Build a Better Agency Podcast EP 444: What behavioral economics tells us about how people connect with brands with Kristian Alomá, PhD
Everybody has a story they’re trying to tell, and brands play a massive role in people’s stories, whether they realize it or not. Most of the time, the stories consumers associate with a brand aren’t what we think they are. This is where behavioral economics becomes vital to creating an effective marketing strategy.
Behavioral economics is a study that attempts to make sense of people’s behavior around spending. We don’t always make spending decisions in our best interest and often base purchasing decisions on our emotions. In fact, people usually connect and interact with brands the same way they connect with people.
This leaves brands with a lot of pressure on their backs. If you ignore your loyal customers’ needs and wants, they will feel deeply betrayed. But if you listen to their stories and get to the core of what they’re looking for, you’ll build a trust that feels like a close friendship.
The psychology behind consumer behavior is complicated but fascinating. Join us this week to discover how brands can use behavioral economics to build an effective marketing strategy that fosters deep trust from your customers.
A big thank you to our podcast’s presenting sponsor, White Label IQ. They’re an amazing resource for agencies who want to outsource their design, dev, or PPC work at wholesale prices. Check out their special offer (10 free hours!) for podcast listeners here.
What You Will Learn in This Episode:- What is behavioral economics?
- Why people build human-like relationships with brands
- How narrative psychology can improve our relationships with our customers
- Clues that a brand uses narrative psychology well
- Convincing clients that a strategy based on behavioral psychology is worth investing in
- How strategic changes ripple throughout a whole organization
- Getting to the bottom of your customer story
- What brands get wrong about customer stories
- Why feelings of betrayal run deep when brands miss the mark