Definition: The moment of truth is a crucial moment when customers are considering to proceed with a purchase or are forming an image about a certain company. It is a marketing concept that identifies decisive moments in a relationship with a potential customer.
What Does Moment of Truth Mean?
The decision-making process involved in making a purchase is a highly complex one and this concept aims to improve the perception customers have about a brand by identifying key moments that increase the chances of a positive decision towards the product, brand or company.
In time, different Moments of Truth (MOT) have been identified by different companies. The First Moment of Truth is considered to be the first interaction between a shopper and the product.
The second Moment of Truth happens when the customer uses the product and forms an opinion about it. Both of this are recorded to be coined by a Procter & Gamble executive in 2005. After those two were described, others emerged to point out different scenarios that were recognized as very important by marketing experts. Recently, Google identified a Zero Moment of Truth. According to their perspective, this moment happens when a potential customer researches online the brand or the product. The results this individual finds when the research is performed will contribute highly to his judgment about the subject.
Example
Murray owns an auto repair shop located in the hearth of the city. He is considered to be one of the best mechanics in the state and he is always getting a lot of clients. He was recently interviewed by a local newspaper and when the journalist asked him about his secret formula to be so successful he clearly stated: “It is all about winning the client’s trust”. He described this by pointing out the fact that when a customer arrives his shop the moment of truth for him is the diagnosis.
He has understood that if a mechanic communicates effectively with the client and issues a reliable diagnostic, from the client’s perspective, they will decide positively towards the shop. This has been a highly profitable strategy for Murray and many other shops are implementing this approach to attract and retain customers.
