In this special episode of the beahvioral economics in marketing podcast, we challenge our human nature to rely solely on perceptions and knee-jerk reactions, both in marketing strategies and interpersonal relationships, by flipping the script on the availability heuristic. As George Harrison once sang in "Got My Mind Set on You," "It's gonna take time, a whole lot of precious time," highlighting the essence of patience and persistence required to transform perceptions and reshape narratives. Just as Harrison urged perseverance in matters of the heart, so too do we confront biases and preconce ..read more

In the ever-evolving landscape of marketing, businesses are increasingly recognizing the power of social proof, not only in the digital realm but also within the physical spaces where consumers make tangible decisions. From bustling retail stores to local eateries, the concept of social proof extends its influence into our everyday surroundings. In this episode, we'll explore how businesses strategically harness the collective choices and behaviors of consumers within specific locations, examining the impact of social proof on decision-making in the physical world.    Behavioral Econ ..read more

In this episode, we delve into the dynamic interplay of scarcity and location within the realm of pop-up shops. As we explore the captivating synergy between these two powerful elements, we dissect ways marketers can strategically leverage scarcity and location to amplify the impact of temporary retail experiences. From the creation of exclusive products and limited-time offers that induce a sense of urgency to the meticulous selection of high-traffic or culturally resonant locations, we unravel the tactics that transform pop-up shops into not only temporal retail spaces but also immersive, so ..read more

This episode delving into the intricacies of the "Place" element in marketing, it becomes evident that the strategic decisions surrounding distribution and accessibility are paramount to a brand's success. From the careful selection of retail locations to the seamless management of logistics, "Place" serves as the linchpin in connecting products or services with the right audience. Our exploration has unveiled the significance of aligning distribution strategies with consumer behaviors and preferences, underscoring the pivotal role Place plays in the overall marketing mix. As businesses naviga ..read more

Market segmentation is a marketing strategy that involves dividing a broad target market into subsets or segments based on certain characteristics, preferences, behaviors, or needs shared by the individuals within each segment. The purpose of market segmentation is to better understand and address the diverse needs of different customer groups, allowing businesses to tailor their marketing efforts and offerings to specific segments.   ? Definition Minute is a new subset of the Behavioral Economics in Marketing podcast. In these mini-episodes, I will define economic theories, in a minute o ..read more

Sales channels, in the context of business and marketing, refer to the various avenues or methods through which a company distributes and sells its products or services to customers.    ? Definition Minute is a new subset of the Behavioral Economics in Marketing podcast. In these mini-episodes, I will define economic theories, in a minute or two. The topics will be review, introductory or discrete in nature.    Behavioral Economics in Marketing Podcast | Understanding how we as humans make decisions is an important part of marketing. Behavioral economics is the study o ..read more

Dual process theory provides invaluable insights into the interplay between reactive responses and deliberate decisions in both personal and business contexts. Understanding the dynamic interaction between System 1 and System 2 thinking allows individuals to navigate high-pressure situations with greater awareness and efficacy. By recognizing when instinctual reactions dominate and consciously engaging System 2 thinking, individuals can make more informed and balanced decisions that align with their long-term goals and values. Strategies such as recognizing impulsive triggers, pausing to refle ..read more

In this episode, we delve into the intricate dynamics that shape how individuals perceive and derive pleasure from products over time. Hedonic adaptation, a process where the initial delight of a purchase diminishes with familiarity, poses a unique challenge for marketers seeking to sustain consumer joy beyond the point of sale. In this episode we unraveled the strategies and insights that empower marketers to navigate this psychological landscape, ensuring that the post-purchase experience remains a source of sustained delight for consumers long after the excitement of the initial acquisition ..read more

SEO is the practice of optimizing websites or online content to improve their visibility and ranking on search engine results pages (SERPs). The primary goal of SEO is to enhance the chances of a website or web page being found by users when they search for relevant keywords or phrases on search engines like Google, Bing, or Yahoo.   ? Definition Minute is a new subset of the Behavioral Economics in Marketing podcast. In these mini-episodes, I will define economic theories, in a minute or two. The topics will be review, introductory or discrete in nature.    Behavioral Economics ..read more

Fixed costs are essential components of a business's cost structure that remain constant regardless of the level of production or sales. These costs do not vary with the quantity of goods or services produced and remain stable over a specific period. Examples of fixed costs include rent for facilities, salaries of permanent staff, insurance premiums, and certain types of equipment depreciation. Unlike variable costs, which fluctuate with production volumes, fixed costs provide a foundational understanding of the minimum expenses a business must cover to operate, irrespective of its output. Eff ..read more