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I read a startling fact the other day. Research shows that consumers consult the internet 80% of the time before making a purchase. 80%! It’s no wonder that the growth of the internet has dramatically changed the way people must do business. I remember years ago when I was working as a car salesman we always had the upper hand because, even if you had only been in the car business for just a few weeks, you already knew more than 90% of your customers did about how cars are sold. The customers always knew a few things but they didn’t know everything they really needed to know. It was my job to find just how much they knew and then present the offer to them in a way where they thought they were getting the very best deal. I'd say about 2007 the sellers advantage pretty much disappeared as more and more people got in the habit of consulting the internet for information before making a purchase. Today it is possible that the consumer actually knows more about the purchase than the salesperson does! The travel business has gone through its own metamorphosis as the result of the consumer’s ability to shop online but there are some things going on that even beat car dealers for shifty practices. Try searching for a particular airfare or cruise price. You’ll easily find a super low price but when you click on the button to book it, that price jumps to almost twice what the teaser fare was. In addition, travel fares are fraught with government taxes and fees that can add as much as 50% to the price. It is a common practice in the travel business to only reveal all these charges just at the point where you enter your credit card information. So, that round trip ticket to Boise for $269 jumps to $435 when you start to select your flights and then $502 when the taxes and fees are added at check out. Those teaser rates just never seem to apply to anything you would want to purchase. These are just old fashioned marketing techniques redressed for the internet model. I suspect that many consumers are starting to be a little suspicious of what they read on the internet. Who decides what web sites show up for a search term related to what you were thinking of buying? Who verifies that the information they offer is accurate? I like to read the customer reviews on products I am researching but I always wonder who wrote them and why they took the time? Whether they are happy with the product or mad as hell, they always seem to go a little over board. Like this blog, people can say anything they want about, well, anything! Chances are good these ambiguous comments will show up in a search engine when you want to gather information. So, while today’s consumers may be better educated about the purchases they plan to make, the most important information they need to know is that they are dealing with a salesperson that they can trust. Some things never change...
Tags: internet, optimism, travel certificates, travel packages
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