Getting people to do what you want

*Lavender
TC Miles - Planning Director
What is Lavender*
                Brand design
Campaigns       Advertising    SHORT
                                TERM
 ...
Clients
Our Heritage
Direct Marketing
                                            Behavioural
                                    ...
Traditionally the end of the process

           !"#$%&%''(       012#*(3$#&4($%#556(
                             7&4%$'*...
Most people act first and think later
A different way to look at things

       !"#$%&       4(-&)$5($%(&-$&0"-&

                                          - Mo...
The most effective campaigns
understand this




                        2009 Effie Gold Winners
Behavioural Change


           Why do we do things?

            How do we behave?

        What influences our decisions?
A lot of answers lie in “Behavioural Economics”
Am I going to go on that                     How much should I pay for
              second date?                         ...
Overall finding:
        We are complex people living in a complex world



An innate desire    Bad at making      Influence...
Remember,
every consumer has the option of doing nothing
So how do we help people to do
       what we want?
1. Spend more time appealing to satisficers




              Maximisers                                        Satisficers...
So do everything you can to minimize risk




 Latest technology
                                                   Tried ...
& Reinforce a good decision made or about to be made




                                       !"#$%&'()#*+(#,-)./#$0(*)(...
2. If you’re looking to change behaviour appeal to
                    social norms




                                  ...
Helping people to compare themselves creates good results




                                              25%
3. Get people to make a decision for the future
         (or take away the pain today)


  What would you like to eat   Wh...
The Save Tomorrow Pension


10% of any future pay rises go direct to your pension


         200% increase in pension sign...
4. Reduce people’s choice




24 to 6 Jars        26 to 15 varieties
 5x sales              +10% sales
Lack of choice also makes you happier
5. Always have a default option



   16gb                           64gb
   WiFi Only                      WiFi & 3g
Help people make the compromise choice



                  Maximum




                                   Rule of 3
     ...
Never make it a ‘yes’, ‘no’ decision
6. Help people anchor their decisions
If I was to offer you any off the
following at the same price:

- A week in Alberta
- A week in Dawson City
- A week in Da...
Adjacencies
- chips & dips
- cheese & wine
7. Appeal to people’s values
8. People respond to positive experiences




                         Tested in Glamorgan & Thames Valley police – reduce...
Make it a conversation


                   + 40% Conversion




                   !"#$%&'(
                   )#*&+,%"-(
9. Do someone a favour




Mints – surprise & delight – unprompted 14% increase in tip amount. An extra mint = 23%
.... and in the office....


Always use a post-it note




       69% response rate
and finally if you’re trying to negotiate a pay-rise....




            Your environment really matters
Summary

- Creating action is the most important thing you can do
 - Help people minimize risk
 - Help people fit in
 - Tak...
Further Reading


http://nudges.org/

http://timharford.com/

http://freakonomics.blogs.nytimes.com/

http://danariely.com/
Thank You*




*The agency for the consumer age.
An introduction to Behavioural Economics
An introduction to Behavioural Economics
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An introduction to Behavioural Economics

