The Small Big Flashcards
What leads people to make decisions ?
It is not information per se that leads people to make decisions, but the context in which that information is
presented.
Why do people need shortcuts to make decisions ?
People just don’t have the capacity to fully consider every piece of information in their
1) time-scarce,
2) attention challenged,
busy lives
Name impact
Nudge people to pay attention by using their first name; first name cues our attention (cocktail party phenomenon – from the background din of chatter, you notice when someone uses your name)
Given that a necessary part of any strategy is to get someone’s attention
How to build relationships, partnerships and team work
Nudge people towards buying by focusing both on how they have similar traits to other buyers and that they are dissimilar to non-buyers (focus on uncommon commonalities)
when it comes to encouraging cooperation and partnership, focusing on shared identities becomes important
Identifying these uncommon commonalities—especially early in the process of relationship building— potentially fulfills people’s desire both to fit in and, yet, to stand out (in this case, from other competitive
groups) at the same time.
How to become wiser with experience ?
Nudge people to spot marketing opportunities by pairing them with a fresh set of eyes (familiarity leads to opportunity-blindness)
one of the major benefits of developing longer-term relationships and arranging regular contact with people is that it seemingly becomes easier to predict their needs and preferences over time (though not always true)
- As time passes, motivation to know each other dwindles
- consider themselves committed by virtue of the extended time invested. Think that they know each other better than is actually the case and consequently become less likely to notice changes in attitudes and preferences, especially those that occur slowly or subtly.
How can you persuade people to keep their appointments with you ?
Nudge people to buy by first securing an active (and public) pre-sales commitment (e.g. sign up for information – for instance missed appointments dropped by 25% when patients filled in an appointment card themselves)
What can help your influence attempts to win over and over ?
Nudge people indirectly in small steps, by first encouraging them to engage (publicly if possible) in a low-cost activity consistent with buying, and then using further cues to trigger purchase.
What can ensure that your influence attempts don’t backfire ?
Nudge people to buy ‘sinful/guilty’ products by providing them with a way to offset the guilt and ‘licence’ the behaviour (e.g. placing recycling bins in a room will encourage wasteful behaviour)
What can persuade people to pay their taxes on time ?
Nudge people to buy/pay using social proof by telling them about the large number of people who have already bought/paid (UK tax authority HMRC used this to boost payment from late-payers from 57% to 86%)
What can persuade people to go against the crowd ?
Nudge people to adopt a new product (go against the crowd/convention) using negative competitor-user imagery by pairing crowd/convention behaviour with unpopular/undesirable people/groups
What change to make to way you frame a message can lead to Big Differences in outcomes ?
Nudge people to buy by talking about the costs or benefits of deviating from the norm (e.g. if buying is the/their norm, then highlight the costs of not buying (deviating from norm), but if buying is not the norm, highlight the benefits of buying (deviating from the norm)
What can help to right a wrong ?
Nudge people to buy a new product (and thereby violate a social norm) using active social proof by showing others actively buying (or in the case of pro-social behaviour, if the social norm is to drop litter, show others picking up litter)
What should you add to your recipe for employee productivity ?
Nudge people using stories that illustrate the positive ’significance’ of purchase on others – rather than personal benefit.
People feel more appreciated if they learn FIRSTHAND, of the difference they make to ppl’s lives. Significance and meaningfulness of their jobs - why their jobs are important
What should you look to add when it comes to successfully making decisions ?
Step the team member , all else being equal, has the fewest connections with the personnel of the department for which you are negotiating. Lessor the connection, more objective the assessment.
$20 prize for $1 incremental bet. Second last player loses his/her bet (Escalation of Commitment) : # Commitment & Consistency - small initial commitment escalates # Not so much the desire to win but more potent need to avoid losing (from competition for scarce resource)
What is the key to planning persuasion ?
Simply getting yes wont be enough if there is delay between agreeing to take action and point at which action is actually carried out
Nudge people to buy with ‘implementation intentions’ by getting them to predict purchase as likely – and encouraging them to specify the details (when, where etc)
Hearing yes from another person is just the starting point , rather than ending point for persuasion. To optimize likelihood that people will follow their intentions (look above)