The Hindu Business Line : It pays to get into the affluent mind

SELLING lemonade on the neighbourhood kerb is one thing, but having the affluent as your customers is another. If your eyes are on the second option, and you are wondering "how to attract, service, and retain wealthy customers and clients for life," get Matt Oechsli's new book, The Art of Selling to the Affluent, from Wiley (www.wiley.com) .

There are two ways to measure affluence, writes Matt. One, `investable assets,' just the thing the financial services industry is keen to know. The other is `household income,' which "drives most major purchases," an oft-ignored measure. Amidst demographic shifts and economic events, a gradual phenomenon that many haven't noticed has been the increase in the number of the affluent, a good proportion of which is self-made. It may pay, therefore, to get into the affluent mind.

And Matt gives you as clues the two most important questions the affluent would have in mind when making a major purchase: One, are problems resolved "quickly and satisfactorily?" And two, is there good service provided after the purchase? Thus, "when selling to the affluent, you don't simply manage the sale; you manage the relationship." Contrary to common thinking, the affluent are not whimsical; "they do their research, often online, and then they go wherever the products and services they want are conveniently available at the best price — including discount warehouse clubs."

They're "savvy, sceptical, price-conscious," plus most of them are highly stressed. Purchase decision may be a stress-release, please note, so handle them with kid gloves, advises Matt. "If they like you, if it feels right, if you make them feel important and in control, and if you help them think that they have made a well-informed decision, they are likely to conduct business with you." Ah, there, you've got the trick! But wait, they're not letting you off the hook. "You had better know your product and your field well, because once the affluent make this emotional decision, they will go to great lengths to support it with logic."

The affluent aren't lolling in the bed, soaking in the bath, or nibbling candies all the time. They are "dedicated, hard-working, busy people." More than one in four works for 60 hours or more per week, and the less-than-40-hours category is only 17 per cent, according to a recent study by APD Research on the habits of the affluent. "The affluent never have enough time in the day to finish all their work," and so when they come to buy, they expect "minimum hassles and big-time attention."

Matt identifies at least seven factors that drive the major purchase decision-making process of the affluent. One, respect and honour "for the level of success they have achieved." Two, "they are successful because of the professionalism and competence they apply to their work, and they expect no less from others." Three, they'll react strongly if they sense any manipulative or deceitful efforts; they will take their business elsewhere, beware. Four, they define value in their own terms, and rely on their judgment; they will go wherever their quest for value takes them. Five, they have no fixations such as trying to keep up with the Joneses; they dare to be different. Six, no tension please, they have enough. And seven, "they can afford and are willing to pay for the best information, the best products, the highest level of competence, and the best professional service available."

A book that can make you too affluent, even as you sell to the affluent, so a prescribed read except for marketers who want to stay poor.

BookMark@thehindu.co.in

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