  1. 1. Getting people to do what you want *Lavender TC Miles - Planning Director
  2. 2. What is Lavender* Brand design Campaigns Advertising SHORT TERM Lead systems Dialogue Relationships 1:1 programs MEDIUM TERM Satisfaction Interfaces Systems of Applications LONG interaction TERM Communities
  3. 3. Clients
  4. 4. Our Heritage Direct Marketing Behavioural Change Our Philosophy Ideas that people want to spend time with
  5. 5. Traditionally the end of the process !"#$%&%''( 012#*(3$#&4($%#556( 7&4%$'*#&4(8%9( Advertising methodology is focused on: !4:%$.',&;(8%*2/4/5/;6((2#'( )&*%$%'*( 3%%&(#3/7*(2/"("%($%5#*%(*/( - how we relate to people <%/<5%(=(>/-7',&;(,&-$%#',&;56(/&( %8/.:%(,&',;2*'( - emotive insights ?$%4,-#*%4(/&(*2%(3%5,%>(*2#*( +%',$%( 8/'*(4%-,',/&'(#$%(*2/7;2*( #3/7*( & the belief that most decisions are thought through and have to be prompted !-./&(
  6. 6. Most people act first and think later
  7. 7. A different way to look at things !"#$%& 4(-&)$5($%(&-$&0"-& - Most decisions are not thought through '()*+(& 6((2& - Behaviour is driven by channel as much as attitudes - what’s happening in the moment ,%-(+()-& 78*%/& - Focus on the how & not so much the what .*/(01*2*-3& 69-9+(&*%-(%#$%&
  8. 8. The most effective campaigns understand this 2009 Effie Gold Winners
  9. 9. Behavioural Change Why do we do things? How do we behave? What influences our decisions?
  10. 10. A lot of answers lie in “Behavioural Economics”
  11. 11. Am I going to go on that How much should I pay for second date? that cup of coffee? Should I get another drink? Is it worth saving? Shall I ask that person for a Am i going to pay for a favour? parking ticket? Am I happy with those jeans?
  12. 12. Overall finding: We are complex people living in a complex world An innate desire Bad at making Influenced by Hate parting to fit in decisions surroundings with things Social Norms Paradox of Choice Relative Positioning Loss Aversion
  13. 13. Remember, every consumer has the option of doing nothing
  14. 14. So how do we help people to do what we want?
  15. 15. 1. Spend more time appealing to satisficers Maximisers Satisficers Show-offs, competitive, seeking the best/new Fitting-in, risk averse, tried & tested. Happier
  16. 16. So do everything you can to minimize risk Latest technology Tried & Loved Wide Colour Enhancer 1 million sold Digital Noise Filter
  17. 17. & Reinforce a good decision made or about to be made !"#$%&'()#*+(#,-)./#$0(*)(#1*00#,*12# Thousands are coming If phones are busy, please testimonials call back back every week
  18. 18. 2. If you’re looking to change behaviour appeal to social norms Georgetown University Saskatchewan Ministry of Health Drink Consumed – down 12%, men fighting – down 33%
  19. 19. Helping people to compare themselves creates good results 25%
  20. 20. 3. Get people to make a decision for the future (or take away the pain today) What would you like to eat What would you like to eat in a weeks time? now?
  21. 21. The Save Tomorrow Pension 10% of any future pay rises go direct to your pension 200% increase in pension sign-ups
  22. 22. 4. Reduce people’s choice 24 to 6 Jars 26 to 15 varieties 5x sales +10% sales
  23. 23. Lack of choice also makes you happier
  24. 24. 5. Always have a default option 16gb 64gb WiFi Only WiFi & 3g
  25. 25. Help people make the compromise choice Maximum Rule of 3 x Minimum
  26. 26. Never make it a ‘yes’, ‘no’ decision
  27. 27. 6. Help people anchor their decisions
  28. 28. If I was to offer you any off the following at the same price: - A week in Alberta - A week in Dawson City - A week in Dawson City with meals included
  29. 29. Adjacencies - chips & dips - cheese & wine
  30. 30. 7. Appeal to people’s values
  31. 31. 8. People respond to positive experiences Tested in Glamorgan & Thames Valley police – reduced speeding by 35%
  32. 32. Make it a conversation + 40% Conversion !"#$%&'( )#*&+,%"-(
  33. 33. 9. Do someone a favour Mints – surprise & delight – unprompted 14% increase in tip amount. An extra mint = 23%
  34. 34. .... and in the office.... Always use a post-it note 69% response rate
  35. 35. and finally if you’re trying to negotiate a pay-rise.... Your environment really matters
  36. 36. Summary - Creating action is the most important thing you can do - Help people minimize risk - Help people fit in - Take away the pain of buying - Restrict Choices - Help people anchor their decisions - Appeal to people’s values - Make it a positive experience - Do someone a favour
  37. 37. Further Reading http://nudges.org/ http://timharford.com/ http://freakonomics.blogs.nytimes.com/ http://danariely.com/
  38. 38. Thank You* *The agency for the consumer age.
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