persuasion Homeshopping channels make time the scarce resource. They often have a counter on the screen too. Sometimes the counter runs down with every sale. So the host says, "We only have a limited number of these imported widgets, and when they're all gone, we will never sell them again." And the counter showing the number of items remaining continues to tick down. The counter creates the impression of scarcity. Creating a Demand: Can You Say "Limited Supply"? Have you ever wondered why some "in" restaurants continue to have waiting lines outside? Long lines seem to make the restaurants even more fashionable, increasing the length of the line by an even greater degree. Why don't restaurants eliminate the waiting line by increasing their prices? Thev don't because removing the lines would eliminate the scarcity factor, and demand would collapse. Consider how the Law of Scarcity created the Beanie Baby phenomenon. When Ту Warner, the creator behind Beanie Babies, took certain Beanie Babies off the shelf and limited their availability, prices skyrocketed for the discontinued and suddenly rare and valuable Beanies. Spurred on by the threat of losing out, collectors began hoarding the stuffed animals and speculating as to which ones would be retired next." The Law of Scarcity was also used to create demand for diamonds. In spite of a dramatic leap in production from 15 million carats to a whopping 100 million carats, DeBeers, the company maintaining a monopoly over diamond supply, still managed to render the diamonds scarce. Running only ten diamond sales per year and inviting only a select number of dealers, DeBeers easily controlled the supply and pricing. Not only this, but each invited dealer got only a limited amount of diamonds. DeBeers selected for them, and if they complained, they were not invited back!i: An owner of a successful beefimporting company decided to conduct a study among his staff. The staff members were assigned to call the company's customers and ask them to purchase beef in one of three ways. One group of customers just heard the usual presentation before giving their orders. Another group was given the usual presentation, but they were also presented with evidence that imported beef was expected to be in short supply in the coming months. A third group was given the usual presentation as well as the information about the beefs upcoming scarcity, but they were also told that this news was not available to the general public, and that the information provided was exclusive to the company. Not surprisingly, the sudden demand for beef created by these phone calls exceeded the supply on hand, and the company had to scramble to fill the orders. Customers alerted to the coming scarcity of the beefbought double the amount of those receiving only the standard sales pitch, and those learning both of the coming scarcity and that this was "secret information" bought six times the amount as those hearing only the standard sales pitch!" How about when you take your child to be photographed? They take ten different shots and then send you a proof for each. persuasion