Marketers have never been more dependent on the science of decision making, otherwise known as behavioral psychology, to develop winning marketing strategies.
What is the concept of behavioral psychology?
Our modern society exposes us to more stimulation than we were designed to handle. As a result, our limited mental resources are depleted, and our thinking patterns are altered.
We become more stimulated by constant access to information and communication because we have more choices and can make more complex decisions at every level.
We have more alternatives than ever before and more information to process to make judgments, whether it’s major choices (where we live, or what we do for a living) or minor choices (where we eat, what we watch).
It is becoming more complex to cope with stimuli and the intricacy of decisions as they increase.
Marketing is meant to influence decision-making. Since how people make decisions is changing, it helps to understand how effective marketing works.
Why is behavioral psychology so important in marketing today?
It seems to be true that gaining a little edge over the competition over time may lead to big profits. However, there is another, more immediate reason why behavioral psychology is more effective in marketing now.
Technology equalizes the playing field and presents us with more possibilities than we can handle.
People who previously couldn’t compete for jobs because they couldn’t learn new skills, connect with experts, or interact successfully with others now have a lot of possibilities.
People’s options have substantially expanded as a result of this new access. However, even though technology has enabled a choice, it has not always cultivated one.
People employ four different styles of thinking to make decisions.
- Logical reasoning
- Efficient choices
We transition from more powerful forms of thinking to ones that demand less energy to make judgments when we run out of brain space.
We create efficient decisions by replacing tough questions with easy questions to answer to steer our conclusions, rather than employing rational reasoning.
Instead of selecting the most efficient options available to us, we merely repeat our previous actions and rely on habit.
So, rather than following our routines, intuition directs our conduct when we are at our lowest.
This continual and adaptive process of down-regulating the type of thinking we utilize to make decisions is ongoing.
So, what does this imply for the future?
Marketers cannot stagnate in a fast-paced world of new research and dynamic social surroundings. It is necessary to grow and change in order to keep up with your customers and the rest of the globe.
Do you want to be relevant in the marketing industry a few years from now? Behavioral and cognitive skills are beneficial to any marketer.
Leading companies are already incorporating neuromarketing insights into their advertising. Understanding cognitive biases and their effects on individual and group behavior may assist you in anticipating your customers’ reactions. Psychology and cognitive science in marketing are here to stay, providing the “why” underlying our actions.