The Marketing Power of Stories

We hear more and more these days that telling a story can be more effective in engaging consumers than a declarative statement that makes claims about a product or service.

So let me tell you a story in evidence of that.

A few years back a major financial services company retained a colleague and me to develop six new seminars for use in prospecting for new clients in the 50-plus category. The client had been using seminars designed by a publishing firm that primarily served the financial services industry.

We were told that the seminars should run no more than 25 to 30 minutes before Q & A time. “After that older people’s eyes begin to glaze over,” we were told. But we ignored this caveat. I knew that “older people” sit still in movies running two or more hours - some sit through Wagner’s epic Ring opera, Götterdämmerung for a tush-trying five hours. In fact, older folks make up a goodly portion of a typical Götterdämmerung performance at the Met.

We knew that people's eyes glaza over when they are bored. A seminar revolving around line graphs showing how stocks outperform treasuries, pie charts of growth oriented portfolios, and bar charts showing whatever will most certainly cause eyes to glaze in short order. But the same information can be gotten across in adrenalin stimulating real life stories.

The problem was not information content, but in how the information  was conveyed. So I ignored the client's caveatre about seminar length.

I first drew up personality sketches for more than 20 people who would be players in the stories I planned to write. It was a cast of characters worthy of a Russian novel.

John and Mary Everett were the main characters, with financial advisor Sandy Edmond. The Everetts were both 69, had been married nearly 50 years and were fully retired.

Seminar themes to be developed in story form included estate planning, charitable giving, healthcare planning and investment strategies.

The stories we crafted were as complex and multifaceted as a soap opera. There was Gloria Swartz whose husband Arney suddenly dropped dead of a heart attack leaving her with prospects of an annual $20,000 cash shortage at her current living standard, and a portfolio of highly speculative mostly poor performing stocks. Another story involved a couple facing estate planning challenges that arose due to children from previous marriages including one middle aged mentally retarded adult child.

When we presented the first seminar to the client’s representative, she was shocked.” This seminar is much longer than it should be. It must be at least an hour long!”

“Actually,” I told her, "it works out to be closer to an hour and a half.”

She would shortly learn whether it was too long. We had two audiences scheduled to test the story telling approach. The results were positive. We were authorized to continue developing these seminars that were "too long", using story telling to get our points across.

One financial advisor in saying much he loved this approach told of how he had elaborated the stories, making them about two hours long. Then he said, “You know those cards we pass around after a seminar asking people to rate the seminar? You’d be surprised to see how many said the seminar is too short. Should be longer.”

Telling stories allowed us to convey more information than the more typical declarative approach to seminar delivery. Telling stories also increased the percentage of audiences that signed up for first appointments.

The company was so pleased with the results of this new style of prospecting seminars that it decided to set up an in-house capability to develop future seminars, using story telling techniques in all market segments. It was probably cheaper to design the seminars in house. But as effective? I wonder to this day.

 

Comments

[Michele Miller]

Great post, David. I'm reminded of Lincoln Financial Group's website, which Holly Buchanan revealed to me not long ago. While not as detailed as your stories, they have developed a series of 'personas' with short stories of their own, to help web visitors choose which persona is most like them. I can't help but think it's a very effective tool for connecting with web visitors and moving them along the path towards "I need Lincoln Financial's services!"

The only thing that might have improved Lincoln Financial's site would be to have you develop the storytelling and Holly develop the web personas!

Cheers,
Michele

[Ron Marshak]

Hi David,

Great story. Are you familiar with the direct mail letter done by the WSJ many years ago?

It tells a story and I believe holds the record as the most successful and longest running control ever.

If you don't know about it, let me know and I'll send it to you.

Cheers,

Ron

[David]

Michele,

Always nice hearing from you.

No, I'm not familar with the WSJ story. I would love to get a copy.

Thanks,

DBW

[Sherry Frewerd]

Great info. I'm rethinking how I've written all of my salescopy now...I'm all about relationship building, but I've never even considered telling stories to convey my message... Thanks!

[David]

Sherry,

Glad you found the post useful. See Michel Miller's comment about Lincoln Financial, above.

DBW

[Luana]

It is hard to find grants to start a bnseuiss. Unlike the myths that some perpetuate, federal government and even private foundations hardly give grant money for starting a for-profit bnseuiss. One possible exception is for companies developing or exporting agricultural goods, including food and forest product. Another exception could be the Small Business Innovation Research (SBIR) or Small Business Technology Transfer (STTR) programs , which fund the research and development of technological innovation that meets specific government needs.Your best bet actually will be from the states if they offer grant programs for women (or any other special interest groups minorities, women, disabled, veterans, etc). Or check with non profit organizations, particularly women organizations if they offer grants. Examples includeIowa Women's FoundationNew Mexico Women's FoundationEven SBA does NOT give out grants. From the SBA website The U.S. Small Business Administration does not offer grants to start or expand small bnseuisses, although it does offer a wide variety of loan programs. (See for more information) While SBA does offer some grant programs, these are generally designed to expand and enhance organizations that provide small bnseuiss management, technical, or financial assistance. These grants generally support non-profit organizations, intermediary lending institutions, and state and local governments. Nonetheless, you can go to the Catalog of Federal Domestic Assistance (CFDA) and Grants.gov these are two sites created by the federal government to provide transparency and information on grants. Browse through the listings and see if you can find any grant that would support a for-profit venture.Here is a listing of federal grants for small bnseuisses. See if there is any available for individuals for starting a bnseuiss THERE'S NONE.Most of the federal grants are given to specific target groups with specific requirements (e.g. minority bnseuiss owners involved in transportation related contracts emanating from DOT Grant#20.905 Disadvantaged Business Enterprises Short Term Lending Program Grants are also often given to non profit groups or organizations involved in training or other similar activities (grant 59.043 Women's Business Ownership Assistance that are given to those who will create women's bnseuiss center that will train women entrepreneurs