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1. Psychological “jumping to the moon”
The parent company Google Alphabet has a department X, which is engaged in the development of innovations: unmanned cars, augmented reality glasses, smart lenses. The company calls such inventions “jumping to the moon.”

To promote products, Sutherland also suggests doing “jumping to the moon” – only psychological. It’s easier to improve not the real world, but its perception.

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One example of such a jump is the Uber auto tracking map. Thanks to her, the waiting time for a taxi does not decrease, but the client becomes more comfortable. He has a feeling of control over the situation.

The idea with the card came about after its developer realized: people are more worried about the uncertainty associated with waiting than the waiting time itself.

# 2 “The effect of a trick”
A person changes preferences after adding a third to two options – worse than the first, but better than the second. Psychologist and behavioral economist Dan Ariely calls this the “trick effect.”

He proves the fairness of the reception on the example of The Economist.

In 2009, the magazine had three subscription options:

– online version – $ 59

– print – $ 125

– print + online – $ 125

The middle option is psychological deception. Who will choose it if for the same price you can get both online and print? But the presence of this option influenced consumer behavior. It was she who pushed the person to choose the more expensive option.

Arieli conducted an experiment and found out: with three options, 84% of potential subscribers chose the most expensive subscription option. Without the middle option, 68% opted for the cheap option – only the online version.

# 3 Signal for trust
Sutherland identifies two approaches to doing business:

Restaurant for tourists – the owner earns as much as possible on customers who get to him once in a lifetime

Pub for locals – the owner earns less on every single visit, but creates the conditions for customers to return and give a stable profit

To build a business according to the second model, it is important to win the trust of customers and build a positive reputation. This requires a psychological signal: you can trust us.

So it works with London cabs. Their signal of confidence is the four-year training program for taxi drivers Knowledge. Drivers must learn thousands of street names and facilities, and then pass exams.

70% of applicants either do not reach the exam or fail it. Thanks to such a tough selection, customers are confident that the remaining 30% is an example of professionalism and reliability, so they can be trusted.

#4. “IKEA Effect”
The buyer values ​​the product above, which he partially creates. This phenomenon is called the “IKEA effect.” The founder of the Swedish company, Ingvar Kamprad, was sure that the more effort customers spend on assembling furniture, the more they value it.

When Sutherland started working with IKEA, he was immediately given advice: “Do not try to simplify the customer experience, otherwise you will be fired.”

Business Rules from IKEA Founder

The “IKEA effect” was proven by economist Michael Norton. He conducted an experiment and found out: for furniture that a person partially assembled with his own hands, he is ready to pay several times more than for a finished product.

Sutherland notes that the validity of this effect has been proven for over 60 years by Betty Crocker, a brand of ready-made baking mixes. In the early 1950s, General Mills introduced to the market mixtures that needed only to be diluted with water, mixed and put in the oven. But they did not become popular.

In the course of research, they found out: people did not feel the value in the finished desserts, because they did not make efforts to prepare them. Then General Mills complicated the task – now several ingredients had to be added to the mixture. Thanks to this technique, sales have grown.

#5. Cheapness needs to be explained
Marketing can not only justify high prices, but also help customers not to be afraid of low prices.

The main thing is to give the consumer comprehensive information. If something is too cheap without an adequate explanation of the reason, people will not believe in the quality of the product or service.

An example of successful honesty is low-cost airlines. They directly say that they do not offer:

– tickets with a specified location

– lunches and free drinks

– free luggage places

By this they explain low prices and reassure customers. Seeing an advertisement for cheap tickets, a person will think: “They are so affordable because I don’t have to pay for unnecessary expensive options.”

Imagine if low-cost airlines said: “We offer the same cool services as British Airways, but three times cheaper.”

Either no one will believe them, or conversations will begin: “Perhaps the tickets are so cheap, because the company does not care about engine maintenance or hires unskilled pilots.”

# 6 Choice for choice
It’s hard for people to love what they don’t choose. The client does not want a decision imposed on him – he wants to accept it himself, even if you have to choose.

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