A Marketing Lesson from Church Auctions

It's funny that we can observe the most interesting marketing insights in our daily life itself yet we don't recognize most of them. It's also funny that we notice something happening right in front of us when somebody else tells us about it.

I read about the role of social or peer pressure in buying decisions and the fear of losing vs the joy of winning. I had this going on at the back of my mind the whole day. Towards evening, I met a few neighbors of mine at the frontyard and began talking about Christmas and the festivities going on, especially as they were avid churchgoers.

They said most churches conduct auctions to raise money for charity and even small items raise money many times more than its true price as people bid higher and higher in religious fervour. Though interesting from a marketing perspective, it's something they said right after the discussion about church auctions that amused me. Talking about one of their relatives, one of them said "It's a shame that he hasn't paid the money due to the church from last year's auction." All of their family members supported this statement with affirmative nods.

I thought, "Great! What a nice way to market things!" People's fear of failure or loss is much greater than their sense of bargain. I say this from a truly marketing frame of mind. Therefore, I believe it's better to tell a customer as to what he stands to lose along with what he stands to gain in a deal to sway them your way.

I think people's fear of losing is much higher than their joy in winning something; more so when there is social or peer pressure involved. If the church can use it, I think God wouldn't mind us poor marketing souls using that too.... It should be true... bcoz I know I do so many things out of pure social pressure... like going to work in the morning :-) Disclaimer: If anybody from my workplace is reading this, this is not true, and thinking so is equal to blasphemy!