There is no ‘I’ in Marketing

Quick!

A bat and a ball cost

$1.10 in total.

The bat costs $1 more

than the ball. How

much does the ball

cost?

Most common answer:

• Bat = $1.00

• Ball = $0.10

Right answer:

• Bat = $1.05

• Ball = $0.05

A bat and a ball cost

$1.10 in total.

The bat costs $1 more

than the ball. How

much does the ball

cost?

There is no ‘I’ in Marketing

1. The ‘I’ illusion: irrational biases in individualdecision-making.

2. The ‘we’ species: a super social ape.

3. understanding social behaviour

= understanding consumer behaviour

4. What does this mean for marketing?– Start with WHY

– Join the conversation

– Co-creation

Part 1The ‘I’ Illusion

Irrational biases in individual decision-making

Daniel Kahneman

• Psychologist

• Nobel prize in economics (2002)

• System 1 and system 2

• Irrational biases

Daniel Kahneman

Daniel KahnemanAnchoring

Anchoring is a cognitive bias that describes the common human tendency to rely

too heavily on the first piece of information offered (the "anchor") when making decisions.

• Is the height of the tallest redwood more or less than 365 meter? Best guess?

• Is the height of the tallest redwood more or less than 55 meter? Best guess?

Avg. = 257m

Daniel KahnemanAnchoring

Avg. = 86m

Anchoring Index= 55%

• Did Mahatma Ghandi die before or after age 9? Best guess?

• Did Mahatma Ghandi die before or after age 140? Best guess?

Avg. = 50

Daniel KahnemanAnchoring

Avg. = 67

Anchoring Index= 13%

Daniel KahnemanAnchoring

Daniel KahnemanLoss Aversion

In economics and decision theory, loss aversionrefers to people's tendency to strongly prefer

avoiding losses to acquiring gains.

Daniel KahnemanLoss Aversion

Daniel KahnemanLoss Aversion

‘The things you own end up owning you.’

Tyler Durden

Loss Aversion

Barry SchwartzThe Paradox of Choice

• Psychologist

• Too much choicemakes peopleunhappy.

• The Jam Experiment

Barry SchwartzThe Paradox of Choice

6 varietiesavailable for tasting

All 24 varietiesavailable for tasting

Stopped at table

40%Stopped at table

60%

Bought

30%Bought

3%

Barry SchwartzThe Paradox of Choice

Barry SchwartzThe Paradox of Choice

The negative effects of toomuch choice:

1. Decision paralysis2. Uncertainty (have I made

the right choice?)

Solomon AschConformity experiments

Solomon AschConformity experiments

On average32%

At least once74%

12 critical trials

Never26%

Fear of being ridiculed or thought "peculiar".

A few of them said that they really did believe the group's answers were correct.

Conform %

Corpos –Rotterdam

2002

Reli-Rockers Rotterdam

2006

Veggies –Zürich 2012

http://www.exactitudes.com/

Flowerpower –Rotterdam

2007

Flexmanagers –Rotterdam/Paris

2008

Les filles du 7eme –Paris 2008

Auntie Never Ever –Rotterdam

2010

http://www.exactitudes.com/

‘You're not a beautiful and unique snowflake.’

Tyler Durden

The ‘I’ Illusion

Part 2A ‘We’ speciesThe Super Social Ape

• We’re not suited forsurvival as loneindividuals.

• We developed as super social apes.

• Social is our core evolutionary strategy.

A ‘WE’ SpeciesThe Super Social Ape

Groups > Individuals• Protection and shelter.

• More mating partners.

• Better organization for hunting larger animals.

• Take and defend a larger territory against predators / other tribes.

• Develop collective knowledge needed for– tool making

– hunting tactics

– Omnivourness

– …

A ‘WE’ SpeciesThe Super Social Ape

Freud:

‘Ich’ is set at birthand never changes.

"the individual mind can exist only in relation to other minds with shared meanings“

• One of the founders of social psychology

• ‘Mind, Self and Society’

• Social behaviorism = the self emerges from social interactions.

• “Me” and “I”.

Social BehaviorismGeorge Herbert Mead

ME

• “Me" is the organized set of attitudes of others which an individual assumes

• “Me" is self as object.

• “Me” represents learnedbehaviors, attitudes, and expectations of others and of society.

I

• "I" is the response of an individual to the attitudes of others

• "I" is self as subject.

• “I” represents the individual’s identity basedon response to the “me”.

Social BehaviorismGeorge Herbert Mead

"the individual mind can exist only in relation to other minds with shared meanings“

Social BehaviorismGeorge Herbert Mead

Marilynn Brewer (2004)Social Psychologist

“… all of the building blocks of human psychology –cognition, emotion, movivation – have been shapedby the demands of social interdependence.”

A ‘WE’ SpeciesThe Super Social Ape

Sociometer TheoryMark Leary

Self-esteem as a sociometer

Monitor inclusionary status

Activatie social painRestore

inclusionary status

Sociometer TheoryMark Leary

Self-esteem as a sociometer

A system that continuouly monitors the inclusionary status of the individual. The system monitors cues that connotedisapproval, rejection or exclusion.

