside and out, you can offer products that are tailored for each specific group.
In addition, not only is it important to know what products your consumers prefer to buy, but also to know how and where they prefer to buy them. Going back to the life insurance company example, some consumers prefer to talk extensively to an agent, while others prefer to purchase independently online. To combat this, some companies offer four or five different options for purchasing. However purchasing options need to be limited and matched to the audience preference just as your product offerings and for the same reasons.
Limiting consumer choice can also help with consumer retention by limiting buyer’s remorse. By offering one or two relevant product choices, a consumer can make an educated decision and feel confident that he or she purchased the correct product. Keep in mind that for many products, like life insurance, switching companies typically comes at a low cost to the consumer and often there are little or no incentives for him or her to be loyal to a company.
By matching products and response choices with your consumers they will be able to evaluate and purchase your products more seamlessly. This will likely lead to increased sales and happier consumers. To learn more about other benefits of limiting consumer choice, please contact Heather Riexinger at email@example.com.