Chapter 2
RECIPROCATION
overview
RECIPROCATION
This rule states that “…we should try to repay, in kind, what another person has provided us.”
1
.
Give
→
Take
2.
Refused
→
C
oncede
How
to
say
no
1
.
Rejecting
the requester’s initial favor or
concession
to
us, we can evade the problem
2.
T
o
accept the
desirable
first
offers of others but to accept those offers only for what
they
fundamentally
are, not for what they are represented to be.
1
.
Give
→
Take
2.
Refused
→
C
oncede
CDS
COSTCO’S EVENT MARKETING COMPANY
ABOUT COSTCO
Costco is a membership warehouse club, dedicated to bringing
members
the best possible prices on quality brand-name merchandise
.
There’s no brand that’s as strongly associated with free samples as Costco. People
have been known to tour the sample tables at Costco stores for a free food.
Costco hires Club Demonstration Service to do event marketing for them
Founded in 1988
Club
Demonstration Services (CDS)
is a uniquely focused company with proven expertise in providing customized in-warehouse events for Costco Wholesale clubs.
provide high quality product events and marketing services to Costco Wholesale vendors, with the intent of improving sales through promoting product trial in a friendly, professional style.
CDS
Give and take
Free sample is a good example of reciprocation.
Make consumers feel obliged to do something back for them
Give a particular desire for the food they taste.
Makes Costco a fun place to shop
Build customer loyalty.
Percentage of Shoppers Who Purchased Items Being Sampled, by Product
Reciprocal: Concessions
Started with
FREE
After 30 days free trial
2
week later…
buy
REFERENCE
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65
Do you know who this is?