Category Archives: Behavioral Economics
Why you don’t drink Coke out of a sink and why you should always order first in a restaurant.
What we learned from Dan Ariely at LSB’s Brandworks University A purchase may seem like a relatively easy concept. But as noted behavioral economist Dan Ariely told attendees at Lindsay Stone & Briggs’ Bandworks University 2010 there is a lot more going on in the mind of the purchaser than a simple cash for goods or services transaction. And, according to Ariely, we, as marketers, should think about certain human weaknesses, namely a lack of self control, and create mechanisms to help people make better purchase decisions. When it comes to self control, Ariely talked about consumers overemphasizing the present[.....]
Is Persuasion Psychology the Key to Growth?
A Wall Street analyst recently lamented that “flat” is the new normal. And it’s not just analysts who note it will take a minimum of three years of growth in GDP like that of Q4 ‘09 to even get us back to where we were in production and employment years ago. Consumers know it too. As a result, they’ve adopted a set of new behaviors of which spending is not one of them. But since growth is the objective of every CEO and shareholder, finding a way to grow is critical for every marketer who wants to hold on to[.....]
Getting your Target to Spend More
Many experts agree that while the economy may have bottomed out it’s going to take a while for consumers to start spending again. Which makes the topic of LSB’s 20th annual Brandworks University (May 24 – 26, mark your calendars now!) all the more compelling and timely. The 2010 Brandworks will focus on getting folks to open their wallets and spend more using the latest insights and techniques from behavioral economics and consumer psychology. This is how Marhsa Lindsay sums it up, “In an effort to get their target to spend again and again, many marketers see computer-enhanced statistical analyses[.....]
