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Slidedeck Internet in Aviation by Joost Fromberg
- 2. I o T
- 4. I o T
- 6. 2 + 2 = ? Experience your own 2 systems
- 7. 17 x 24 = ? Experience your own 2 systems
- 8. Feel how system 2 can control system 1
- 9. Jack’s dad has 3 sons Hewey, Duey & . . . . . But often system 2 is not in control
- 10. But often system 2 is not in control
- 14. At the end of this test, I ask a question. Don’t stop and think about it Answer immediately!
- 15. How much is:
- 16. 15 + 6 =
- 17. 24 + 18 =
- 18. 3 + 56 =
- 19. 91 + 14 =
- 20. 75 + 26 =
- 21. 52 + 25 =
- 22. 63 + 32 =
- 23. Getting tired? Come on, one more…
- 24. 125 + 8 =
- 25. QUICK! THINK ABOUT A COLOR AND A TOOL!
- 26. Thoughts are quickly depleted
- 27. System 1 is automated Winner
- 28. System 1 is automated BA Winner
- 29. Winner System 2 needs focus & attention BA
- 30. BA Winner System 2 often lives in the illusion of control
- 32. Illusions of Thought K e y t a k e a w a y # 1
- 36. Situation is important K e y t a k e a w a y # 2
- 37. Situational Factors Context Environment Emotions Personal factors Marketing Decision System 1 System 2 Behavior Context, Emotions, Environment
- 38. Behavioral data has become abundant
- 39. Situational data has become abundant Emotions Preference Environment Context
- 40. How to recognize the systems? Situational factors Preference Vacation with family Always the same route High involvement product Low involvement product Context Right before paying Scanning and orientating Alone With others Environment Rainy / dark outside Sunny Empty plane Busy plane Emotions Slow heartbeat Fast heartbeat Sad or neutral Angry or extremely happy (always on)(lazy controller) System 1System 2
- 41. How to recognize the systems? Situational factors Preference Vacation with family Always the same route High involvement product Low involvement product Context Right before paying Scanning and orientating Alone With others Environment Rainy / dark outside Sunny Empty plane Busy plane Emotions Slow heartbeat Fast heartbeat Sad or neutral Angry or extremely happy (always on)(lazy controller) System 1System 2
- 42. How to recognize the systems? Situational factors Preference Vacation with family Always the same route High involvement product Low involvement product Context Right before paying Scanning and orientating Alone With others Environment Rainy / dark outside Sunny Empty plane Busy plane Emotions Slow heartbeat Fast heartbeat Sad or neutral Angry or extremely happy (always on)(lazy controller) System 1System 2
- 43. How to recognize the systems? Situational factors Preference Vacation with family Always the same route High involvement product Low involvement product Context Right before paying Scanning and orientating Alone With others Environment Rainy / dark outside Sunny Empty plane Busy plane Emotions Slow heartbeat Fast heartbeat Sad or neutral Angry or extremely happy (always on)(lazy controller) System 1System 2
- 44. Experiment with situational data K e y t a k e a w a y # 3
- 46. Situational Factors Context Environment Emotions Personal factors Marketing Decision System 1 System 2 Behavior
- 47. @joostfromberg joost.fromberg@onlinedialogue.com Course on consumer psychology? w h e e l o f p e r s u a s i o n . c o m / c o u r s e Download these slides? o n d i . m e / a v i a t i o n
Editor's Notes
- Everyone is after a seamless and excellent customer journey. And I encourage you to improve the customer journey with IoT, but I think I have a more important question for you: what is the effect on your inflight revenu when the pilot makes a terrible joke. You can actually measure the effect. And Wowair uses their vomit bag as a metric. This is a silly experiment obviously, but today I want to talk to you about two things: why is it interesting to experiment? What can you do to drive added revenu
- And that’s because we aren’t as rational as we think. And that is why I like to talk about a different IoT. Not the one you’re familiar with.
- And what do I mean with that? I mean that we think that we are rational, but in fact we are not and we make a lot of irrational decisions. So, in our communication and design it’s impossible to predict what will work and how you customers will respond.
- And that brings me to ANOTHER different IoT.
- The Intelligence of Two Systems. That’s how our brain works. We all have two different decision-making processes. System 1 and Systeem 2. System 1 being intuitive, subconscious and emotional. System 2 is rational and goal-directed. Let me demonstrate this with a couple of examples.
- So, let’s experience it yourself. What’s the answer to this one?
- Vragen naar verschil in proces? Voel je het? Kort uitleg wat er gebeurd. Geen systeem 1-2 408.
- Persuasion techniques and principles are key for ecommerce success. It also is an area where we can still improve a lot and where we are not depending on IT/resources or on (high) budgets: it is mainly about copy and design elements.
