The smoothest Sales Pitch you will ever come accross: Amway Case Study

[0:00]During the 1980s and during the 1990s, the whole culture of salesmen actually became very popular in the United States of America. All right? So, you know, you remember the early 2000s in India, so many salesmen used to come and knock at the door. They used to sell dictionaries, they used to sell, Discovery book, and a lot of other things. That happened in India in early 2000s, in the US that happened in the 80s and in the 90s. Now, these people, these salesmen, obviously, had a very low conversion rate, very, very low conversion rate. But you know, there was one company, which was making a million dollars, and their conversion was exponentially high. As compared to normal salesmen, this company today is a billion-dollar company. And that company is Amway. The question is, what did Amway do right because of which it was able to get exponentially high sales conversion? All right? And it's not network marketing or stuff like that. Out of the many things that Amway did right, the one thing that all Amway salesmen did right was use something called the idea of consistency to convince their customers. Okay? Listen to me very carefully. What usually salesmen used to do was they used to come and knock at your door, they used to present all their products, and they used to say, "Okay, so which one do you want to buy?" Before even they complete the explanation, the customer lost track. First of all, why has this guy come in? Second of all, I'm doing something at my house, and this salesman has the audacity to disturb me during the day and has come to present me something that I really do not give a damn about. All right? So regardless of how good the products were, because the salesman disturbed the schedule of the people, these people got annoyed. And it's not just the disturbing of the schedule, it's just the lengthy explanation of so many products that they really don't care about because 99% of the people do not care about 80% of the products. And that is the reason why most salesmen were not able to sell a lot. But you know what Amway salesmen did? They just came, knocked at the door, gave you a small merchandise kind of thing, which had small samples of all of your liquids, you know, your dishwashing liquid, your floor liquid, your wall cleaning liquid. And they just said, "Hi, ma'am. I just have this beautiful merchandise to offer you. Just do me one simple favor. We are just trying to find out how can we make the best products possible for people like you." So I am giving this merchandise to you for free. I'll come next week. Please try all these liquids out and tell me which one did you like the best. And this guy used to leave. That's it. No pitch. Okay? Now, housewives couldn't refuse a charming salesman who's not there to sell anything, takes only 2 minutes of their time, gives them a free merchandise, and that too for cleaning. Okay. You know what, bro? One week later, the salesman comes back and he asks, "So which liquid did you like the best?" And to be very honest, Amway products are great, they smell great also. So within a week, their housewives actually tried out all the products. Okay? And then she says that, "Yeah, I like this liquid, I like this liquid and this one also smells very good." So you know what the salesman does? He says, "Oh, that's wonderful. I just happened to have the bottles of all of those three liquids. And you know what? I'm also going to give you a special discount because you gave me such a wonderful review. So here's Bottle A, Bottle B, Bottle C, a floor cleaning liquid, a dishwashing liquid, and a furniture cleaning liquid. Which one do you want to buy?" Now, what did the salesman do? He handed over a free sample. Okay? Did the housewife favor? Housewife very happy, she tried the product out, so she invested her time and efforts. One week later, the salesman comes in for an honest review. The housewife herself tells the salesman that this is what she liked. So the salesman doesn't have to pitch her at all, he just has to tell her that these are the products that I have. Would you like to buy any of them? Okay? So here he has come to the tipping point. After using the product, after knowing how good the product is, over here if the housewife refuses, the salesman is not going to spend his time trying to persuade her. Okay? And after she says that she likes it and he gives her the product, it is more likely that she's going to buy it. And this is going to be a comfortable transaction that is happening between the salesman and the housewives. So the next time the same salesman comes in and he says that, "You know what? I've got new products and a new merchandise. Could you please try this out? I'll come back next week." Okay? So if you look closely, what did the salesman do? Three steps. First thing that he did was he did not commit the mistake that other salesmen did. He did not disturb anybody's schedule. Came in, walked in with a smile, and gave them something for free. Why? Because he's throwing a net to understand what does the customer like? Number two, after the customer likes something, he doesn't pitch it to the customer, the customer pitches it to the salesman, saying that, "This is the liquid that I like and here's why I like it." And then he brings in the product and this product is something that she cares about, and she knows about it, and she has confessed it, as a result of which, she couldn't be persuaded any further. And this magical connection laid a solid foundation for Amway for what it is today.