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I spend 18 hours each week turning marketing psychology into readable newsletters.
The Mere Exposure Effect Read online Loyal fans of Nudge will have heard me talk about the mere exposure effect. In 1969, psychologist Robert Zajonc¹ found that students rated unfamiliar Turkish words more favourably when they had seen them more often. It's not a revolutionary finding. We prefer things we're familiar with. And many great inventors knew this instinctively. Edison and the electric light bulb Thomas Edison understood that while the lightbulb was revolutionary, new inventions...
Differential Price Framing Read online Want people to go premium? Don’t show them the full price. Show them the difference. That’s the idea behind differential price framing. In 2019, David Hardisty¹ at UBC tested it with New York Times subscriptions. Group A saw this: – $9.99/month for web + app – $16.99/month for web, app, print, podcast, crossword Group B saw this: – $9.99/month for web + app – +$7/month for all the extras Same total price. Different framing. But in Group B, twice as many...
Veblen Effect Read online Last week, I wrote about how Blue-Emu successfully sells pain relief cream (that doesn't actually cure pain). It indicated that perception trumps reality and reminded me of this study 👇 Rory Sutherland described this eloquently in a recent talk, saying: “I don’t have a $0.79 headache—I’ve got a $3.99 headache!” It's not just painkillers that benefit from higher prices. Eco-products do too. Research¹ cited in the brilliant Science Says measured sales of sustainable...