Photo by Alexandre Godreau on Unsplash Flaws in our decision-making ability are fuel for the market. Source: Do We Control Our Own Purchasing Habits? By Liraz Margalit Ph.D. Persuading rational people to make rational decisions is easy. Unfortunately, as humans, we’re often stuck with irrational thinking, fueled by cognitive biases and emotions. While we’d all […]
Shocking research reveals why you like people (and companies) that deceive you
There’s a good reason marketers want you to be their friend, family, club member or part of their “in-crowd.” Advertisers have learned that it pays to establish a strong affinity with their brand community. Today, community building in marketing and social media is the brand imperative. And “Friends and Family” loyalty programs now abound.
But consumer psychologists have now also learned that our affiliation with a group can create a bias in our judgments in favor of marketers. This lapse in judgment is in play, even when you are aware that the seller is deceiving you.
Most people believe they are being fair and impartial when judging the transgressions of others and how they should be punished. After all, what’s wrong is wrong. People and companies should be punished…
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Here’s what that means for VCs and entrepreneurs.
Many of today’s entrepreneurs live by Facebook founder Mark Zuckerberg’s now-famous motto: “Move fast and break things.” Zuckerberg intended for this to inform internal design and management processes, but it aptly captures how entrepreneurs regard disruption: more is always better. We raced to put our products into consumers’ hands as fast as possible, without regard for the merit of—and rationale for—offline systems of governance. This is increasingly untenable.
Larry Fink’s 2018 letter to CEOs articulated the need for a new paradigm of stakeholder accountability for businesses across the spectrum. In the technology sector, venture capitalists must play a role in driving this change. The technologies of tomorrow—genomics, blockchain, drones, AR/VR, 3D printing—will impact lives to an extent that will dwarf that of the technologies of the…
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How emotions related to “self” and brand “truth” create perceptions of luxury.
Source: The Emotions of Luxury
ByPeter Noel Murray Ph.D.
When asked about luxury brands, most consumers mention unique design, great quality, high cost, and limited distribution. For many people, these are the characteristics that separate luxury from mainstream products.
A different question is why consumers buy luxury products. Studies show that the appeal of luxury is primarily psychological. These psychological factors, especially emotion, are the focus of my research.
But consumers also are rational beings; they are aware that they can buy products at mass-market retailers which have aesthetics and features similar to luxury brands but are a lot cheaper.
So how does the mind manage these complex behavioral judgments? Is the rational mind more likely to choose the mass market while our emotional mind yearns for luxury? Is it that simple?
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Gen Zs have ditched Lacoste for Nike Sophia Grace/YouTube
Millennials loved Abercrombie and Facebook, but Gen Zs tend to wear fast fashion and athleisure.
- Millennials loved preppy clothes and Facebook.
- But Gen Zs tend to wear fast fashion and athleisure. They’ve also dumped Facebook for Snapchat and Instagram.
- Read on to see the 15 brands millennials loved as teens that haven’t captured today’s youth.
When hitting the mall, millennials leaned towards preppy brands like Ralph Lauren.
Using insights from asset management firm Piper Jaffray’s semi-annual Taking Stock With Teens survey and Bobby Calise, VP of brand tracking at the youth insights firm Ypulse, Business Insider curated a list of 15…
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The 1940s book that popularized “brainstorming” is also an ode to solitude as a balm for the imagination.
Some companies have a serious addiction to brainstorming. Whenever a problem arises, the team is called to gather and shout out possible solutions, with at least one notetaker scrambling to get everything down. It’s as if this were the only known way out of a pickle, or into a new project—and it can feel like a supreme waste of time, especially when the same few dominating personalities ruin the mood.
Yet the value of brainstorming is rarely questioned. (A notable exception is a 2012 New Yorker story arguing that research cannot scientifically validate the effectiveness of the custom, but even that did little to get in the way of its ubiquity.) Perhaps that’s because the idea…
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Researchers are exploring the influence of inequality on how we behave.
Source: Money on the Mind
By Abigail Fagan
Income inequality in the United States has reached its highest peak since the Great Depression. Americans in the top 1 percent of earners currently make a staggering 40 times as much as the bottom 90 percent. Furthermore, in 1978 the top 0.1 percent of the population laid claim to 7 percent of the nation’s wealth. By 2012, that amount had increased to 22 percent. Across industrialized nations, income inequality has been linked to an array of harmful outcomes, including higher rates of debt, crime, mental illness, and even mortality.
To better understand such correlations, researchers are investigating how economic inequality might influence the behavior of those who are aware of it.
“There’s rather little understanding about how income inequality affects how individuals…
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