Moshe Engelberg On Everything Marketing

Most of us assume customers want a lot of choices. Nobody likes being told what to do. Right? Maybe not.

In the book The Paradox Of Choice: Why More is Less, psychologist Barry Schwartz tells the story of going into the Gap to buy a pair of jeans. The salesperson asks him what kind of jeans- slim fit, easy fit, relaxed fit, or baggy? Stonewashed, acid-washed, or distressed? Button fly or zipper? On and on the choices grew. He replies - a bit confused - jeans, just regular jeans like he always buys. Then he started worrying, well maybe it matters and should he try on 14 different styles? The myriad of choices created an uncomfortable "need."

In our consulting work helping companies really understand what their customers want, need, and value, we invariably find that too many choices is just as bad as no choices. For example, when working with our federal Medicare agency (CMS) to investigate what choices seniors want in selecting health insurance plans, we found they tended to want two or three good choices. And they really valued a trusted resource that could present them with the best two or three options for their situation.

Therein lies the marketing opportunity. Sometimes people are overwhelmed by choices. They want to be told what to do, especially in a domain where they have little or no expertise, like say, evaluating healthcare systems. So step up and make it easier for your customers by reducing their number of choices. Call it "peace of mind" marketing.

P.S. This is where my marketing pseudonym "Les S. Moore" comes into play.

We've been consultants to AARP for many years. Whenever we talk to their (40 million) members, we hear the same thing again and again. People really trust AARP. They may not know exactly what AARP does or what policies AARP supports, but nonetheless they trust AARP to do whatever is in the best interest of older Americans. Which I see as AARP's essential value proposition.

This was confirmed in a poll that NPR reported on today. Several politicians are attacking AARP's stance on healthcare reform (which would be better framed as Health Security Reform), claiming that profit motives are driving AARP's policy agenda. Here's how the "under-voiced" public sees it:

"The poll by NPR and the Kaiser Family Foundation listed seven of the biggest players in the health care debate and asked which one would recommend "the right thing for the country." AARP easily led the list among Democrats and independents. Among Republicans, it tied for first with an option titled "health insurance companies." So it's hard to tarnish AARP, in part because it's not seen as serving an ideology or a narrow economic agenda."

AARP is not perfect, but they have earned the public's trust through years of hard work, and tuning into what their members want and need, then delivering on their promise. I believe trust is the ultimate prize in marketing. It cannot be bought, it must be earned.