Psychological Marketing Techniques

Bait and Switch Technique

• A tactic where businesses lure customers with a deceptively low price on a product that turns out to be unavailable.
• Often used to direct customers towards higher-priced alternatives.
• It relies on the principles of commitment and consistency, aiming to secure a psychological commitment from the customer and then capitalizing on their desire to remain consistent even when the initial terms change.

Labelling Technique

• A technique used to influence compliance by assigning a label to an individual and then requesting a favor that aligns with that label.
• For example, labeling someone as "generous" and then asking for a donation.
• It's connected to the self-fulfilling prophecy, as people tend to live up to the positive labels they receive.
• It's grounded in the commitment and consistency principle, as individuals strive to maintain consistency with their self-perceptions.

Scarcity Principle

• The idea that items or opportunities that are rare or limited in availability are perceived as more valuable and desirable.
• Businesses often leverage scarcity through techniques like:
  • Limited Number Technique: Creating an artificial scarcity by suggesting a product is in short supply.
  • Fast-Approaching Deadline Technique: Creating a sense of urgency by promoting limited-time offers.
• The scarcity principle can trigger panic and psychological reactance, leading people to act impulsively to secure the scarce item.
• To resist these techniques, it's recommended to:
  • Pause: Take a step back and analyze your emotional response to scarcity.
  • Question: Assess your motivation for wanting the item, considering whether it's based on its own merits or solely on the scarcity factor.

Sleeper Effect

• The phenomenon where the persuasive impact of a message from an initially untrustworthy source can increase over time.
• It's based on the idea that the source of the message is gradually forgotten, while the message itself remains.
• The sleeper effect is particularly relevant for messages delivered by sources with low credibility, as their influence can grow stronger as time passes.

Source Credibility

• Experts and professionals are generally considered credible sources due to their assumed expertise.
• Powerless speech (disclaimers, uncertainty) can negatively impact a speaker's credibility.
• Speaking speed can also influence credibility, as a fast speaking rate can often be perceived as more credible.

Source Likeability

• People are more persuaded by sources they like.
• Two key factors that influence likeability are:
  • Similarity: We tend to like people who are like us.
  • Physical Attractiveness: We often associate attractiveness with positive traits, including trustworthiness.
• The halo effect refers to the tendency to ascribe positive qualities to attractive people.

Negative Campaigning

• Political campaigns that employ negative tactics to attack opponents.
• It can lead to negative perceptions of both candidates involved.
• While not generally effective in gaining votes, it can potentially reduce the opponent's support.

Overheard Messages

• People are more susceptible to persuasive messages when they perceive them as unintended or overheard.
• Advertisers can leverage this by presenting information in a way that seems like an incidental conversation or observation.
• Advertisements with omitted conclusions can be more persuasive, as they encourage the consumer to draw their own conclusions.
• Product placement in movies, TV shows, or video games, is an example of using the overheard message technique.

Culture and Persuasion

• People in individualistic cultures (e.g., America) tend to respond better to persuasive messages that focus on personal benefits, while people in collectivistic cultures (e.g., South Korea) are more receptive to messages emphasizing group benefits.

Need for Cognition

• Individuals with a high need for cognition are more likely to engage in and enjoy thinking about issues and ideas.
• They tend to be more persuaded by strong arguments and less swayed by weak arguments compared to those with a low need for cognition.

Public Image

• People who are highly self-monitoring or possess a strong public self-consciousness are more concerned about their image.
• They are more likely to be influenced by persuasive messages emphasizing brand names, style, and appearance.

Explore three key psychological marketing techniques including the Bait and Switch Technique, Labelling Technique, and the Scarcity Principle. This quiz delves into how businesses influence customer behavior and decision-making. Test your understanding of these tactics and their underlying psychological principles.