Buy more to save more, money off, sale, special offer, spin the lucky wheel... So many different expressions to achieve one goal – conversion. But which method really works?
There are so many chance games out there for a reason – from a chips box offering customers to win 1 out 1000 prizes to scratch cards found in online delivery boxes, encouraging customers to discover one of the amazing treats. Are you wondering why so many companies keep doing it?
We live in a returns culture, where delivery is free and so are the returns. Zero shipping fees and favorable in-store return policies make it very attractive to bulk buy products consumers don’t need. When consumers return their purchases, it causes losses for the companies due to extra logistical and repackaging costs. An increasing amount of returns have a negative impact on the environment too.
Marketers should strive to reduce the returns to save costs and reduce the adverse footprint on the environment. A recently published study has discovered a simple yet highly effective technique companies can use in this regard.
Brainwashing that has gone green
There has been an increasing amount of warnings about climate change and its rash consequences in the media. For some, attempts to preserve the Earth for the future generations became a cool trend. As a result of this, all sorts of green products have been filling the shelves.
But what makes a green product? Does a green can make a soft drink environmentally-friendly? Can we call a regular shampoo a green product by adding one natural ingredient? Such a practice of highlighting only a few green attributes is called greenwashing.
2 euros off or a complementary recipe book?
Price-based incentives remain one of the most common types of sales promotion. However, non-monetary incentives have become increasingly more common. Non-monetary incentives mean that consumers receive a free gift (premium) with a purchase of a product. A good example is McDonalds’s Happy Meal, which comes with a free toy.
So what do consumers prefer? 2 euros off or a complementary recipe book? A recent study looked at the fast moving consumer goods (FMCG) retail sector to explain why price cuts are superior to premiums.
Nowadays we are more individualistic than ever. We are encouraged to make our own decisions, live the life in a way that we like. And yet, 72% of ads contain assertive language. Brands tell us what to do quite explicitly - “visit our Facebook page”, “floss daily”, “eat healthy”.
How do people react when brands tell them what to do?
We all know that one friend who wants to have luxury products so bad, they don’t spend too much time thinking whether they actually need the product or if it is of good quality. They just want to have it, no matter what!
Other people are completely insensitive to luxurious brands. They explain that they can buy high quality products from cheaper brands, too.
These are examples of two groups of people. What drives their behaviour? Neuromarketing has the answers.
Even Eminem benefits from neuromarketing
Remember Eminem? He was gone quiet for almost four years. Lately, Post Malone, Drake and Kendrick Lamar have been topping the Global Charts.
Every year in November, MTV Europe Music Awards (EMA) review the year and award the best songs. This year, to everyone’s surprise and confusion, Eminem won the Best Hip Hop song with his most recent creation “Walk on Water”. The song was released days before the EMAs. Even Eminem himself was confused with his award as he hasn’t done anything in years. Was the song so great that everyone instantaneously fell in love with it?