Three Choices – Putting the Power of Three To Work In Your Business

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By Lori Osterberg


 

Don't you just love going on vacation?

I love vacations. I love traveling, and experiencing all kinds of different things. While I do love heading off to different places, I also like heading down to Disney World every once in a while just to play like a kid.

The problem is as a marketer and a small business owner, no matter where I go, I'm always watching how other businesses market their own business.

And Disney is king when it comes to marketing and customer service. There really is so much to learn from them.

As we made our way through Disney World this past week, I discovered something new from the last time I was down there that really caught my eye.

Walking through each theme park, including Downtown Disney, I saw little princesses everywhere. Not just little girls wearing their favorite Disney princess outfits - little girls that actually sparkled like real Disney princesses.

Yes, they had on the Disney princess outfits. But they also had amazing hairstyles, with curls, sparkles, crowns and ribbons. They had sparkles on their cheeks. They carried magic wands. And every little "princess" I saw actually looked like a princess. It actually made me want to be a little girl again.

Then I discovered the secret. Disney now has a new boutique just for little girls. These boutiques are at the Magic Kingdom and at Downtown Disney, and they offer three packages to give your child the experience of being a princess for a day.


The Power of Three

As a small business owner, I know the Power of Three just from my own personal practice.

When you have a service business, people like the opportunity to choose a package that's right for them. But the more choices you give people, the harder it is to make up their minds.

As a photographer, I saw this happen again and again. If we gave our clients an ala carte system for ordering, they had a hard time putting together their purchases. But if we gave them three packages to choose from, they could easily make up their minds and select the "perfect" package.

And by providing a better offer in a higher priced package, you could ultimately sway a customer to choosing your higher package and feel good about her choice. After all she was getting the best deal.




Disney's Power of Three

Disney has the Power of Three down perfectly.

Their first package contains a hairstyle, shimmering makeup and a princess sash.

Their second package contains a hairstyle, nails, shimmering makeup and a princess sash.

Their third package contains a hairstyle, nails, shimmering makeup and a princess sash AND a princess gown of choice, crown, wand and shoes, PLUS a portrait package including a 6x8 and four 4x6 photos.

Who wouldn't want the third package!

From the amount of princesses I saw I can tell you the third choice was by far the most popular. And you can bet the price was substantially higher for the entire experience.


It’s easy to determine your yearly sales target with packages.

Let's say your target sales goal is 100,000 for the year.

If your best package is 500, you know you have to sell 200 packages this year.

Now divide the 200 packages by 12 months of the year, and you know you must sell around 17 packages per month to reach your target goal.

Creating Your Own Power of Three

That's what I love about Disney. They set out to find an idea that sells. And this idea definitely is selling.

As a service provider, you can use this same concept in your own business.

First start with your idea. What would you like people to buy from you? What service would you like each client to purchase from you? What would you like to make from each client?

Build this idea into your top of the line package. Bring out the extra touches, and add things that will make this package shine.

Then build two other packages at a lower cost, and with substantially less products/services. Sure they are an option, and they make some people happy. But your top of the line shines. It's the one everyone wants. And it's the one that will bring you in the profit you've set out to achieve.

Once you have your premium package in place, you can concentrate on bringing in clients that will choose that package. Make that package the one you advertise. Make that package the one that you sample. Make that package the one you share testimonials on.

People buy what they see. The Power of Three will lead them to the "right" package, and give you the profits you've been planning on.

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dudumodu  says:
5 weeks ago

With every day that passes I get convinced that marketing is both an art and a science. Your article just deepened that conviction for me.Thanks.

yojpotter profile image

yojpotter  says:
5 weeks ago

Great post Lori! I found your hub in our group on Facebook..^^

LondonDuchess profile image

LondonDuchess  says:
4 weeks ago

Thank you for a very informative Hub.

I am certainly going to remember and apply this info

Viv

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