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John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
November 2013
Changing Behaviour 1 Elephant at a Time
NewMR Festival
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
Jan
11
3
We think
much less
than we
think we
think
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
7
Human behaviour driven by two independent brain systems, 1 & 2 …
Slow
Analytical
Propositional
Conscious
System 2
Fast
Intuitive
Metaphoric
Unconscious
System 1
e=mc2
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
Decision-making is like an elephant and its rider: we like to
think the logical and deliberative rider is directing things…
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
But it’s actually the emotional, intuitive and impulsive
elephant who’s in charge
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
and build a path for it…
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
Applying
Behavioural
Science to Brand
Building
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
The Behavioral Challenge…
1. Define the specific behaviour you want
to change.
2. Understand its context – environmental,
social and personal.
3. Use behavioural principles to build
brands that alter that context to
produce the desired behaviour.
4. Test them to make sure they work!
DECISION
DECISIONS
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
5:1 1:2
A. North, D. Hargreaves and J. McKendrick (1997)
Sales Sales
Environment
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
Power of Reframing /Anchoring [Environmental
‘Café coffee at home’;
machine, ritual, noise, aroma, price, taste
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
Power of Reframing /Anchoring [Environmental
‘Fresh Pillows’;
sell-by-date framing
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
‘Amount Anchoring’
Anchoring can affect how much
people buy and consume, as well
as how much they are happy to
pay.
In one study, a pack design
showing many biscuits resulted
in 4 times the number of biscuits
being consumed than a pack
design showing fewer biscuits.
Show full baskets and multiple
items on your shelf talkers – it
will anchor shoppers to the idea
that multiple buys are a norm.
DECISION
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
2
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
Jan 11
Heuristics influenced by social factors
Bateson et al, 2006
People pay
2.76 times
more on
average
when eyes
are present
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
Power of Copying/Status [Social]
‘Sociable alertness’;
I’ll have what (s)he’s having
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
‘Implied Scarcity’
Making a product seem scarce is a
well documented and powerful
social lever. Giving the impression
of scarcity creates a sense of
urgency.
Make a promotional offer seem
scarce by imposing time limits to
your promotions, e.g. ‘offer ends
today’ or ‘tonight’. This can also be
combined with anchoring ‘Max 4
per customer’ to drive volume as
well as demand.
DECISION
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
Power of Emotions [Personal]
‘’Love it or Hate it’;
Just don’t forget it…
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
31%
26%
16%
Rational Ad Strategy Combined Emotional Ad Strategy
Campaign strategy
Which explains why emotional advertising outperforms the rest…
% Reporting very large profit gains
‘Marketing in the Era of Accountability’, Binet & Field, IPA, 2008
“Emotional campaigns are
more effective & more
profitable than rational
campaigns - even in
'rational' categories…”
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
And emotional campaigns deliver for the long-term
43%
23%23%
Rational Ad Strategy Combined Emotional Ad Strategy
Campaign strategy
% Reporting very large profit gains
Campaigns lasting 3+ years
‘The Long and Short of It’, Binet & Field, IPA, 2013
“The longer the time
frame, the more
emotions drive profit”
68
73
78
82
Straight to Video Pedestrian BlockbusterMust SeeSolid Performance
Spend
maintains 
share*
*assumes share of voice = share of market
Emotion-into-Action™ Score
Indication of Efficiency using Emotion-into-Action™ Score
Efficiency = share gain/extra share of voice
CDM Gorilla
ROI £1.85
IPA Silver
Tropicana
Breakfast in New York
ROI £1.83
IPA Silver
P&G Thank You Mom
30% higher ROI than P&G average
EFFIES Gold
‘Basketball’
3 Pony
John Kearon, Brainjuicer, UK
Festival of NewMR 2013 - Main Stage
‘Hedonic Bundling’
Some goods are more hedonic than
others – i.e. more emotionally charged
and indulgent. In bundles, applying
discounts to the most hedonic item
gives better returns than applying it to
the whole bundle.
When PepsiCo bundled Mountain Dew
and Lays, discounting the drink
increased cross purchasing by 18% over
the same value offer on the total
package.
Cosmetics and toiletries bundles could
work in the same way.
