Affect Heuristic

When people want to make decisions quickly, they often rely on their “gut” feelings or emotions. This mental shortcut gives them a false sense of belief that their decisions are based on sound reasoning. For example, the word “mother” often invokes a sense of love and care, while “cancer” often provokes a sense of dread. 

How Marketers can use them:

These feelings can be brought forth in the minds of consumers before they make a choice of purchasing an item. Invoking a good mood will make them more likely to perceive a purchase positively. Such emotions significantly influence the decision-making abilities and perception of risk in the minds of consumers.

Anchoring 

Anchoring refers to the initial suggestion or “anchor” on which further decisions, discussions and negotiations are made. Anchoring is most effective when there is scarce information to be found about an item or if the customer is negligent.

How marketers can use them:

Most buyers start their buying journey with little knowledge of price or quality, placing huge leverage on the hands of the seller. This enables the sellers to set the initial price at a very high point from where they can make significant profits, even if the customer manages to bargain a heavy discount on the initial price. Even in this age of prevalent information, anchoring still plays a crucial role in market dynamics.

Availability Heuristic

Availability Heuristic is very similar to Affect Heuristic, in which the individuals often rely on the first information they could recollect. This often comes in handy while evaluating concept, method, decision or topic. If people are often able to recollect information, they perceive it as something important. 

How marketers can use them:

In marketing, targeting availability heuristic is often central to most campaigns. The best way to stay in the minds of the customers is to present a brand as a solution to a problem. First, identify a pestering problem of the target customers and present the brand as a solution to that problem. Another great way to cater to availability heuristic is to present the success of the brand among its customers. Customers are more likely to recollect a brand if they perceive them as the leaders of the field.

Human Biases which Marketers can Exploit

Confirmation Bias, the most impactful among human biases

People are creatures of habits and beliefs. Most of them use beliefs as identities and cling on to them. Confirmation bias refers to the tendency of people to use any information they come across to reinforce such held beliefs, even rejecting scientifically proven knowledge if it contradicts their beliefs. Confirmation bias is often seen in greater effect when it involves emotionally charged and deeply held issues. 

How marketers can use them:

Confirmation bias is a powerful tool in marketers kit to change the perception of a company. Even if a company is selling the same product as it has always been selling, changing the perception alone is enough to boost sales by a whopping margin if done right. The best way to create a confirmation bias is to set an initial expectation or suggestion and build evidence around those perceptions. Confirmation Bias has a lasting effect as seen in the case of Maruti, where it is still perceived as an “Indian” car brand even if they are no longer owned by an Indian entity.

Decoy Effect

When presented with two major options, customers often select either of the options if a third option is presented which may offer symmetrically declining feature options, but is priced asymmetrically.  

How Marketers can use them:

Often used by many SaaS companies, Decoy effect is great at driving customers to the desired product/service price range. People tend to go towards products which has a larger feature set, but getting it at a perceived better-valued price range.

Endowment Effect

People are more likely to start caring more for an object that they already own. This bias is known as the Endowment Effect. This effect is borne out of a sense of familiarity and people tend to avoid items which have a sense of risk and uncertainties associated with them. 

How marketers can use them:

Endowment Effect is great at creating a sense of Brand Loyalty. As a marketer, it will be highly beneficial for you to minimise the learning curve required to use your product so that customers can switch to your services seamlessly.

Fear of Missing Out (FOMO)

The latest craze among young generations, Fear of Missing Out (FOMO) has always been a secret weapon among marketers The bias plays on the notion that others might be having great experiences while they might miss out on. It also gets into play when an attractive proposition is available for a limited time period.

How marketers can use them

Want to create a buzz for your brand in a short period of time? Fear of Missing Out is the one you need to target for. Marketers have always used this bias while creating a limited time period offer or when.

IKEA Effect, the most underutilised among human biases

IKEA is a Swedish based furniture manufacturer and retailer. They have innovated a unique business model in which they provide furniture directly to the consumer without the required assembly. This helps save them on shipping and production cost. Another surprising benefit out of this is people love to build their own product even if it is imperfect and will treasure them as such.

How marketers can use them

Whenever possible, try to engage consumers. Make them part of the process, rather than an end goal to whom we have to sell. 

Car Branding, the most effective form of Out Of Home (OOH) Advertising

Car Branding For making Use of Human Biases

There are many other biases not discussed here and researching human biases is an ever ongoing process. If you would like to implement the full effects of these biases, you can try Car Branding. Read our article on Car Advertising Advantages to understand how car branding can help you in your effort to reach out to more audience. BrandOnWheelz is India’s largest car advertising company. 

human biases

With the question of the death of Out of Home Advertisement has been debunked, let’s explore what channels do marketers have at their disposal for their next advertising campaign. There are advantages and disadvantages of each channel and you have to choose your channel according to what’s your end goal and your target audience. 

