Our latest report, Applying Behavioural Economics in Marketing, shares seven cognitive biases that you can use to take your marketing to the next level today.

Professor Dan Ariely humorously refers to us as ‘predictably irrational’, mocking the human tendency to make suboptimal decisions in predictable patterns.

This is why marketers cannot afford to ignore behavioural economics – it is the tool for unpacking these decisions and can shed light on why people buy or don’t buy your brand.

We use our TM.BE Behavioural Opportunities Model to map how customers buy and behave in a certain category and identify the cognitive biases that are informing their decisions.

Outing these prevalent behaviours helps us to understand why certain products sell better than others. The model is divided into seven segments, and behind each area is a growing list of 30 cognitive biases most relevant to marketing.

Inside Applying Behavioural Economics in Marketing you will find an explanation of a key bias from each segment in our model, to help develop your understanding of what it is and how you can use it in your own marketing.

We offer practical explanations, advice and examples of:

  1. Status quo bias: A preference for things to stay as they are and resistance to making an effort (also known as defaults).
  2. Bizarreness effect: Things that are bizarre (especially those that are incongruous out of context) stand out and are more memorable.
  3. Authority bias: An irrational trust in the judgment of experts.
  4. Herd behaviour: Desire to mimic the behaviour of others.
  5. Hyperbolic discounting: Irrational emphasis on what matters today and a preference for immediate payoffs.
  6. Anchoring: We use benchmarks to evaluate options, no matter how arbitrary the anchors may be.
  7. Reciprocity bias: We respond in kind to even the smallest act of generosity or altruism.

Download our free report: Applying Behavioural Economics in Marketing

For a short time only we are also offering a free one-hour training workshop to inspire, surprise and expand the minds of your brand and marketing teams on some of marketing’s hottest topics.

By Greg Copeland

Behavioural Strategist