Comparing Offline to Online

One of the biggest barriers to Online success is applying Offline reasoning to Online situations– incorrectly.

Online marketing (and selling) is very complex and all of us are looking for ways to decipher its complexity. One tempting method is to look for parallels between the Offline and Online worlds and then apply that Offline reasoning to Online situations.

Now, as a former Theater Scene Designer, I was trained to use metaphor as a problem solving tool. Comparing apples to apples can be very effective, but in many cases, applying Offline reasoning to Online problems is more like comparing apples to screwdrivers.

What brought this to mind was hearing (third hand, I will admit) about a company that is planning on selling digital products online. OK… that is good. I sell digital products online and know that it is a viable business model.

What concerned me was hearing (again, third hand) that this company did not plan to show the book pricing until the item is added to the shopping cart.

As it was explained to me, the reason was that they were following the example of “real books” whose pricing is located either on the back or inside the front jacket, so viewing the price requires a little work.

Hmmmm… OK, let’s think about this…

I see this as faulty logic for three reasons. (Truth be told, I quit looking after these three, because I had other things I needed to do. LOL)

My thoughts —

Problem #1 - Following the example of “real books” only works if you understand WHY it is that way and your product and its selling mechanism are the same as “real books”.

With real books, putting the price on the back or inside the front jacket encourages the shopper to pick up the books. Many times this leads to looking more closely at the book, opening it and reading an excerpt, looking at the table of contents, the index, or, better yet, any illustrations.

The potential customer is interacting with the book, building a relationship with the book, and once that happens is more likely to want to give it a good home (meaning purchase it, for any of you poor souls who are not *book people* … smile…)

With a digital product, displayed online, this won’t happen…

While a digital product may have the same intellectual content as a physical printed version, the differences in its physical manifestation – it is a file on a computer, not a physical book– make this an excellent example of comparing apples to screwdrivers.

Problem #2 - Pricing on digital products can vary greatly.

With a physical product, it is easy to guess a ballpark price.

I don’t expect to pay the same for a beat-up second hand paperback book as I would for the newest, large, lavishly illustrated and beautifully printed coffee table book.

Pricing digital products is much less obvious. Often it is difficult to separate the issues of physical creation and manufacturing costs from the value of the intellectual property that the digital product contains. As a result, it is very difficult to predict accurately what the product cost will be.

Problem #3 - Online purchasers are wary about being taken advantage of or scammed.

Many folks are not aware that it is safe to back out of a purchase even after you have products in an online shopping cart.

Many are afraid that simply starting the transaction will commit them. Will they be willing to start the process, simply to find out the price? I doubt it!

One of the most important elements of successful online selling is creating customer comfort and trust. For that reason, it is important that an online merchant provide open and comprehensive information about a transaction BEFORE the transaction begins. This includes information such as a detailed description of the item, photograph of the item (if applicable), the format/size of the item, shipping charges, exactly how the transaction will take place AND the product’s price!

I believe that asking the customer to start the transaction before establishing the price is a poor marketing strategy.

Thinks of how differences between countries and cultures can affect business. In some parts of the world, black is the color of mourning, in others, white is worn to honor the dead. To someone wishing to show proper respect, wearing the wrong clothing can send a disrespectful message nonetheless.

There are many knowledgeable Offline business people who are moving Online and bringing with them a wealth of knowledge and breadth of experience from which all of us benefit.

The danger lies in NOT recognizing that Online is a very different universe than Offline. It is important to learn about this new Online world before incorrectly applying business principles from the old Offline world.

Sharing the Road to Success,

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