One Psychology Tip That Could Help Increase Your Sales

Don’t present your customer with too many choices. Choice paralyzes consumers. They want you to make the choices for them- you’re the expert after all.

Sound counter intuitive? Let’s dive in.

People do not purchase the best service or product. They choose the one that they can understand quickly without too much leg work.

The problem is that consumers today are confronted with an overwhelming array of options when shopping. When confronted with so many options, most consumers experience 'choice paralysis,' which describes the situation in which we are confronted with more possibilities than we can easily comprehend.

When consumers are presented with too many options, they usually fear making the wrong decision. Human cognitive ability cannot efficiently compare more than five options, so most people will start looking at the first few options and then stop.

This phenomenon leads to low purchase decision confidence and frustration – and, in the worst-case scenario, the feeling of being unable to make a decision, implying that no action is taken at all. For brands and retailers, decision paralysis equals a business’ worst adversary...abandonment.

In a famous study, a grocery store presented customers with two different sampling stations: one with 24 flavors of jam and the other with only six options. The results of the study revealed that the availability of six options resulted in 30% of consumers purchasing at least one jar of jam, while the sampling station with 24 flavors had a conversion rate of only 3%. While the larger selection attracted more onlookers, the smaller selection actually generated more sales. What can we take away from this?

More isn't always better, for either the customer or the retailer. It is a significant empirical challenge to determine how much variation is warranted, but the companies that strike the right balance, on the other hand, will be richly rewarded. Find out what your target market is in need of, and offer a solution in a few concise options so they still have autonomy of their decision without overwhelm.