11: Paying for Perception That Pays
Why does the iPod account for over 70% of American MP3 player sales—despite arguably the most expensive line of players on the market? † Why do Americans shell thousands of dollars more on Audi cars than they do on the Volkswagens that share the same chassis? How do the eight Sunglass Hut stores on Manhattan stay in business in a town notorious for knock offs on the street?
Part of it is the status symbol—brand perception. Americans attempt to buy acceptance and respect through excessiveness—a chase to have the right logo on your jeans or car or golf clubs. Part of it is brand recognition, as we are more comfortable using the most trusted brand. Part of it is product/service design that suits us better than our favorite’s competitor does.
In October, the British entity Design Council, published findings that showed:
- “Two thirds of companies who ignore design have to compete mainly on price. In companies where design is integral, just one third do so.”
- “Design is integral to 39% of rapidly growing companies but to only 7% of static ones.”
- “80 percent of design-led businesses have opened up new markets in the last three years. Only 42% of UK businesses overall have done so.”
- “A business that increases its investment in design is more than twice as likely to see its turnover [British for “profit”] grow as a business that does not do so.” ††
Peer Insight, an American research group, found that “companies focused on customer-experience design outperformed the S&P 500 by a 10-to-1 margin from 2000 to 2005.” ††† So, this isn’t just a United Kingdom phenomenon.
From marketing to retail design, from product to service packaging—companies that design around the buyer stand a better chance to gain market share, make profits, and brand themselves as high-value companies. Paying attention to reading order, cultural relevance, and the buyer perspective will make your advertising stand out from your competitor’s—which in turn will make your brand stand apart from your competitor’s.
Buyer-centric design will cost you more up front than will company centricity or haphazardness. It can seem too difficult in the early stages of a company or unnecessary during the routine of a mature firm. But you can guide public perception with intentionality and perseverance. If you’re willing to spend the time and budget to brand yourself as your market’s specialist and/or leader, you will find a buying public that believes the same. When that happens, your clients will be willing to pay you more for your services and/or products.
——–
[footer]† Cruz, Phillip. “U.S. Top Selling Computer Hardware for February 2007.” www.bloomberg.com
†† “Value of Design Factfinder.” www.designcouncil.org.uk
††† Tischler, Linda. “All About Yves.” Fast Company. October, 2007: page 94.[/footer]
[tip]
I’ve heard all kinds of statistics on the stagnant average American church. I’ve heard solutions from changing music motifs to holding services in drive-in theaters, updating traditions to dropping ecclesiastical emphases. Church conferences sell out stadiums, as leaders and laity try to figure out how to make their church, their faith, and their God more attractive to the secular culture.
While creativity and flexibility are to be commended, they usually don’t change the systemic concept of ministry. Most churches exist to take care of our intrinsic guilt and doubt—maybe to engage the spiritual side of your existence. So, they compete on both intangible and physical amenities, like location or friendliness, music style or Bible version, emotional environment or childcare.
The true church, as expressed in the New Testament book of Acts, was built around Christ’s premise that he came “to bring life and that more abundant.” If a congregation of believers spends their lives with the intentionality as the first century church—living the full life that Jesus offers—growth happens spontaneously, organically. My church has found this to be true over and over again, with roughly 90 faith conversions (and ensuing life changes—many dramatic) already this year.