20.12.2023
Inside the Faculty
Cognitive bias in marketing and sales
Ever had the feeling that your brain is playing tricks on you when making a purchase? It's probably due to cognitive bias! Based on old disciplines such as consumer behavior, neuromarketing is a recent trend (early 2000s). This practice focuses on cognitive biases as sales triggers! How can you use them to optimize your marketing process? We'll let you in on a few secrets...
An easy definition of cognitive bias
Cognitive bias is a form of thinking that deviates from logical, rational thinking. These thoughts facilitate decision-making, but tend to alter our judgment influencing our choices: we then speak of "distorted judgment". Cognitive biases are initiated by the brain: to take action or make sense of complex reasoningmthe brain uses unconscious subjective beliefs or "mental shortcuts".
Cognitive biases are innate and unconscious which is why they are particularly useful as persuasion techniques.
How are cognitive biases used in marketing?
Let's take a look at the 5 most important neuromarketing principles or biases particularly used as persuasion techniques to sell more and sell better!
A powerful persuasion technique, scarcity bias is based on the following principle: anything that's rare, not easily accessible... has more value in our eyes! This is the case, for example, with temporary content, products or services. Better still, the fact that the product is in shorter supply leads us to attribute greater value to it.
The scarcity bias is linked to FOMO, the Fear Of Missing Out. Used sparingly, it's a formidable marketing tool. Beware: it can create stress and lose credibility if scarcity is "artificial".
Example of scarcity bias:
The countdown timer on websites indicating the end of an ongoing promotion. Booking.com is a perfect example! Or the launch of limited editions by ready-to-wear brands.
PRINCIPLE OF COMMITMENT & CONSISTENCY
When consumers express themselves (speech or actions) they then seek to act in a way that is consistent with their commitments. The aim is to encourage the person to become ever more committed to you: first you make a small request (subscription on social networks) then you increase the "value" of the commitment little by little (newsletter subscription, discounted offer, then purchase of a premium pack).
Example of the commitment principle:
Freemium offers. The aim is to let consumers try out part of the product for free or at a reduced price. The first commitment is created with the consumer then it's a matter of delivering enough value to convince him or her to stay (or buy the whole product).
"You give to me, therefore I (re)give to you": this is the principle of the reciprocity bias. It's based on a norm that governs our society. When someone does you a favor, you owe them a favor in return. We have the impression of being bound by an "imaginary contract".
Example of reciprocity bias:
Fundraising organizations. These give away free goodies or samples while asking for donations. This principle is widely used in the charity sector but not only: companies and brands that give away (a lot of) free content on the web expect a return (newsletter sign-up, word-of-mouth, purchase)!
Social status, even if it's only represented by a symbol, is an extremely powerful factor of influence. For example, someone who has a particular title or diploma, wears specific clothes, has spoken in particular places, etc., is given more importance. Don't hesitate to highlight your expertise through elements of credibility.
Example of authority bias:
In an advert for an anti-dandruff shampoo an expert in a white coat intervenes. Some brands also use public figures to sell their products (e.g. a racing driver in a car ad).
When it comes to making decisions, we tend to copy the behavior of the majority. The principle of social proof is to highlight all the elements that can reassure the consumer: insisting that "others have done it before". Social proof is an excellent technique for building trust and demonstrating the efficiency of a product or service.
Example of social proof:
Testimonials and case studies on company websites, micro-influencers and their recommendations via social media, discussions on self-help forums, video unboxing...
Often demonized, these persuasion techniques are nonetheless highly effective in marketing. Be careful not to fall into the trap of "manipulation": some companies use cognitive biases in unethical ways, in their communication and sales.
It's up to marketing teams to draw the line: it's not a question of manipulating consumers or lying to them, but of activating existing human behaviors, while maintaining a perfect professional ethic!