- So, we have two systems. System 1 and System 2. System 1 is always there, responds automatically. Doesn’t think. So when it reads Huey, Dewey it automatically responds Louie. And when it has to read out the color, it automatically reads the words. While System 2 is the lazy controller. It pops up when there are important decisions to be made, but otherwise it prefers to be asleep. You need to know about these two systems, because they require different communication. Is your customer taking a System 1 or System 2 decision? So, let’s see how they influence each other. I’m going to give you a couple of sums, please do the math without speaking. But, at the end I’m going to give you a question and I want you to respond immediately.
- So, we have two systems. System 1 and System 2. System 1 is always there, responds automatically. Doesn’t think. So when it reads Huey, Dewey it automatically responds Louie. And when it has to read out the color, it automatically reads the words. While System 2 is the lazy controller. It pops up when there are important decisions to be made, but otherwise it prefers to be asleep. You need to know about these two systems, because they require different communication. Is your customer taking a System 1 or System 2 decision? So, let’s see how they influence each other. I’m going to give you a couple of sums, please do the math without speaking. But, at the end I’m going to give you a question and I want you to respond immediately.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- And to show you how slow and easily depleted your System 2 is, let’s do a little experiment.
- Thoughts are quickly depleted. So, we see that when we have System 2 depleted, we go for the automatic respons, the easy response.
- Perception-Behavior Link We automatically look at where other faces are looking: it’s a shortcut.
- And Penny responds automatically and follows the lines
- And Sheldon needs focus and attention.
- Cookie consent? (TMG)
- So, this is how our brain works. We have a System 1 and a System 2. And we saw that different decisions, require different systems. System 2 prefers to be asleep, but wakes up when there’s a difficult task at hand. System 2 prefers to be asleep, so we live in this illusion of thought. We think that we think, but in fact we do so much based on our System 1. ---- It’s impossible to predict how we will respond so we need to experiment.
- Ratio is often an illusion System 1 makes most decisions Don’t do User testing: you get a System 2 respons and that is an illusion of thought
- So, there’s a car crash, not a big one, there’s not even broken glass. After the accident you ask a witness how fast the cars were going when they hit each other, or when they smashed into each other. Then a week later, you ask whether there was broken glass and the only people who will remember broken glass are the people who were they ‘when they smashed into each other’ group. You can do so much more with that kind of money, by just changing the environment.
- That also holds up for this. If you want people to behave better, and make less of a mess, make your house subtly smell like lemons.
- And what do all of these people have in common? We make up stories and the situation is extremely important.
- Situation is extremely important And we don’t seem to know much about it
- Why do I like to be in the digital world? Because we can measure the environment now through IoT. Humanity is unique, individual humans not so much Wearables IoT Implants (0,5 million people) Everyone leaves a digital footprin 1) people do not have well- formulated preferences and often construct utilities in the moment (attitudes are imperfect predictors of behavior) people’s decisions can be highly sensitive to situational factors people seem to be relatively insensitive to the impact of these situational factors in shaping their behavior 2) People rely also on their memories of utility for their own past behaviors, inferring that their past actions are good indicators of their utilities. SITUATION IS EXTREMELY IMPORTANT
- Wearables IoT Implants (0,5 million people) Everyone leaves a digital footprint
- Preference: Behavioral History (Data). Is it a habit. Did they buy this ticket every time? Or is it obviously a vacation? Context: App (goal-directed). Is dit Not For Me, of Buying For Myself. Is this Top-Down, Bottom-Up. Staat het in het boodschappenlijstje van de app. Kan je ze verleiden iets anders verkopen als het druk is of rustig is in de winkel? Komt iemand hier met voorbedachte rade. Emotions: Wearables. System 1 = Hoge hartslag, System 2 = lage hartslag. Environment: bepaal hoe de omgeving is. Drukte = hoop afleiding, minder System 2. Leidt niemand af met push notifications. Meet of iemands kinderen erbij zijn, of partner? Implants (0,5 million people)
- If someone is about to pay for something, System 2 pops up. Alone or with others But I have a third interesting finding from the social sciences for you: males buy more from attractive female flight attendants. But not for the reason you think, but because they feel guilty to their partner for looking.
- Fearful people, or sad people show risk averse behavior: they won’t donate. Happy people make risk seeking behavior: sell the lottery ticket with a joke and right after the plane took off when our heart rate is high Buyers who were made to “consider safety concerns that induced negative emotions”, “choose not to choose,” or to stick with the status quo Sellers who had been induced to “feel sad” set a lower selling price Fearful people make pessimistic judgements of future events (angry people made optimistic judgements) People w/ “frustrated anger” were more likely to choose a high risk (self-defeating).
- Ratio is often an illusion System 1 makes most decisions
- Why do I like to be in the digital world? Because we can measure the environment now through IoT. Humanity is unique, individual humans not so much 1) people do not have well- formulated preferences and often construct utilities in the moment (attitudes are imperfect predictors of behavior) people’s decisions can be highly sensitive to situational factors people seem to be relatively insensitive to the impact of these situational factors in shaping their behavior 2) People rely also on their memories of utility for their own past behaviors, inferring that their past actions are good indicators of their utilities. SITUATION IS EXTREMELY IMPORTANT