Neuromarketing Basics to Increase Conversion
Neuromarketing is the study of the brain’s response to different advertising stimulus. The concept is fairly new, starting around 2001.
As a neuromarketing expert, our goal is to understand what our customers are looking for, understand how the product or service is connected to the consumer, and inspire multiple transactions.
The first step is to understand our customers.
Put together a psychological profile of your customers.
The concepts of marketing simplify to two simple ideas, attraction, and conversion.
Promoters who generate results use census, geographics, and psychographics. Demographics consist of age, sex, and social group; Geographics is your place and neighborhood; psychographics — as used in professional marketing — paths people’s buying actions.
Understanding your customer is the first step, and is what we call the discovery stage of marketing.
Tactic #1 Emotional Poverty: Customer Need to be Accepted and Understood.
No matter how everyone has an emotional need to be understood and accepted. If every word that writing is about your customer’s needs and wants, your conversion will increase.
Most people do not feel appreciated.
They feel as if nobody understands their wants and needs and they want to be accepted by their peers.
The feeling leads to loneliness and inactivity. Find the hidden motivators of your customers and place this in your marketing messages. This process is how you triple your conversion because they feel like you understand them.
95% of our decisions made with some, emotion.
The process is a bit technical so if this doesn’t interest you, just skip ahead. We make about 10,000 choices every day, many of them center around buying. What is conducted inside us during this process? What drives the “I Want This” button? Since he was an adolescent, Martin Lindstrom has devoted himself to promotion.
Since he was an adolescent, Martin Lindstrom has devoted himself to promotion. In one of the world’s most comprehensive research studies, the advertising expert research how our unconscious impacts customer actions. To “get a glance into the head of consumers” using the fMRI process, a powerful magnet system used for medical determines.
He came to the outcome that companies should concentrate on neuromarketing rather than customer polling to find out which items will have the best possibilities available in the industry.
It is even more crucial because eight of ten items fail as soon as three months after production release, the statements. Mind tests dependably show why a product has a damaging or beneficial impact on customers.
Tactic #2 Time Invested: Increase Customer Time With Your Product or Service.
Elongate the time customers spend with your brand. The more attention a prospect spends with you (attention economy), the more likely they are to buy. This works in multiple ways. The first way is advertising everywhere your customer go.
People like to purchase things that make them feel good, yet hate to be sold. They need the idea to be their idea on their terms. This ties into the first tactic which is understanding emotional decisions.
Research shows that brands with a simple process, website, message, etc. , will see 62% of their consumers are willing to pay more than an additional name with a more complicated process. Additionally, a simple process will increase the amount of time a potential customer spends with your brand.
Simplify to increase potential spend, time with the name, and upsell potential.
Think about it; our world is built around simplifying even the most mundane tasks. Coffee for example:
Keurig Simplifies Coffee to Achieve the Billion-Dollar Status.
Keurig took something as common as coffee and made it as simple as possible. It’s an object that once used, people rarely go back. The average cost per cup of coffee is more expensive, yet the process is simple, so people are willing to pay more. Subsequently, people continue to purchase.
The actual money made is from K-Cups, not the machine. Develop a product or service that is simple, offer simple messages, easy to use website, and has the potential for recurring revenue.
Some people will purchase immediately.
This may seem like an impulse buy. However, this person has already made a decision to buy. This consumer was just searching the internet for the product to be presented the way they needed, with the terms they like, for a price they consider a value.
Some people will buy later.
This is where email marketing or marketing automation. Frequency and consistency are required to maximize conversion. Email marketing is one of the concepts that takes a tremendous amount of time to develop, a little bit less time to perfect, and no time to run.
Email marketing will drive sales and develop relationships while you sleep. All the heavy lifting is completed up front, and the results can last years. Email marketing is an investment and offers some of the lowest costs, highest time investments and largest financial returns.
Some people will buy multiple times.
They love your brand, and they continue to purchase.
Some people will not buy at all.
This is where offering related products or services comes into play.
Tactic #3 Pre-existing Beliefs and Cognitive Biases.
This is based on their experiences. Some are good, some are bad. Sorry marketers will usually skip this altogether. Customers have access to more information than in the history of the world.
Try to stand out and present your product using the different messages than your competitors. If not, you will get placed into a batch of low-value companies, which then the customer will choose the lowest price.
Tailor the marketing based on your customer’s beliefs.
Cognitive Bias
Cognitive bias can mess up our decision making. Cognitive biases promote a path of bad decision making. One cognitive bias that is incorrect is the more information you have, the more likely a right choice.
This is incorrect because everyone is skeptical about ideas that do not follow their beliefs. Subsequently, people will gravitate towards information that supports their personal beliefs.
Mental Floss wrote an excellent article on the 20 Cognitive Biases That Affect Your Decisions. If you would like more specific details on that, please read the article.
How can a company use a cognitive bias for effective marketing?
I can provide an example used for a company selling firearms. During the Obama Administration, there was a standing belief that guns would be made illegal. Moreso weapons such as assault rifles.
We placed ads stating “Purchase now before it’s too late” which increased sales by 3654% while incrementally increasing the cost per item. Others were offering a discount yet our client sold out. Why? We used the common belief to promote a product.
Here is a great article about more details for other cognitive bias.
Tactic #4 Implanting or Framing.
This will get the client to buy. Giving them what they need to purchase the product. This is where you imply things instead of telling them what they need to do. People will react differently depending on how the information is presented.
Display a positive message that follows their personal beliefs, and the consumer will typically avoid risk.
Remember everyone is skeptical about everything that does not follow their beliefs.
Tactic #5 Pride and Status.
Human use the comparative state. They compare themselves to how others appear to be. “62 leading business already purchased this product, and we can add your name to list” “pick up the guide that built millions for Amazon.com.” This allows the customer to put themselves in a class of peers they want to be like. People are following trends of how they believe they want their life to be like.
Celebrity uses this concept to sell products and services. In conventional terms, I’ve heard it called the Kardashian effect.
Novel appeal. Owning this product is a form of status or pride if you can achieve this your conversion will explode.
Turn Information Into Actionable Items.
First I would like to point out this roadmap should be followed in order. This is in addition to all the other concepts we have talked about before. Successful marketing is not easy.
No longer can you just place ads, describe what the product or service does, and expect a good return on investment. We would love to offer specific actionable items for you to use in your business. Unfortunately, humans are so diverse it is not possible. Instead, we would like to provide you with some examples to inspire your next project.