- 20 Feb
Cognitive Marketing: 5 Psychological Tools to Boost Your Marketing ROI
As marketers, we should understand the decision-making process of our customers. As the economy grows and the choice of products increases exponentially, it’s more important now than ever to know why the customer chose a brand. Was it random? Was it pricing, location, the color of packaging? Or all of those things?
Classical economic theories explain human behavior in a rational, mathematical way. In that theory, it claims that customers choose the product that brings them the most utility. They tend to pick the one that is best for them and the cheapest one among its competitors. As marketers, we know that’s at least not always the case. Otherwise, advertising wouldn’t be as effective as it is. But psychologists know more. They know this is absolutely wrong. They know people are irrational, unreasonable and impulsive. And, most of all, they are horrible at maths, unlike what economists assume.
To learn some cognitive biases people rely on when making a decision, and a peek at which marketing ideas you can apply after discovering these biases, read the full article at Jeffbullas’s Blog.