Transactional vs Relational Shoppers

In every business shoppers tend to be either relational or transactional.

The split tends to be roughly 50/50 for each business.  Relational shoppers in one category can, and will be transactional shoppers in another.

Transactional shoppers believe that they know everything they need to know to make an informed purchase. They have the confidence to negotiate for the best price, and don't mind doing so. Transactional shoppers will have no trouble shopping at multiple businesses until they're satisfied that they're not overpaying.

Relational shoppers know that they don't have the necessary knowledge and experience to make an informed purchase. They don't enjoy comparison shopping. And why would they? Each shopping experience is potentially embarrassing in that it will reveal the limits of their knowledge. Relational shoppers are searching for a provider they can trust not to take advantage of them.

Transactional shoppers will consider comparison shopping part of the thrill of tracking down the best price. Relational shoppers will consider the time involved in comparison shopping to be part of the cost of their purchase.
The more time expended, the greater the price.

And relational shoppers, once they trust a provider, are much more likely to be loyal. They are much more likely to pay list price. For most small businesses they tend to be the most profitable customers.

Oh, and one more thing: whether a business targets transactional or relational shoppers, it can't have both. The right thing to say to one is exactly the wrong thing to say to the other.

Even word of mouth tends to reinforce either transactional or relational strategies.

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