Words are extremely powerful. One word can be extremely powerful. We tend to throw out words without always thinking about how they are perceived. It can be interesting though to take a step back and think about what we are really trying to say and how people interpret the words we use. That leads us to last Friday’s survey:
What is the length of the Mississippi River? Sounds like a fairly straight forward question but a concept known as anchoring (or magnitude priming) makes people respond to that question in unexpected ways.
Anchoring is psychology theory that suggests when people see a number, they are biased toward that initial number. What does that mean? Let’s try an example. Consider the following question:
A. “Is the population of Chicago more or less than 5 million? What is the population of Chicago?” [Read more…]
Does your business offer a warranty of 1 year, 12 months, or 365 days? Is your product expected to be delivered in 21 days or 3 weeks? Trick question, huh? It’s actually not. While the units are mathematically equivalent, academic research in consumer behavior suggests they are perceived differently by consumers.
Imagine you’re discussing a big project with a client and indicate you expect it to be done in 1 year. What if you would have said you expected the project to be done in 12 months? Or 52 weeks? [Read more…]
Consider the following scenario:
You go to the store to buy soup. You notice that cans of soup are marked down from $.89 to $.79. Below the price is fine print that says “Limit of 4.”. You make your choice and head to the register.
Now the question is…does the purchase quantity limit (ex. limit of 4) influence how many cans you buy?
When discussing marketing and my interest in consumer behavior, I am often asked “What is consumer behavior?”. I typically respond with something like “consumer behavior is the study of how consumers behave, why they behave in certain ways, and how they respond differently in various situations”.
Consumer behavior (also known as consumer psychology) is a fascinating field that digs into the what, why, when, how, and where of marketing. Rather than focus on definitions of consumer behavior, let’s look at the types of questions one can ask about marketing and consumer behavior.