Behavioral Science II: Gentle Nudges: Influencing … · Gentle Nudges: Influencing Behavior...

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Gentle Nudges: Influencing Behavior UnconsciouslyJESSE ITZKOWITZ, PHDBehavioral ScientistBehavioral Science Center, NA.

Behavioral Science II:

© 2017 Ipsos. All rights reserved.

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Eda CetinokSenior Vice President, Ipsos LoyaltyFinancial Services Team

[email protected]

+1 317.805.4873

Jesse Itzkowitz, PhDBehavioral Scientist Ipsos Behavioral Science Center, NA

[email protected]

+1 646.313.7702

Your Presenters Today

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Contents1 Introduction to Behavioral Science

2 What is Non-Conscious Influence?

3 Store Atmospherics

4 Consumer Goals

5 Social Cues

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A (very brief)INTRODUCTION TO BEHAVIORAL SCIENCE

• What is Behavioral Science?• 2 Systems of Cognition

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What is Behavioral Science?

“Chief Behavioral Officer: It's the new ‘must-have’ role.”~ Crawford Hollingworth

Behavioral Science is an interdisciplinary approach to understanding howconsumers behave, why they do so, and what causes behavioral change

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What is Behavioral Science?

Traditional Economics

• Rational

• Resources available and used to make the best and informed decisions

• Know what’s best

• Predictive models based on mathematics.

• Irrational

• Bounded resources and willpower

• Heuristics

• Don’t Know What’s Best Or What We Want

• Interested In How? & Why?

• Conduct Experiments To Learn About Human Behaviors

Behavioral Economics

How we actually behaveHow we should behave

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A (very brief)INTRODUCTION TO BEHAVIORAL SCIENCE

• What is Behavioral Science?• 2 Systems of Cognition

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Two-System Models of Cognition

• Soul vs. Mind (Aristotle)• Id vs. Ego (Freud)• Lizard brain vs. Monkey brain (pop psychology)• Heart vs. Mind (Your mom, offering advice)

• Tacit vs. Deliberate (Hogarth 2001)• Experiential vs. Rational (Epstein 1994)• Associative vs. Rule Based (Sloman 1996)• System 1 vs. System 2 (Stanovich & West 2002)

https://www.google.com/url?sa=i&rct=j&q=&esrc=s&source=images&cd=&cad=rja&uact=8&ved=0ahUKEwiL2ZG9kffSAhUl34MKHZ2gDioQjRwIBw&url=https://blog.monolith.co/retailers-smart-up-on-behavior-science/&bvm=bv.150729734,d.amc&psig=AFQjCNFOQr_mS-vul2Flnf4yn4Fcm0eLaQ&ust=1490719605399215

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SYSTEM 1• Fast, parallel, automatic, associative, intuitive, effortless,

perceptual• Good at rough estimates, noting correlations, logging

incidences• Slow to learn

SYSTEM 2• Slow, serial, controlled, flexible, effortful, resource-

consuming• Good at precise calculations, forming and following rules,

making tradeoffs• Self-aware

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• Conscious• Logical• Controlled• High effort• Small capacity• Linked language • Provides reasons

Slow Process

System 2

Fast Process

• Unconscious• Non-logical• Automatic • Low Effort• High capacity• Source of Intuition and

Emotion

System 1

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NON-CONSCIOUS / SYSTEM 1 INFLUENCES

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Types of Perception

Objective threshold

Subjective threshold

Stimuli is not detected by the senses

Stimuli is detected by the senses but does not

enter conscious awareness

Stimuli enters conscious awareness

SUBLIMINAL

SUPRALIMINAL

Subjective threshold a function of

attention and motivation

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Types of Perception

Objective threshold

Subjective threshold

Stimuli is not detected by the senses

Stimuli is detected by the senses but does not

enter conscious awareness

Stimuli enters conscious awareness

SUBLIMINAL

SUPRALIMINALConscious (S2)

OR Non-Conscious (S1)

Non-Conscious (S1)

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Subliminal or Supraliminal?

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Gentle Nudges Prime Mental Networks

Freedom

Green

United States

Status

Control

$$$

Power

Bill Gates

Reward

Blue

Yellow

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First “Conclusive” Evidence – People Did Not Believe Him!

Established the Link Between Subliminal Perception and Consumer Behavior

Subliminal Perception and Consumer ResponsePRIMING MENTAL ACTIVATION

(Marcel 1983) Cognitive Psychology

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XXXXX

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NURSE

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XXXXX

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Select the Word That You Just Saw

NURSE STOUT

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Subliminal Priming Activates Mental Networks

Priming a Concept or Word Should Activate Associated

Nodes

This Facilitates Response(Quicker Response Time)

Marcel’s Second ExperimentPRIMING MENTAL ACTIVATION


Freedom

Green

United States

Status

Control

$$$

Power

Bill Gates

Reward

Blue

Yellow

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XXXXX

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NURSE

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XXXXX

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Is This a Word or Not?

DOCTOR

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BANK

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HENKOR

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0

175

350

525

700

875

Related Word Unrelated Word Non-Word

Rea

ctio

n Ti

me

(ms)

Facilitation of Related Word Recognition is Evidence of Subliminal Priming


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STORE ATMOSPHERICS CONSUMER GOALS SOCIAL CUES

Three Types of Supraliminal Effects

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STORE ATMOSPHERICS

Gentle Nudges:

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Temperature has been shown to non-consciously influence customer decisions

There is a link between the ambient temperature and individuals feelings of inclusion

Cold and alone, Cold shoulder vs. Warm welcome, The warmth of a friend

TemperatureSTORE ATMOSPHERICS

(Zhong and Leonardelli 2008) Psych Sci

Scientists have linked Temperature to Feeling AloneWhen we are excluded, we feel cold!

