Cognitive Biases for Marketers
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Examples of ten cognitive biases in the marketing world that you can apply to your own work. Presented at the AMA Houston conference in September 2016.
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Cognitive Biases for Marketers
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- 5. @LoveStats When you are aware of them, you can use them But you can bring them into consciousness Unconscious Unconscious Unconscious Unconscious Unconscious Unconscious Unconscious Unconscious Unconscious vUnconsciou Unconscious Unconscious Unconscious Unconsciousconscious nconscious Unconscious Unconscious Unconscious Unconscious Unconsci Unconscio Unconscious Unconscious Unconscious Unconscious Unconscious nconsciousUnconscious
- 6. @LoveStats Social Biases Memory Biases Constituency bias Hyperbolic discounting Hindsight bia Egocentric bias Hawthorne effect Reminiscence bump Outcome bias Decision making Biases Interloper e Interloper effect Omission bias lusory correlation Probability Biases miniscence bump Constituency bias Irrational escalation Halo effect Irrational escalation False memory Suggestibility Herd instinct Gamblers fallacy Barnum effect Hindsight bias Interloper effect Self serving bias Normalcy bias Neglect of probability Hyperbolic discounting Observer expectancy effect False memory Hawthorne effect Memory Biases Telescoping effect Omission bias False consensus effect Neglect of probability Neglect of probab Self serving bias Irrational escalation Hindsight Selection bias Social Bias effect Mere exposure effect Self serving bias
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- 10. @LoveStats HA EFF LO ECT Bias: Associate traits of one thing to an aspect of other things Lesson: Run with the beliefs, don’t fight the opposition
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- 15. @LoveStats BANDW EFF AGON ECT Bias: Tendency to do something because everyone else is Lesson: If it’s your best feature, point out ‘everyone else’
- 18. @LoveStats A $8 C $14 B $12 Cost: $6 Profit: $2 Cost: $12 Profit: $2 Cost: $8 Profit: $4
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- 20. @LoveStats Bias: Avoid extreme choices because they attract risk Lesson: Increase the profit on the middle item COMP EFF ROMISE ECT
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- 24. @LoveStats Bugatti Veyron Jean Bugatti Edition ~$3 million Only three available
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- 26. @LoveStats LO AVER SS SION Bias: People prefer to avoid loss over acquiring gains Lesson: Create FOMO
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- 30. @LoveStats Bias: Tendency to accept vague statements as descriptive of them Lesson: Always have a little something for everyone BARN EFF UM ECT
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- 34. @LoveStats IK EFF EA ECT high value on ssemble e quality Bias: People place. objects they a regardless of th Lesson: Create investment of time or effort
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- 36. @LoveStats . ONLY 1% FAT . 99% FAT FREE
- 38. @LoveStats I got 80% right! I got 20% wrong!
- 39. @LoveStats Bias: Avoid risk with a positive frame and seek risk with a negative frame Lesson: Switch the negative to find the positive FRAMING
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- 44. @LoveStats BIZAR EFF RENESS ECT Bias: Bizarre is better remembered than common Lesson: Diagnosticate or actualize a grody corporeality
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- 48. @LoveStats Bias: Overly influenced by the first piece of information Lesson: Normalize high usage ANCH BI ORING AS Limit 12 per person
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- 52. @LoveStats INGR BI OUP AS Bias: Preferential treatment to members of their own group Lesson: Capitalize on your similarities IMarketing
- 53. @LoveStats Bad! When you don’t know it’s happening When it leads to the wrong decision BIAS
- 54. @LoveStats Good! When you understand it When it makes your decision easier BIAS
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