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The
psychology
behind
Are companies and
systems influencing
your behaviour without
your awareness?
Probably.
Here’s how.
The Ice Bucket
challenge
The psychology behind…
Why it was so successful
○ Avoids diffusion of responsibility
● Nominating specific people avoids them not partaking
in the challenge
○ Social validation
○ Descriptive norms – telling everyone what
other people are already doing
● Everyone from superstars to your next door neighbors
are doing it
● We’re molded by what others are doing
● We follow rules because other people follow the rules
Company
logos
The psychology behind…
Principles of perceptual organization
○ Gestalt Psychology states that the whole is
different than the sum of its parts
○ 8 Principles that explain perceptual
organization or how we organize visual
elements into groups or unified wholes
Law of Closure
Our tendency to complete unfinished objects
• We tend to ignore gaps and complete contour lines
Law of Proximity
Objects near each other tend to be grouped together
Principle: Figure-foreground
Tendency to separate whole figures from their
backgrounds
Over tipping
The psychology behind…
o Three automatic tipping percentages and sometimes an
option to manually enter a tip
o Manually entering a tip is too much effort so we choose the
defaults
o We typically choose the middle option even if it is set to over
tip
How it works
○ Power of defaults
○ Anchoring effect
● Human tendency to rely too heavily on the first piece
of information offered (the "anchor") when making
decisions (First option)
● Once an anchor is set, other judgments are made by
adjusting away from that anchor
○ Pain of paying
● Agony of parting with our money has to do with the
saliency of seeing the money going away
● The less real the money feels, the less painful it is to
spend more of it
Candy Crush
The psychology behind…
Why we can’t stop playing
○ Compulsion loop
● You perform an action
● You are rewarded
● Another possibility opens
○ Pattern recognition
● Primary method of reading our environment
○ Reinforcement from rewards
○ Disproportionate feedback – huge rewards for
achieving simple tasks
● Flashing colours, affirming words like “delicious”
○ Natural desire to restore order
Die hard
sports fans
The psychology behind…
Why they’re so obsessed
○ Pursuit of hope
○ Variable rewards
● Driven by the prospect of another chance to find a reward, a win, a prize
○ Escalation of commitment bias
● More effort people spent doing a behavior or acquiring a set of beliefs =
more likely to continue doing the behavior
○ Cognitive dissonance
● If fans perceive that they are paying more to watch than the enjoyment
they received, it leads to mental conflict
● Resolve discrepancy by loving team enough to overcome discrepancy
○ Self identity
● The way we want to see ourselves influences how we behave
● When we change how we define ourselves, we begin to behave
consistent with that belief
Ikea’s food
court
The psychology behind…
How it leads us to spend more
○ Ikea uses their food service dept. to reinforce
low price profile on items in the rest of the
store, even if food is sold at a loss
● Customer wonders if $599 a good price for a couch
● “If you can eat a full meal for $3.99 (which is cheaper
than anywhere else), and hot dogs cost 50 cents (also
cheaper than anywhere), then furniture deal must be
good too”
● Great food deal = great furniture deal
● Food items are American because we can relate to
them and identify price as lower than anywhere else
Buying plane
tickets online
The psychology behind…
○ Scarcity
● Subtle messaging that leads us to believe there are fewer flights
at the same price
○ Anchoring
● Expensive flights positioned next to better value ones so we
anchor our price expectations
Some online
platforms
The psychology behind…
○ No more late fees from movie rental
platforms
○ We’re bad at predicting our future states and
preferences
● Streaming allows us to feel like we’re paying for what
we want to watch in the moment
● We’re not stuck with movies we only want to watch in
theory
○ Urgency
● Cant go back and get it later
● Not buying is a choice to never be able to buy it in the
future
● Idea of regret leads to purchase
○ Remove stigma of couponing
● We like discounts
● Other people are buying so less stigma to couponing
○ Power of defaults
● Tendency to take the path of least resistance
● They already have our credit card info and address on
file
○ Amazon Prime and Super Saver Shipping
● Shipping fee acts as psychological barrier
● If shipping is already paid
• You’re less likely to buy elsewhere
• Shipping is no longer a barrier so more impulse buys
• We make more purchases to amortize our investment
Whether you know it or not…
Whether you like it or not…
…companies and systems are using
psychology to influence your
behaviour.