The major advantages which the Out of Home (OOH) advertising campaigns provide are:

• Offline Presence
• Easy Location-based targeting
• Wider Reach
• No cap on impressions
• Has worked for a long time, but its effect has still not diminished.

With plenty of advantages going for Out Of Home (OOH) Advertising, let’s explore what options a marketer has and what are the best options for them to achieve their targets.

1. Car Wrap Advertising

The latest iteration in the long history of Out Of Home (OOH) advertisement. Car Wrap Advertisement has evolved to have it all. With the distribution spread of Flyer Advertisement and impression impact of Billboard Advertisement.

PROS:

• Ability to get close to your target audience and be a part of their everyday lives.
• Can reach the whole city in a single advertising campaign.
• Provides the maximum impact of any offline advertising campaign.
• Can reach residential areas and office areas, which is difficult to do with any other form of Out of Home Advertisements.
• With BrandOnWheelz, you will also be able to track key marketing metrics such as impressions, ROI and

CONS:

• It ends.

2. Billboard Advertising

Billboard Advertisement is great at creating impressions but should be aptly positioned to have any significant impact. And unlike car advertising campaigns, you have to pay exponentially more to display your advertisements throughout the city. Too many hassles to make it a success.

PROS:

• A huge number of impressions, if done right.
• Can be placed in high traffic locations. Though it will cost significantly more.

CONS:

• Should be placed aptly to have any significant advertising effect.
• Is prohibitively expensive for the impact it provides. 
• It is subject to many local laws and regulations.

3. Point of Sale Displays

These types of advertisements are designed to sell. It is suitable for low-cost products to influence customers when they are in the process of purchasing. Point of Sale Displays are good as a marketing tactic, but score low on every other metric.   

PROS:

• Great for influencing customers at the end stage of the buying process.

CONS:

• Poor to no effect on all the other marketing metrics.
• Can be used more as a tactic than the main marketing strategy.

4. Furniture Advertising

Not as popular and almost non-existent in India. Furniture advertising is a novel way to display your advertisements. Though it has a great impact on customers, most are not receptive to it after some time as the utilities on which the ads exist tend to get used less over time. This can be primarily attributed to symbolic issues, for example, people are often uncomfortable using street benches with ads on them. Important cues such as danger and other important signs are also observed to be ignored or noticed less if there are any ads near them. 

PROS:

• Great for creating an impact on customers.

CONS:

• People are less receptive of them over time.
• Has the potential to cause public hazards.

5. Flyer Advertising

Has high distribution potential and reach. Flyer Advertising can reach people near enough for them to take personal notice. But due to its intrusive and uninvited nature, people are usually annoyed when they receive it. Also, a lot of field agents need to be employed to reach out to many people. 

PROS:

• High distribution potential and reach
• Can reach the audience on a personal level.

CONS:

• People are not receptive of it.
• Requires a large number of field agents to have a necessary impact.
• Flyer Advertisements don’t last long.

6. Experiential or Event Marketing

Events have always been a major part of human civilisation. And lately, Brands have started taking notice of its potential to make a big impact. Experiential Marketing combined with technology has totally revolutionised this space. The major drawbacks are it’s very expensive and though it is suitable for product launches, extensive press coverage must be required to have any significant impact. 

PROS:

• Can create a huge impact and improve the brand reach.
• Great for product launches.

CONS:

• It is expensive.
• Can involve only less number of people.
• Must be accompanied by extensive press coverage to have any significant long term impact

7. Bus Advertising

Though it may seem like a good choice to go for Bus Branding on the outset, it is anything but. Out of all the Out Of Home Advertising mediums, Bus Branding is the least appealing of all. Bus Advertisement has a wide reach and can garner impressions, but are often dirty and poorly maintained. In addition to that, buses are seen as a budget option for the masses, not something most aspire to. So it makes little sense to go for Bus Advertisement unless impressions are your only goal, and have little concern about the drop in brand value.

PROS:

• Only suitable to obtain impressions.

CONS:

• Guaranteed drop in the brand value.

Out Of Home Advertising is constantly evolving and there are major channels opening up all the time. Car Advertising is the latest iteration of Out Of Home (OOH) advertising with all the advantages of other advertising channels in this space. To get your advertisements on cars, call 9066774457 or send email to knowmore@playonwheelz.com.