I’m going to give you a little nugget of knowledge out of a book that I’m reading called ‘The Art of Selling to the Affluent’ by Matt Oelchli.
The Chapter I read this morning talks about Ritz Carlton service with Fed-Ex efficiency. And it goes on to cover how wealthy people choose the products and services they purchase with price ranking as only 7th on the list of factors that influence their buying decisions. The book goes on to say how they want superior customer service, superior product and for problems to be handled in a quick efficient manner.
Here’s a ranked list of the 7 influencing factors that guide the behavior of Affluent individuals and whether they purchase again from the same supplier:
- Problems resolved quickly and satisfactorily.
- Good service was provided following the purchase
- The salespeople provided the information needed to make a satisfactory purchase decision.
- The gaurantee of satisfaction was clearly defined.
- The customers preferred brand was available through them.
- The people who represented the supplier were friendly and helpful.
- The supplier offered the lowest price available.
So as you can see price was pretty low on the list of deciding factors. And if you look at this you might think of course price is low because they are wealthy and if you would sell only to the wealthy then you would be dealing with a smaller pool of people.
While that is true on a per person count, this Matt’s book also goes on to say that the Wealthy control the majority of the resources in the world. And from my experience working in fine dining restaurants they are also less difficult to deal with than less affluent buyers. They are usually more informed, know what they like and are more at peace as people. And while they may have particular, they are more generous and you usually don’t have as many price objections and low margin problems as when you deal with high volume less wealthy clientele.
Basically when clients pay more, you then have the time and resources to do more for them and both you and the clients usually leave happy. So choose your market wisely.