Tag Archive for: Paul Herbert

Is Expert Advice Always Worth the Price?

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A few weeks ago I took the day off to blog and do other social media related things but as the hours passed I had writer’s block. Nothing was coming to me until I read a very interesting article, Chris Brogan – Anchoring and Social Proof – Influencing Your Audience, by Paul Hebert. The article talked about how Chris Brogan, a social media guru, publicly stated his $22,000 a day fee for his consulting services. The angle for Paul’s article was how this publicly stated price impacts what other consultants can charge because of the anchor that’s been set.

The article also explores the principle of consensus (a.k.a. social proof) because undoubtedly other social media consultants will move in the upward direction as they see peers begin to do so. It’s a very interesting article so you should take a look.

 

Here’s my question for you (please feel free to comment below) – Would the advice Chris gives be worth $22,000 IF you or I could give the same advice but we charged significantly less only because we’re not as well known? In other words, is the advice more valuable just because it comes from Chris Brogan as opposed to me or you?

As I pondered this it brought to mind an article I wrote last year, Golf Advice from Corey Pavin. My wife Jane is an avid (addicted?) golfer! In that article I explained how I shared some golf advice with her. It was sound advice based on psychology but it went in one ear and out the other. However, weeks later she read a quote from Corey Pavin that was almost exactly what I had told her and she acted as it if was a revelation! For her it was more believable because it came from Corey Pavin. After all, he’s an authority having won the ’95 US Open.

But think about it for a moment, that fact that he said it didn’t change the reality that the advice was the same and should have worked every bit as well for Jane whether he said it or I said it. His expertise and track record make him an authority, giving him more credibility than I have when it comes to golf, but if you are going to pay for something based on authority shouldn’t you get something more for your money? Shouldn’t the expert give something that’s new or unique in some way?
I’m sure a golf lesson from Corey Pavin would include other tips and insights most people couldn’t give and that would make his higher fee worth it for the average weekend golfer. By the same token, Chris Brogan probably brings additional perspectives other less savvy social media folks won’t have. My point is not to say Chris Brogan isn’t worth his fee, it’s to get you to think.
Part of the influence process is establishing your authority because it makes you more believable and as a result you’ll hear “Yes” more often. I have two points for you to consider when it comes to being influenced by a perceived authority:
  1. Is this person really a legitimate authority? Chris Brogan has authority status having written Trust Agents (a very good book by the way) on using the web to build influence. Because of his work and time in the social media arena he’s recognized as an expert in the field. But that’s not always the case. For example, many spokespeople on TV have no real expertise and yet we’re subconsciously swayed by them.
  2. Is the advice something I could get elsewhere for less (money, time, effort, etc.)? Isn’t it disappointing to visit the doctor only to hear, “Rest it and take some Tylenol”? An expert – yes – but worth the money? Probably not when we all know rest is helpful and Tylenol reduces pain and discomfort. Or maybe you’ve attended a conference with big name speakers only to walk away thinking, “I didn’t learn anything new.” Worth it? Probably not because we expect something more from the expert.
The mind is an amazing thing. If someone believes Chris Brogan’s advice, or Corey Pavin’s, more than my advice or your advice (and lets assume it’s the same advice) then they’ll probably work harder to implement it. I know Jane will stay on the driving range for many more hours trying whatever Corey says, as opposed to what I might suggest, and she will be a better golfer as a result of her extra effort. Businesses will likely do the same with Brogan’s advice and that will legitimize his fee. Maybe that’s some of the value they offer?
The question of value reminds me of the experiment that showed kids prefer food in McDonald’s packaging and rate it as better tasting than the same food in plain packaging. As a parent, if it makes them eat the food then it’s probably worth the extra money and fewer hassles. If a customer is gung ho about the advice some authority gives vs. the same advice given by an average Joe then they’ll work harder to apply the guru’s advice and realize more benefit from it. If that happens I think you can legitimately say the expert advice was worth it.

In closing I’ll share a fascinating resource on this subject of value, the book Priceless: The Myth of Fair Value and How to Take Advantage of It. I read the book not long ago and it was an eye opener about how people value things. I highly recommend it because it will change your outlook as a consumer.

Brian
Helping You Learn to Hear “Yes!”