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Marketing is applied psychology. Every tweet. Every ad. Every word. The best marketers are students of psychology and use it regularly. Grab a coffee, save this thread and dive in 🧵 Here are some of the most interesting applications of psychology in marketing:
The McDonalds Marketing Strategy 🍔 Small: $5 🍔🍟 Medium: $5.75 🍔🍟🥤 Large: $5:90 The medium option is a decoy as it looks overpriced in comparison to a small... But the large looks like a deal.
Fewer Syllables Feel Less Pricey When you read $47.89 in your head it can feel more expensive than $49.40. This is because we often perceive longer sounding numbers to be more expensive.
The Information Gap Clickbait fuels the internet. It makes up the majority of the titles you’ll see in your favorite newspaper and magazine. People don’t want to scroll pass information that answers questions that feel interesting.
Write $1400 not $1,400 That comma signals expensive! Research shows that when a price doesn’t have a comma; we perceive the price as less intimidating.
The Psychology of Sharing We all share content to achieve one or more of these 5 factors. This is why the ALS ice bucket challenge went viral a few years ago: <a target="_blank" href="https://foundationinc.co/lab/psychology-sharing-content-online/" color="blue">foundationinc.co/lab/psychology…</a>
The Reciprocity Principle We feel obliged to give back to people who have given to us. This is why restaurants should always give you a mint at the end of a meal and Uber drivers should offer a charger. You’re more likely to tip. 💵 <a target="_blank" href="https://www.sciencedirect.com/science/article/abs/pii/S109078071100262X" color="blue">sciencedirect.com/science/articl…</a>
The You Saved $$$ Claims Brands put this on receipts and stickers so you tell people how much you save. In reality; that’s not what you saved — it’s what the company decided not to mark up. If something priced @ $20 is on sale for $15 you don’t save $5. You spent $15.
The IKEA Effect The act of building something, putting your own blood and sweat into creating something adds additional value above and beyond its inherent quality, which the researchers dub the “IKEA effect.” <a target="_blank" href="https://www.sciencedirect.com/science/article/abs/pii/S1057740811000829" color="blue">sciencedirect.com/science/articl…</a>
We Want To Avoid Loss (aka FOMO) If a brand offers you a free 3 month trial - you’re going to take them up on it even if you don’t have time to use it. You’ll then aspire to use it and begin paying in month 4.
The Baader-Meinhof Phenomenon Our brains are hardwired to focus on recognizing familiar concepts, especially when they’re new to us. This is why remarketing ads can feel creepy / stalkerish. Sometimes it’s just a frequency illusion.
The Power Of Social Proof We’re social creatures. One of the greatest benefits of living in this generation is crowdsourced reviews from other people who bought things. Brands use social proof to influence our decision making. Which of these are you more likely to buy?
Get XYZ Free > Bundles 👕 👟+ Free 🧢 for $30 = 😄 👕 👟 🧢 for $30 = 🤔 People are more likely to buy a $20 ebook that comes with a free interview series & consulting call than a $20 bundle that is a “ebook, interview series and consulting call”.
There are plenty of other psychological techniques that marketers use every day to hook us. These are some of my favs. If you like stuff like this be sure to follow @thecoolestcool and subscribe to the @FoundationIncCo newsletter for more on marketing: <a target="_blank" href="https://content.foundationinc.co/insights-1" color="blue">content.foundationinc.co/insights-1</a>
Want more quickly? I’ve got you. I share threads like this all the time. Here’s a couple of my best threads on marketing that you may have missed: <a target="_blank" href="https://twitter.com/TheCoolestCool/status/1344644059445530625" color="blue">x.com/TheCoolestCool…</a>