Sociometer TheoryMark Leary

Self-esteem as a sociometer

Monitor inclusionary status

Activate social painRestore

inclusionary status

Sociometer TheoryMark Leary

Social Pain

Sociometer TheoryMark Leary

Social Pain

Sociometer TheoryMark Leary

Self-esteem as a sociometer

Monitor inclusionary status

Activate social painRestore

inclusionary status

Cast Away

"L'enfer, c'est les autres"

Part 3understanding social behaviour

= understanding consumer behaviour

Diffusion of Innovations ModelEverett Rogers

‘Diffusion = the process by which an innovation is

communicated through certain channels over time among the

members of a social system.’Rogers and Shoemaker, 1971

Chasm

Loss AversionParadox of Choice

Conformity

We got ourselves a movement !

The innovator

The opinion leader

The early/late majority

The laggards

The tipping point

‘The leader embraces him as an equal. It’s not about the leader anymore, it’s now about them’

The Imaginative Innovator

Motivation: follow their gut feeling

‘The first follower is what turns a lone nut into a leader’

The opinion leader adds social relevance.

‘Three is a crowd and a crowd is news’

Word-of-Mouth spreads the idea

‘This is the tipping point. Now we have a movement.’

‘The tipping point is that magic moment when an idea, trend, or social behavior crosses a threshold, tips, and spreads like wildfire.

Malcolm Gladwell

The Tipping Point

‘As more people join in it’s less risky ...

‘Eventually they will be ridiculed for not joining in’

The laggard has to join in, in order to avoidsocial disapproval.

The Innovator

• Authentic = true to their values

OR low susceptability to normative influence

OR low self-monitoring (not conforming)

• Functional risk-taking. What if my investments (in time, resources, health, …) result in a unwanted result.

• R&D centers of a tribe / social context.

– Domain specialisation.

– Look for specialized information.

The Opinion Leader

• Pragmatic = linking opportunities to needs.High susceptability to normative influence

• Social risk-taking: what if the introduction would proof to beirrelevant for the social followers.

• Central nervous system of a tribe / social context– Less domain specialisation.– Look for socially valuable information.– Fully aware of the environment of the group.– Fully aware of relevant trends.

Part 4What does this mean for marketing?

1.Start with WHY

1. Start with why

Starting with why makes youconsistent and authentic.

Authenticity is a sign of passionand dedication. It’s a certificatefor quality.

Authenticity reassures the opinion leader this innovation is well thought-out.

“I don’t believe you.”

Create a world where everyone gets to mingle, and connect with people of various cultures and backgrounds.

Rent rooms.

Create a world where everyone gets to mingle, and

connect with people of various cultures and

backgrounds.

Part 4What does this mean for marketing?

2. AdvertisingJoin the Conversation

Traditional Advertising:Stimulate individual behavior

Join the Conversation:Stimulate social behavior

Join the ConversationJoseph Jaffe

Join the ConversationThe power of word-of-mouth

Nielsen Survey: Global Trust in Advertising and Brand Messages (2012)

Ads on TV:47%

Ads in magazines:47%

Traditional Advertising:Stimulate individual behavior

Join the Conversation:Stimulate social behavior

Join the ConversationJoseph Jaffe

the self The brand emerges from social interactions.

Join the ConversationThe power of a crowd

Join the Conversation

the self The brand emerges from social interactions.

1. Authentic and meaningful2. The power of opinion leaders3. Curiosity4. Unexpected5. Storytelling6. Easy to share

Join the ConversationThe power of a crowd

Join the ConversationThe power of a crowd

So it starts with anauthentic and

meaningful product. But what makes a message spread?

The power of tastemakers /

opinion leaders.

Scarcity / Confidentiality

increases curiosity. Curiosity = social value.

Red Bull gives you wings

Add surprise / unexpectednessto your WHY.

Red Bull is a media company that happens to sell energy drinks

Storytelling. Givemeaning. Be relevant. Start the conversation.

Be the conversation.

"We used to record demos and then just burn them onto CDs and give them away at gigs … So the fans just used to send them to each other, which didn't bother us because we never made those demos to make money or anything … And it made the gigs better, because people knew the words and came and sang along. We can't complain about it."

Make your message easy to share. Facilitate your fans.

What is the social valueof your message?

Think about …

1. Authentic and meaningful2. The power of opinion leaders3. Curiosity4. Unexpected5. Storytelling6. Easy to share

Part 4What does this mean for marketing?

3. Co-create.Open up your brand. Engage your fans.

Time to reinvent market research …

Traditional

• Long and boring

• Monologue

• One-shot

Insight Shop

Survey Anyplace

…

• Short and Fun

• Engaging

• Start of a conversation

https://www.getfeedback.com/surveys/234719/build/preview/desktop

1988

R&D / Innovation

2015

To inspire and nurture the human spirit – one person, one cup and one neighborhood at a time.

INSIGHT SHOP

BELIEVE

Insight Shop believes every shop can worktogether with their clients in a fun, engaging

and permanent way in order to increase theirshop (experience, communication, offer, …).

INSIGHT SHOP

CO-CREATION PROCESS

2 3 4

Ideation Concept

finetuning

Concept

workshop

1

Scope

5

Voorstelling

eindresultaat

There is no ‘I’ in Marketing

1. The ‘I’ illusion: irrational biases in individualdecision-making.

2. The ‘we’ species: a super social ape.

3. understanding social behaviour

= understanding consumer behaviour

4. What does this mean for marketing?– Start with WHY

– Join the conversation

– Co-creation