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Temperature Affects Product EvaluationSTORE ATMOSPHERICS: TEMPERATURE

Please Rate The Following 12 Movies(Romance, Action, Comedy, Thriller)

OR

Hong & Sun (2012) JCR

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Cold Customers Look to “Warm Things Up”

Hong & Sun (2012) JCR

$20

$25

$30

$35

$40

$45

$50

$55

Romance Action Thriller Comedy

Willingness to Pay (HK$)

Room temp: 59-62 F Room temp: 72-75 F

STORE ATMOSPHERICS: TEMPERATURE

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IPSOS CASE STUDY: AUTOMOTIVE

WE WORKED WITH A LARGE AUTO MANUFACTURER TO CHANGE CUSTOMERS:

ENGAGEMENT WITH SALES STAFFRECOMMENDED WARM DRINKS

PERCEPTIONS OF TECHNOLOGICAL/PROCESS EXPERTISE

PRIMES FOR TECH: SHOWROOM TABLETS AND MOBILE INTERFACES

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Processing Type Affects Everything Consumer Do

Consumers Have 2 Processing Types:

Analytic vs. Abstract

Priming Consumer MindsetsSTORE ATMOSPHERICS

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ANALYTIC PROCESSING

DETAILSCONTRASTS

SURFACE FEATURES

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ABSTRACT PROCESSING

RELATIONSHIPSFUNCTIONALITY

“MEANING”

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Ceiling HeightSTORE ATMOSPHERICS

12 Feet 8 FeetMeyers-Levy & Zhu (2007) JCR

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Rally Racing

Table Tennis

DivingVolleyball

Curling Golf

Swimming

Cycling

Judo

Lacrosse

Baseball

Soccer

TasksSTORE ATMOSPHERICS: CEILING HEIGHT

Meyers-Levy & Zhu (2007) JCR

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High Ceiling: Abstract Thinkers

Listed MoreShared Attributes

Listed DeeperAttributes

STORE ATMOSPHERICS: CEILING HEIGHT


OverlookedDesign Flaws

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Low Ceiling: AnalyticsSTORE ATMOSPHERICS: CEILING HEIGHT


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Marketing Implications

Assortment Choice


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Perceptions of Variety


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CONSUMER GOALS

Gentle Nudges:

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Triggering Consumer Goals

• Like Concepts, Goals can also be Primed

• Primes Actions Related to Goal Achievement• Primes Senses/Perceptual Effects

• Goal Based Primes Persist – Until They Don’t

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Marketing Implication: Perceived Goal ProgressCONSUMER GOALS

Individuals are motivated to increase goal-consistient behaviors as they approach goalsCreating a perception of progress towards a goal creates consumer motivation and sustains focus on goal achievement because the goal seems “within reach”

First cardSecond card

• As customers accumulated more stamps their speed of consumption accelerated

• 20% decrease in purchase times from first to last stamp implies that in a typical month, members purchased two more coffees than they would have without the program

(Kivetz, Urminsky & Zheng 2006) JMR

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Artificial Goal ProgressCONSUMER GOALS

Illusions of progress toward a goal speeds consumption

Regular Card = 15.6 Days“Fake Progress” Card = 12.7 Days

Both Cards Need

10 Stamps

to Reach

the Goal

Control Group (10 Stamps)

Exp Group (12 Stamps, 2 filled)

(Kivetz, Urminsky & Zheng 2006) JMR

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Activating Goals Leads to Goal Pursuit: We behave in ways that attempt to fulfill the goal.

This leads to Goal-Prime consistent decisions

UNTIL THE GOAL IS ACHEIVED

TakeawaysCONSUMER GOALS

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SOCIAL CUESGentle Nudges:

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We define ourselves in many ways – but all are

CONTEXTUAL

When and Where we Are

Who is Around Us

Nudging us Back to OurselvesSOCIAL CUES

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How do world issuesaffect the University?

How do men/womenfeel about campus issues?

SOCIAL CUES

LeBoeuf, Shafir, Belyavsky (2010)

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Information Processing Ability

Steele & Ambady (2006)Ability Impairment

OverconfidenceDuttle & Shichijo (2015)

Memory RetrievalWang and Ross (2010)

Marketing ImplicationsSOCIAL CUES

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Much Behavior is Non-Conscious

Gentle Nudges Provide a Way of Engaging System 1 without System 2 AwarenessThese Nudges Work By Priming Cognitive Structures

Small Environmental Changes and Cues Can Have Large Behavioral Effects

BUT – Malleability Means Context and Salience Are KeyAND- Consumer Awareness Makes Them All Go Away

Gentle NudgesWRAP-UP

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Eda CetinokSenior Vice President, Ipsos LoyaltyFinancial Services Team

[email protected]

+1 317.805.4873

Jesse Itzkowitz, PhDBehavioral Scientist Ipsos Behavioral Science Center, NA

[email protected]

+1 646.313.7702

Thank You!

Behavioral Science II: Gentle Nudges: Influencing … · Gentle Nudges: Influencing Behavior...

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