Ever notice how nearly everyone seems to use the "Latte" or daily coffee analogy to sell you something?

For example, an insurance agent might say, "For just the cost of your daily Latte, you could have the security of your family's future taken care of."

Or the finacncial planner who says "If you just invest the equivilent of the cost of your daily Latte into the stock market, at age 65 you'll have saved $236,000."

Or, how the real estate marketing guru tells you "For just the cost of what you spend on your daily Latte you can get this turn-key system."

Well, I for one don't want to give up my daily coffee!

A couple months back I received an email newsletter from Jeffrey Gitomer (Author of many sales books) who discussed this same topic. 

He said our focus as sales people should not be the "saving" of the money by not buying the coffee, but rather the amount of money we need to make in order to afford the coffee, or whatever else we value in our lives.

Finally...the words I was looking for!

 

 

3 Comments on The "Latte" Analogy

AUG
27
2007
Exactly!  Help people better understand their finances and give them goals.  Giving them a "trade this for that option" just makes them feel limited.  So many people undervalue themselves and don't have a real sense of their financial possibilities!
6:37pm • #1
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John, I think these people forget to add "for the cost of a Starbucks Latte."

 I believe the sales analogy with coffee started with this classic..."for the cost of a cup of coffee a day, you could feed 3 starving children a month!"

6:45pm • #2
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Back when I sold encylopediae door to door when I was 18/19, it was a dime a day then. Now it's a cup of coffee. Same idea. Sometimes the example works... not to give something up, but to minimize the "ouch." 

Have not used this close since we've been in RE biz, though there's opportunity for it. $90 a month is 30 $3.00 lattes... and that's how much of a mortgage? $15,000 or so. 

6:46pm • #3

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John Leach

Eugene, OR

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Opes Advisors Inc.

Address: 977 Willagillespie Rd., Suite 201, Eugene, OR, 97401

Office Phone: (541) 984-5626

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