MANY of us have watched games on television where the contestant playing is offered Tshs 500,000 that they can take on the spot or a chance to keep on playing and possibly win Tshs 1,000,000. They could see the Tshs 500,000 but not the Tshs 1,000,000. While many of us sat at home yelling and calling the contestant stupid for not taking the money they could have right there and instead playing more for money, we still knew deep down that we’d have taken the chance on the possibility of a bigger prize.
It’s the same anticipation that drives us to play the lottery—to give up our hard-earned shillings for the chance at something bigger. So, it turns out the game shows and the lotteries are popular for a psychological reason, and not just because there’s a chance we could win millions. The same reason people love playing the lottery or picking to play on, on a game show, can also help you when marketing your ecommerce site. This reason is a little something known as Motivating-Uncertainty Effect. In other words, we get excited about things when we don’t know what the outcome will be. That’s all. There could be nothing gained, and we still get that rush.
When the possibilities include large sums of money, such as the lottery offers, the excitement is easy to understand. It’s hard to imagine that same excitement translates to discounts for the products on your website, but it really does. That’s because we’re not so much excited about the money we could win or save as we are simply excited about the unknown.
We even get excited when those rewards aren’t monetary. That’s why employers can use the Motivating-Uncertainty Effect when rewarding their team members. With the prospect of choosing a day off of work or a free lunch, employees get excited enough to complete tasks for a chance to win.
One thing is clear: offering a prize of some sort boosts the chances of your success. For consumers to get involved, to invest their time and money, they want to receive something for their trouble. We’re naturally risk averse (with the sheer number of people who play the lottery serving as the exception to the rule, of course), so we’re more likely to participate if there’s some sort of reward. Maybe they might end up winning a cell phone instead of the Tshs 500,000 but at least they win something.
If you’ve ever received a coupon with a “Scratch and Win” concept, you have some idea of what the physical form of Motivating-Uncertainty Effect looks like. Figuring out how to translate those scratch cards into digital marketing took a little time, but some companies have pulled through with brilliant results.
Within your website itself, you can offer buyers the chance to uncover special discounts with several possible outcomes. “Click to discover your discount” is a great way to keep potential buyers engaged with your ecommerce site. Once they receive the discount, they’re more likely to use it. This is why companies like Kaymu Tanzania are always having different kinds of promotions for their customers.
“We notice the increase in orders once there is something on the table for the customer to gain. A price reduction off a purchase or a ‘buy one and get one free’ promotion, as long as there is something to be gained, they stay engaged and this is why we keep having different kinds of promotions because we understand how our consumers think and how they react to different things”, Kaymu Tanzania country manager Erfaan Mojgani told us.
You can also put the power of uncertainty motivation to work with email marketing, too. With design that mimics a scratch card, the email can give buyers the chance to uncover their savings. While other emails go unopened, the uncertainty presented within your “scratch and win” style message might be too exciting to pass up.
The phenomenon can also work well with loyalty programs. For instance, you could let buyers know they have a chance of winning 20% or Tshs15, 000 off their next transaction after they make a set number of purchases. They’ll run toward the finish line when uncertainty waits at the end.
About Kaymu
Kaymu is the leading online shopping community, and the safest platform on the market. It connects and empowers buyers and sellers to allow them to take advantage of the best deals on an extensive range of products including electronics, mobile phones, fashion items and tons of gadgets. Thanks to a fixed price system, Kaymu guarantees that users will always find the lowest prices on the market.
About AIG
Africa Internet Group introduces and accelerates the online shift in Africa – for its people and its culture. It is committed to running successful and vibrant internet companies which boost the evolution of African online culture. AIG is the parent group of nine successful and fast-growing companies in more than 25 African countries, accounting for over 3, 000 staff. AIG cares about entrepreneurship and brings together all the key elements required to build great companies: team, concept, technology and capital. Its network of companies includes JUMIA, Kaymu, Hellofood, Lamudi, Carmudi, Zando, Jovago, Lendico and Easy Taxi.