Chapter 20. From Network to Nurture

Why does Girard’s method work so well?

He was tapping into two principles that resulted in people knowing who he was and feeling positive about doing business with him. The first principle, the recognition heuristic, is the most fundamental step in decision making. The second principle, the concept of obligation, creates a psychological indebtedness in the customer’s mind that he or she wants to discharge—by doing business with us.

The Recognition Heuristic

If you give customers a choice between a brand they have heard of and one they have not, they will overwhelmingly choose the one they’ve heard of. They’ll do this even if the one they recognize is a little more expensive. The reason that we will choose things ...

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