Understand Your Buyer > How To Convert > The Prepayment Effect
What is it?
The PrePayment Effect incentivise buyers to spend more up front and then run down their credit, incentivising them in the process.
Why does it work?
It works because by offering a discount, as a buyer you are getting a better deal as your money is going further and for the seller you are securing more cashflow and more spend.
How can you use it?
Depending on your offering, if you sell blocks of time or units of stock, you could consider selling them in a prepayment plan. What discount or incentive could you give to help your buyer prepay rather than pay as they use?
Like this kind of stuff? Want more?
Understand Your Buyer:
100+ ways to reach, engage and convert people to buy using psychology, science and common sense.
In the book we cover:
✅ How people work – 18 factors that affect client behaviour.
✅ Selling Communication Basics – 12 ways to communicate more clearly.
✅ How to get attention – 18 ways to stand out and be noticed.
✅ How to engage – 27 ways to engage potential buyers.
✅ How to convert – 10 ways to convert prospects to buyers.
Everything in the book works and is backed by psychology, science, common sense and my own testing.