The Brainy Business | Understanding the Psychology of Why People Buy | Behavioral Economics

Jeff Kreisler, Head of Behavioral Science at JPMorgan Chase, discusses the impact of behavioral economics on financial decision-making, the role of humor in enhancing outcomes, and the evolving use of AI in wealth management. The episode delves into Jeff's career transition, the intersection of comedy and science, and the importance of incorporating behavioral science into decision-making processes for better financial outcomes.

Explore how our memories can deceive us with hindsight bias, survivorship bias, and cognitive distortions. Learn practical strategies to combat these biases and make better decisions in business and personal life.

Explore negotiation strategies and techniques with Kwame Christian, host of Negotiate Anything podcast. Learn about Compassionate Curiosity framework, affect labeling, and anchoring tactics. Discover the synergy between sales and negotiation skills for successful outcomes.

Learn how anchoring and adjustment impact consumer behavior and decision-making in various industries such as retail and real estate. Discover strategies to set compelling price anchors and leverage behavioral economics techniques to boost sales. Dive into the world of anchoring to unlock success in your professional and personal life.

Esteemed author Karin Hurt shares strategies for mastering workplace conflict by embracing the four C's: Connection, Clarity, Curiosity, and Commitment. Learn practical phrases and tactics to navigate office disputes, foster collaboration, and enhance conflict resolution skills. Gain insights on human-centered leadership, setting clear expectations, and handling conflicts with grace and resolve.

Join host Melina Palmer and guest Tim Houlihan, an expert in motivation and incentives, as they delve into the world of non-monetary rewards and personalized goal-setting. They challenge traditional views on motivation, emphasizing the power of recognition and thoughtful goal planning. Discover how incentives and motivation can impact employee engagement and performance, and gain practical insights on applying behavioral science in personal and professional realms.

Journalist Marjorie Ingall and wildlife behavior expert Susan McCarthy discuss the art of effective apologies. They explore the psychology behind apologies, public vs private apologies, steps to make a sincere apology, and the impact of genuine apologies on relationships.

Psychological underpinnings of decision-making expert, Gleb Tsipursky, shares insights on avoiding workplace disasters by understanding cognitive biases, implementing effective change management, cultivating emotional intelligence, and leveraging external perspectives. The podcast delves into real-world applications and emphasizes the role emotions play in professional lives, offering listeners valuable tools to enhance critical thinking and decision-making processes.

Guest Marc Zao-Sanders shares how timeboxing transformed his productivity and life. The episode explores intentional living, digital organization, and prioritizing tasks. Learn the benefits of timeboxing, mastering time management, and enhancing accountability in teamwork.

In this episode of The Brainy Business podcast, Melina Palmer explores the psychology behind precommitments and how they can profoundly impact our lives. Step into a thought-provoking conversation about the tools that assist us in adhering to our goals, including innovative apps like Stickk and Forest. Melina discusses the art of balancing personal aspirations and professional interactions, sharing anecdotes and advice on commitment and accountability. Get insights into practical methods for setting realistic deadlines and implementing precommitment tactics that truly work. Anticipate an exciting look ahead to her upcoming TEDx talk as well. This episode isn't just about tips—it's an invitation to a deeper understanding of commitment psychology, paving the way for lasting change. Perfect for anyone looking to harness the power of their intentions, this episode promises to be both enlightening and inspiring. In this episode: Master the benefits of precommitment strategies to achieve your personal and professional goals effectively. Incorporate behavioral economics in your business for improved decision-making and success. Overcome cognitive dissonance in goal setting to enhance your self-discipline and productivity. Utilize time boxing to maximize your productivity and accomplish your tasks efficiently. Leverage loss aversion to boost your motivation and drive towards achieving your objectives. Show Notes: 00:00:00 Introduction Melina introduces the concept of precommitment and explains how it can make us more likely to follow through on our intentions, whether it's committing to ourselves or someone else. 00:03:52 - Overcoming Time Discounting Melina delves into the concept of time discounting and how we often make decisions that prioritize short-term gains over long-term benefits. Precommitment helps us overcome this bias and stick to our commitments. 00:09:35 - Cognitive Dissonance and Behavior Change Melina discusses cognitive dissonance and its role in behavior change. She emphasizes the importance of facing our past behavior and accepting it in order to make meaningful changes in our commitments and habits. 00:11:34 - Implementing Precommitment Tactics Melina provides practical strategies for implementing precommitment devices to keep commitments. She emphasizes the importance of addressing the root causes of behavior and finding precommitment tactics that align with our motivations and goals. 00:14:33 - Tools for Precommitment Melina highlights the Stickk app, crafted by behavioral economists to help users stick to their goals. She encourages listeners to explore tools and ideas that can support their precommitment tactics and help them achieve cognitive alignment. 00:15:03 - Making Commitments and Using Precommitment Devices Melina discusses the importance of making commitments and using precommitment devices to ensure sticking to them. She provides examples of setting up commitments and consequences to keep oneself motivated. 00:16:29 - Using the Forest App for Productivity Melina introduces the Forest app, which helps in increasing productivity by creating a virtual forest and using it as a visual representation of commitment. She explains how the app helps in staying focused and avoiding distractions. 00:18:16 - Making Precommitments in Business and Teams Melina emphasizes the importance of making precommitments in business and teams to ensure follow-through on commitments. She explains how setting up appointments and deadlines in the moment increases accountability and keeps everyone on track. 00:21:11 - The Loss Aversion Jar for Precommitment Melina introduces the concept of the loss aversion jar as a precommitment tactic. She explains how it works by setting goals, putting money in the jar for daily commitments, and losing all the funds if the commitment is not met. The jar serves as a visual reminder and motivator. 00:26:41 - Embracing Precommitment to Achieve Goals Melina encourages listeners to embrace precommitment to achieve their goals. She shares her own experience of using precommitment tactics and emphasizes the importance of focusing on one important goal at a time to see real progress. 00:29:37 - The Importance of Understanding Consumer Behavior Melina discusses the significance of understanding consumer behavior in marketing, emphasizing the impact of decision-making on purchasing behavior. 00:30:20 - Factors Influencing Consumer Choices Melina delves into the various factors that influence consumer choices, including cognitive biases, emotions, and social influences, highlighting the complexity of decision-making processes. 00:31:05 - The Role of Behavioral Economics in Marketing The conversation shifts to the role of behavioral economics in marketing, with Melina stressing the importance of leveraging behavioral insights to design effective marketing strategies and campaigns. 00:32:15 - Conclusion What stuck with you while listening to the episode? What are you going to try? Come share it with Melina on social media -- you'll find her as @thebrainybiz everywhere and as Melina Palmer on LinkedIn. Thanks for listening. Don’t forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let’s connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Learn and Support The Brainy Business: Check out and get your copies of Melina’s Books.  Get the Books Mentioned on (or related to) this Episode: What Your Customer Wants and Can't Tell You, by Melina Palmer The Selling Staircase, by Nikki Rausch Good Habits, Bad Habits, by Wendy Wood Timeboxing, by Marc Zao-Sanders Work Well, Play More, by Marcey Rader Top Recommended Next Episode: Aline Holzwarth Interview (ep 135) Already Heard That One? Try These:  Habits (ep 21) The Overwhelmed Brain and its Impact on Decision Making (ep 32) How to Organize Your Brain with Behavioral Economics (ep 83) Nikki Rausch Interview (ep 96) Confirmation Bias (ep 260) Other Important Links:  Brainy Bites - Melina’s LinkedIn Newsletter Don’t Let Me Do That! – Models of Precommitment Precommitment Precommitment and Procrastination: Behavioral Tools for Students Forest App Stickk App