petri parvinen: amsterdam design for conversion

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”Digital Handshakes” E-selling as adaptive personal selling and human touch © Petri Parvinen, Ph.D. Professor of Sales Management Aalto School of Economics, Finland

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Petri Parvinen's presentation at #dfc12

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Page 1: Petri Parvinen: Amsterdam Design for Conversion

”Digital Handshakes”

E-selling as adaptive personal selling and human touch

© Petri Parvinen, Ph.D.Professor of Sales ManagementAalto School of Economics, Finland

Page 2: Petri Parvinen: Amsterdam Design for Conversion

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• Innovation selling• Interaction psychology online

• Channel optimization• Value-based selling

Page 3: Petri Parvinen: Amsterdam Design for Conversion
Page 4: Petri Parvinen: Amsterdam Design for Conversion

E-selling?

• Interactive but challenged by “the digital”

• Initiated

• Targeted

• Personified and personalized

• Aims at and capable of closing

vs. retail

vs. e-retail

vs. e-marketing

vs. general e-commerce

Page 5: Petri Parvinen: Amsterdam Design for Conversion

E-selling as digitalized adaptive sellingH

igh

valu

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to c

usto

merL

ow

valu

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Business“Win the deal"

Customer relationship “Deepen the friendship”

Expert sales

Sales based onbeing a buddy

Consultativesales

Directingsales

© Mercuri International© Mercuri International

Page 6: Petri Parvinen: Amsterdam Design for Conversion

Social skills > sociability

• Sociability increasing fast!– 21st century people resemble 60s narcissists (Keltikangas-

Järvinen, 2012)

• Sociability > social skills = problem– Aversion towards increasing sociability

• In selling, social skills more important than sociability – Social skills can be taught, sociability is innate– Sociable sellers = individualists, please the customer, irritate

6

Page 7: Petri Parvinen: Amsterdam Design for Conversion

A wider array of sales influence tactics needs to be available online in the future

”Only for you my friend”

“The one in your hand is the cool one, the one over there on the shelf is the basic one”

“We’re closing for the weekend in 5 minutes, what’s it going to be?”

“Sergei, you know how this works.. Do you read me?”

“We only have this one, since it is useless to carry bad ones”

“I’ll give you 30% off, but when your son grows up, you buy the next bicycle from me then, ok?”

“If you want to catch bass, this is the best lure for these waters. Period. Do you want it?”

“I’m here for you if you make a mistake”

Page 8: Petri Parvinen: Amsterdam Design for Conversion

+ The Future of Pricing = “Individualistic”

• Costs θ of the weighted randomized probability matching algorithm are 291.88, giving a profit of 88.2% of Φmax. Costs of batch estimation are 364.37, 85.3% of Φmax.

• WPRM significantly outperforms batch, t = −5.338, p < 0.001.

• Additionally, the costs of WPRM decrease over increasing market size M

batch estimationWRPM

Page 9: Petri Parvinen: Amsterdam Design for Conversion

+ B2B Lead automation also uses profiling

http://coremotives.com

Page 10: Petri Parvinen: Amsterdam Design for Conversion

Pearson Correlation: –0.194. The correlation is significant at the 0.01 level. Sig. 0.000.

40000

45000

50000

55000

60000

65000

0

10000

20000

30000

40000

50000

60000

70000

Relationship Between Number of Members and Generated Sales (Lindholm

et al. 2011)

Number of Members Generated Sales Linear Trend Line

Nu

mb

er o

f M

emb

ers

Gen

erat

ed S

ales

Page 11: Petri Parvinen: Amsterdam Design for Conversion

E-selling as human touch?

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vs.

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Implementing human touch: The importance of the spatiotemporal locus

• Immersion = driver of success

• Immediacy the greatest challenge

• Hybrid work descriptions emerging

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E.g. Authority endorsement can’t afford not to make the celeb look cool..

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500 000+ hits on Youtube

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Delicate balance between executability and content: Case Konebox

• Repliques -

• Voice +

• Face ++

• Common sense +

• Sense of reality +

• Unexpectedness - -

• Data: +970

purchases in 30 days

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Page 15: Petri Parvinen: Amsterdam Design for Conversion

Is the solution really avatars..?

5.5.2011(c) Symbioosi Partners Oy

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It’s looking pretty hedonic…

Page 17: Petri Parvinen: Amsterdam Design for Conversion

+ The human touch of communities can backfire!(4.475 clients over 52 Months) (Lindholm et. al 2011)

Engagement at service level Engagement for individuals

Page 18: Petri Parvinen: Amsterdam Design for Conversion

How to attack hedonists online? (Pöyry 2011)

• Design metrics for identifying a hedonist in your clientele• Hedonists need to be targeted – unlike utilitarians• Encourage information sharing gives hedonists away• Rich media• Hedonic browsing experiences created by sales people

(don’t leave it to marketers!)• Prevent ’reveling’ from backfiring

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Human touch and hedonic engagement?Case: tailored travel @ matkapaikka.fi

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Case poker affiliates: Laziness is the fastest growing trend

Page 21: Petri Parvinen: Amsterdam Design for Conversion

Petri Parvinen

[email protected]

+358 50 312 0905