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I spend 18 hours each week turning marketing psychology into readable newsletters.
The Red Bull Story Read online Dietrich Mateschitz discovered an energy drink in Thailand. It was cheap and used by factory workers to stay awake. Mateschitz took it back to Austria and set up focus group taste tests. They didn't go well. Red Bull was described¹ as: "Awful", "horrible to taste", and "disgusting". And yet, this "disgusting" drink sells 12.6 billion cans a year. Here are three possible reasons why. Anchoring Price can act as a signal of quality. Rather than charging the Thai...
The Anchoring Effect Read online Let's start with an experiment. Consider the following two calculations and attempt to guess the answer. Don't use a calculator, take 10 seconds, and make your guess. 1 x 2 x 3 x 4 x 5 x 6 x 7 x 8 = ? 8 x 7 x 6 x 5 x 4 x 3 x 2 x 1 = ? What did you guess? Were your guesses different? The average guess for the first sum is 512, for the second it's 2,250 (4x higher). Many of you will have figured out that the actual answer is exactly the same. It's 40,320 for...
The Psychology Of Smell Read online I've got a shameful secret. My mouth salivates when I walk past Subway. I know the food is dire, the lettuce is plastic, and the bread is like a sponge. Yet I can't help but feel an urge to go in. After reading Consumerology¹, I think I've learnt why. The Psychology of Smell You'll smell a Subway before you see it. The yeasty, sweet, toasty smell is pumped out onto the street. And I think it's on purpose. Just looking at this image reminds me of the smell....