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The psychology behind ___

  • 2. Are companies and systems influencing your behaviour without your awareness?
  • 4. The Ice Bucket challenge The psychology behind…
  • 5. Why it was so successful ○ Avoids diffusion of responsibility ● Nominating specific people avoids them not partaking in the challenge ○ Social validation ○ Descriptive norms – telling everyone what other people are already doing ● Everyone from superstars to your next door neighbors are doing it ● We’re molded by what others are doing ● We follow rules because other people follow the rules
  • 7. Principles of perceptual organization ○ Gestalt Psychology states that the whole is different than the sum of its parts ○ 8 Principles that explain perceptual organization or how we organize visual elements into groups or unified wholes
  • 8. Law of Closure Our tendency to complete unfinished objects • We tend to ignore gaps and complete contour lines
  • 9. Law of Proximity Objects near each other tend to be grouped together
  • 10. Principle: Figure-foreground Tendency to separate whole figures from their backgrounds
  • 12. o Three automatic tipping percentages and sometimes an option to manually enter a tip o Manually entering a tip is too much effort so we choose the defaults o We typically choose the middle option even if it is set to over tip
  • 13. How it works ○ Power of defaults ○ Anchoring effect ● Human tendency to rely too heavily on the first piece of information offered (the "anchor") when making decisions (First option) ● Once an anchor is set, other judgments are made by adjusting away from that anchor ○ Pain of paying ● Agony of parting with our money has to do with the saliency of seeing the money going away ● The less real the money feels, the less painful it is to spend more of it
  • 15.
  • 16. Why we can’t stop playing ○ Compulsion loop ● You perform an action ● You are rewarded ● Another possibility opens ○ Pattern recognition ● Primary method of reading our environment ○ Reinforcement from rewards ○ Disproportionate feedback – huge rewards for achieving simple tasks ● Flashing colours, affirming words like “delicious” ○ Natural desire to restore order
  • 17. Die hard sports fans The psychology behind…
  • 18.
  • 19. Why they’re so obsessed ○ Pursuit of hope ○ Variable rewards ● Driven by the prospect of another chance to find a reward, a win, a prize ○ Escalation of commitment bias ● More effort people spent doing a behavior or acquiring a set of beliefs = more likely to continue doing the behavior ○ Cognitive dissonance ● If fans perceive that they are paying more to watch than the enjoyment they received, it leads to mental conflict ● Resolve discrepancy by loving team enough to overcome discrepancy ○ Self identity ● The way we want to see ourselves influences how we behave ● When we change how we define ourselves, we begin to behave consistent with that belief
  • 21.
  • 22. How it leads us to spend more ○ Ikea uses their food service dept. to reinforce low price profile on items in the rest of the store, even if food is sold at a loss ● Customer wonders if $599 a good price for a couch ● “If you can eat a full meal for $3.99 (which is cheaper than anywhere else), and hot dogs cost 50 cents (also cheaper than anywhere), then furniture deal must be good too” ● Great food deal = great furniture deal ● Food items are American because we can relate to them and identify price as lower than anywhere else
  • 23. Buying plane tickets online The psychology behind…
  • 24. ○ Scarcity ● Subtle messaging that leads us to believe there are fewer flights at the same price ○ Anchoring ● Expensive flights positioned next to better value ones so we anchor our price expectations
  • 26. ○ No more late fees from movie rental platforms ○ We’re bad at predicting our future states and preferences ● Streaming allows us to feel like we’re paying for what we want to watch in the moment ● We’re not stuck with movies we only want to watch in theory
  • 27. ○ Urgency ● Cant go back and get it later ● Not buying is a choice to never be able to buy it in the future ● Idea of regret leads to purchase ○ Remove stigma of couponing ● We like discounts ● Other people are buying so less stigma to couponing
  • 28. ○ Power of defaults ● Tendency to take the path of least resistance ● They already have our credit card info and address on file ○ Amazon Prime and Super Saver Shipping ● Shipping fee acts as psychological barrier ● If shipping is already paid • You’re less likely to buy elsewhere • Shipping is no longer a barrier so more impulse buys • We make more purchases to amortize our investment
  • 29. Whether you know it or not… Whether you like it or not… …companies and systems are using psychology to influence your behaviour.

Editor's Notes

  1. HOW THIS WORKS