Q & A
Ray Poynter
NewMR
John Kearon
Brainjuicer
DECISION
John Kearon
@chiefjuicer

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Changing Behaviour 1 Elephant at a Time

  • 1. The Festival of NewMR 2013 would not be possible without our sponsors. Thanks to: Gold Sponsors Silver Sponsors Session Sponsors Media Partner Festival Supporters • Q – Research Software • CreaMetrix Research • TapestryWorks • Keen as Mustard • CrowdLab • L&E Research • Schlesinger Associates • Focus Forums • eCGlobal Solutions • Revelation
  • 2. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage November 2013 Changing Behaviour 1 Elephant at a Time NewMR Festival
  • 3. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage Jan 11 3 We think much less than we think we think
  • 4. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage
  • 5. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage
  • 6. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage
  • 7. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage 7 Human behaviour driven by two independent brain systems, 1 & 2 … Slow Analytical Propositional Conscious System 2 Fast Intuitive Metaphoric Unconscious System 1 e=mc2
  • 8. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage Decision-making is like an elephant and its rider: we like to think the logical and deliberative rider is directing things…
  • 9. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage But it’s actually the emotional, intuitive and impulsive elephant who’s in charge
  • 10. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage and build a path for it…
  • 11. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage Applying Behavioural Science to Brand Building
  • 12. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage The Behavioral Challenge… 1. Define the specific behaviour you want to change. 2. Understand its context – environmental, social and personal. 3. Use behavioural principles to build brands that alter that context to produce the desired behaviour. 4. Test them to make sure they work!
  • 15. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage
  • 16. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage 5:1 1:2 A. North, D. Hargreaves and J. McKendrick (1997) Sales Sales Environment
  • 17. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage Power of Reframing /Anchoring [Environmental ‘Café coffee at home’; machine, ritual, noise, aroma, price, taste
  • 18. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage Power of Reframing /Anchoring [Environmental ‘Fresh Pillows’; sell-by-date framing
  • 19. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage ‘Amount Anchoring’ Anchoring can affect how much people buy and consume, as well as how much they are happy to pay. In one study, a pack design showing many biscuits resulted in 4 times the number of biscuits being consumed than a pack design showing fewer biscuits. Show full baskets and multiple items on your shelf talkers – it will anchor shoppers to the idea that multiple buys are a norm.
  • 21. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage 2
  • 22. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage Jan 11 Heuristics influenced by social factors Bateson et al, 2006 People pay 2.76 times more on average when eyes are present
  • 23. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage Power of Copying/Status [Social] ‘Sociable alertness’; I’ll have what (s)he’s having
  • 24. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage
  • 25. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage ‘Implied Scarcity’ Making a product seem scarce is a well documented and powerful social lever. Giving the impression of scarcity creates a sense of urgency. Make a promotional offer seem scarce by imposing time limits to your promotions, e.g. ‘offer ends today’ or ‘tonight’. This can also be combined with anchoring ‘Max 4 per customer’ to drive volume as well as demand.
  • 27. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage Power of Emotions [Personal] ‘’Love it or Hate it’; Just don’t forget it…
  • 28. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage 31% 26% 16% Rational Ad Strategy Combined Emotional Ad Strategy Campaign strategy Which explains why emotional advertising outperforms the rest… % Reporting very large profit gains ‘Marketing in the Era of Accountability’, Binet & Field, IPA, 2008 “Emotional campaigns are more effective & more profitable than rational campaigns - even in 'rational' categories…”
  • 29. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage And emotional campaigns deliver for the long-term 43% 23%23% Rational Ad Strategy Combined Emotional Ad Strategy Campaign strategy % Reporting very large profit gains Campaigns lasting 3+ years ‘The Long and Short of It’, Binet & Field, IPA, 2013 “The longer the time frame, the more emotions drive profit”
  • 30. 68 73 78 82 Straight to Video Pedestrian BlockbusterMust SeeSolid Performance Spend maintains  share* *assumes share of voice = share of market Emotion-into-Action™ Score Indication of Efficiency using Emotion-into-Action™ Score Efficiency = share gain/extra share of voice CDM Gorilla ROI £1.85 IPA Silver Tropicana Breakfast in New York ROI £1.83 IPA Silver P&G Thank You Mom 30% higher ROI than P&G average EFFIES Gold ‘Basketball’ 3 Pony
  • 31. John Kearon, Brainjuicer, UK Festival of NewMR 2013 - Main Stage ‘Hedonic Bundling’ Some goods are more hedonic than others – i.e. more emotionally charged and indulgent. In bundles, applying discounts to the most hedonic item gives better returns than applying it to the whole bundle. When PepsiCo bundled Mountain Dew and Lays, discounting the drink increased cross purchasing by 18% over the same value offer on the total package. Cosmetics and toiletries bundles could work in the same way.
  • 32. Q & A Ray Poynter NewMR John Kearon Brainjuicer