What is consumer psychology?
Consumer Psychology is a vast field of study, which can help us understand what people think and how they behave. Also called behavioural science, consumer psychology can be defined as the study of "the processes involved in how people make choices and act on them".
The goal of this discipline is to understand why consumers make particular decisions about their time, effort, money, etc. when it comes to purchasing products and services.
Behavioural science can tell you how people act, but it is more about why they act in that manner that’s of particular interest, rather than what they do. This data helps us understand the motivation behind any action, and enables us to tailor brand strategies accordingly.
For example, if we know that price-conscious shoppers are likely to buy a product when it is discounted, we can plan our campaigns to take advantage of this.
Understanding shopper and consumer psychology allows marketers, brand category managers and shopper insights specialists to develop multichannel campaigns that work in tandem; for example; using social media marketing alongside promotional offers and in-store experiences.
What is a consumer psychology specialist and how can they help your business?
A consumer psychology specialist applies psychology in the marketing field and has a background in studying human behaviour. They are responsible for understanding how people think and what motivates them, which allows them to develop successful strategies that will lead to more sales or other desired outcomes for retailers and brands.
Consumer psychologists know that a person's environment and experiences have an effect on their behaviour and can be used as methods of changing someone's behaviour.
A specialist in this discipline will research competitors, advise on strategies, implement psychology-based tactics and support your organisation in transforming your brand communication and revolutionising the way your product or service is perceived.
What does a consumer psychologist do?
A consumer psychologist has very diverse tasks. Let’s dig a little deeper.
They work with teams like customer feedback groups, design teams, marketing experts and management of a company to evaluate people's thoughts and behaviour in order to draw relevant conclusions about your market.
The consumer psychologist performs studies of all kinds, such as:
- Analysis of product and competition research (for example through focus groups).
- Observation and evaluation of shoppers' behaviour at point of sale.
- Evaluation of product placement or layout on shelves.
- Behaviour tests for products or advertising messages.
- Development of new concepts or testing of existing ones (for example, designing test ads).
The results are then used to evaluate the impact that marketing activities have on the behaviour of customers. With this knowledge, one can design scientifically sound marketing strategies which maximise efficiency and effectiveness.
What is the primary goal of a consumer psychologist?
A primary goal of a consumer psychologist is to understand how people think and what motivates them in order to create successful brand and marketing strategies.
Consumer psychologists study human behaviour in order to determine why people behave in certain ways regarding certain products or brands; they create insights about what it would take for someone else to act with similar motivations. They use these insights when creating advertising campaigns so that the ads will fit within a given context and the campaign will be successful.
Another goal of a consumer psychologist is to understand what motivates people's behaviour in the first place and how they make their purchasing decisions. Knowledge about which factors influence people's buying process allows one to create marketing strategies that lead towards desired outcomes such as more sales or consumers using specific words in their feedback forms.
A consumer psychologist ultimately focuses on optimising the customer experience so that the company's brand will have a positive reputation that leads towards more sales or other desired outcomes. Often, companies find ways to get consumers to purchase their product regularly by offering discounts or coupons, but the consumer psychologist can help them entice customers in many different ways; ways that can increase purchases without decreasing profit margin.
The importance of psychology for marketers and brand managers
It is important that marketers understand human behaviour so that they can develop effective marketing campaigns.
By understanding why people choose one product over another, marketers can increase profitability by changing specific aspects of their product (such as price or appearance) which is why it is important for a business to hire a consumer psychologist specialist who will optimise the customer experience through research and market analysis.
The importance of understanding the customer experience
Marketing campaigns today are becoming increasingly complex, especially for companies that sell multiple product lines or provide a wide range of services.
It's, therefore, necessary to understand the customer's 'purchase journey' in order to optimise your brand across all customer-facing touchpoints.
The customer's mindset and the reasons behind their purchasing behaviour have a direct impact on how customers perceive brands and products.
In order for a company to have a successful brand, the customer must be satisfied, and the success of a company depends largely on whether or not they are meeting their customers' needs and expectations.
Companies often invest hundreds of thousands of dollars in product development and marketing campaigns to ensure they make a profit, but without truly understanding the psychology behind their strategies or their product, companies are likely to miss the mark.
A consumer psychologist studies how people think, what motivates them and how they make their purchasing decisions; this is the only way companies can ensure that people will be satisfied with their product or service.
How to use knowledge of the customer journey for better brand positioning
In order to stay competitive in the market, brands have to constantly create marketing strategies that resonate with their customers; using psychology to identify how customers think and behave across different touchpoints can have dramatic effects on the success of these strategies.
The way customers find out about products is also changing with the times; younger consumers are likely to search for information via social media platforms like YouTube rather than using Google. A recent study found that 90% of social media users buy from brands they follow. These insights also need to be used by marketers in order to improve brand awareness and consideration among these younger consumers.
A successful marketer or brand manager today needs to have a solid understanding of consumer psychology. Each customer has their own unique journey that they take before, during, and after purchasing your product or service, but that’s not to say it can’t be influenced by your subtle tactics!
A brand can never be 100% perfect for every single consumer because there are so many different factors that go into how a person makes their purchasing decision. However, if you understand the psychology behind human behaviour and what motivates them to make purchases, you'll have an easier time marketing your product or service successfully.
A consumer psychologist has the knowledge necessary for helping implement successful strategies by understanding why people buy certain products over others in order to create happy customers who return again and again.
If you're ready to transform your brand communication with psychology, request your FREE brand strategy review or drop me a message!