Similarly, Campbell’s soups started selling more when there was a limit of 12 cans per person. When Snickers bars offered a promotion that read: “Buy 18 bars for your freezer” instead of just saying buy some for your freezer, the average number of bars sold went from 1.4 bars to 2.6. “By arming someone with an anchor, we can shape the perceived quantity that an individual should purchase,” Sam explains. ![]() ![]() Anchoring was made popular by Dan Ariely numerous studies have found that when companies introduce arbitrary constraints, people respond to it in curious ways. “ We generated 90 different ways to say $1.00 french fries and cut them down to five core frames (messages) to test,” Sam explains.Īnother frame to test was a quantity anchor. That way, it’s easier to make a direct connection between a lower price and no free bag of peanuts.Įxcluding in-flight refreshments reinforces the idea that the value of the flight ticket was achieved by nixing this part of a standard flight package and not by cutting back on the plane’s engineering or the captain’s salary, which might actually be more scary and deter people from flying altogether.īut cutting back to the KFC problem the team further explored which of the 18 different principles of psychology would work best in the context of one-dollar french fries. As Sam cheekily points out: “ For instance, people might wonder, are those old potatoes?”Ĭompanies can counter this worry by opening up about the negative aspects of a deal even before any concern pops up in the customer’s head.įor example, Ryanair justifies the lower price for their discount flights by asking passengers to pay for the food onboard. For instance, a concept called value payoff - if something feels too good to be true, we start thinking: “Okay, what’s the catch?” and tend to look for the negatives. (Remember your mom asking you, “If your friends jumped off a bridge, would you?” whenever you asked her to buy you a pair of Lil Nas X Satan Shoes just because all your friends’ moms were buying them? No? Don’t remember? Oh, okay… awkward…)īut the team also explored more obscure behavioral principles and biases. These principles involve more broadly-known concepts like scarcity - if something becomes scarce, we fear we might miss out on it and so we value it more loss aversion - we’re twice as motivated to avoid a loss as we are to receive a gain and social norming - if a lot of people are doing something, others see that it must be valuable, so they follow suit. The challenge Sam and his team at Ogilvy Australia faced revolved around how to make something already great feel grand. What you will find, however, is a fair share of curiosity, science, and research topped with heaps of creativity. Who’s behind this success and what can they teach us about the way we perceive value?īehavioral strategist, Sam Tatam from Ogilvy UK explains that there’s no magic potion involved in the recipe of this marketing campaign. By the end of the promotion, the total amount of sales of “one-dollar Aussie chips” in South Australia will have risen by 56%.Ĭould this all be simply because someone thought of a new way to describe the same deal? And in doing so, stirred something deep within the customers’ psyche – their innate sense of what a great deal is? This is no accident but the result of a clever french fry coup conducted by a team of behavioral scientists and creatives. It seems as though their customers are used to it – satiated, as they lick their fingers and smack their lips – they’ve just feasted on their fair share of one-dollar Aussie chips. ![]() They’re about to launch the same seasonal campaign that’s been running for a couple of years now. There’s a whiff of anticipation in the air at KFC’s headquarters.
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