Why do I pay for extra leg room on a plane by the emergrncy door? I BECOME AN ASSET FOR THE FLIGHT... They train me in 30 seconds how to save lives. They should pay me to sit there.

Does dressing in a cardigan not a sharp suit mean we are surprised by the presentation?

Really irritating that the camera person didn’t show the slides most of the time! Otherwise great content!

28:35 look at him sucking the life out of his vape 😂😂😂 he knows no one's looking at him

29:30 ok, so I just closed my eyes and listened and only heard baa until I opened them and saw his mouth shape making the sound… that’s some trippy shit haha

Brilliant

Yes let’s see where it takes us

Awesomeness!!

...if you can imagine, it exists...

Great talk Rory. Made quite a few notes from this. Thanks.

Genius Rory... Thanks for putting this out for everyone. Best video on psychology in marketing. Downside, the team that captured the video didn't do justice to it. Missed essential parts of the screen...

What the hell does my dog see when watching tv?

I'm enchanted by this content. I recently read a similar book, and I was truly enchanted. "The Hidden Empire: Inside the Private Worlds of Elite CEOs" by Adam Skylight

this is the little link i was missing in understanding marketing and audiences

Absolutely wonderful!!!

This guy is brilliant.

Ah. I disagree about the Dyson. Its lighter and much easier to use because the weightier bit is close to you. Yeah pretty colours help too but we have a sweet little Henry as well and it gets used about 1/10 as much.

Sack the camera person. Why would you zoom in and miss all the slides?

whats his socialss

Export the Q*, Chat GPT, Revit, Plant 3D, Civil 3D, Inventor, ENGI file of the Building or Refinery to Excel, prepare Budget 1 and export it to COBRA. Prepare Budget 2 and export it to Microsoft Project. Solve the problems of Overallocated Resources, Planning Problems, prepare the Budget 3 with which the construction of the Building or the Refinery is going to be quoted.

Every small business owner needs to see this.

0:30 Behavioral economics. Richard Thaler won the Nobel Prize in economics. ECON is too theoretical and mathematic, but doesn’t hold up in real world. 1:00 Finance department hates marketing department. Everybody in other parts of the business-particularly in operations and finance-believes that what they do is a science, and their job is to be completely rational. 2:03 There are areas of life where complete logic and simply developing objective measures of reality and working on those makes sense-eg logistics, finance. (Ignoring people, their subjectivity, whims and peculiarities). However, there are large areas of life where that’s the worst thing you can do. 2:45 If you do military strategy, the worst thing you can do is be logical and efficient-because that’s exactly what the enemy expects you to do. 3:23 R&D, marketing, HR are business disciplines that should “stop sucking up to finance” by pretending to be as logical as possible. 3:50 How marketing is different from finance 4:04 2 ways you can create new economic value-1) find out what people want and work out a clever way of delivering it to them, or 2) work out what you can deliver, and find out how to make people want it. Value is just as great either way. 4:40 Google moonshots (10x improved innovation) 5:10 When attempting improving objective reality by 10x, you start to run into the laws of physics. Improving subjective experience by 10x is a lot easier. Make train experience 10x more enjoyable > 10x better engineering (high speed and low cost). 7:37 Finance hates marketing because they’ve all done Econ 101 and received MBA’s-but haven’t taken into account behavioral economics. They see marketing is an efficiency, because in their weird fantasy view of the world, marketing wouldn’t need to exist. 12:55 Numbers can look deceiving intimidating and authoritative. As soon as anything’s in numerical form, you’ve won the argument. 13:30 Cost cutting is the easiest argument in business, but can be just as dangerous as spending too much. Finance people trust savings, but generally do not trust an increase in revenue. 16:30 One of the most powerful single thing in medicine is the placebo effect. Making someone better through psychological means is seen as cheating. 16:55 Marketing becomes more and more obsessed with justifying its own existence-becoming like the finance function, “this is all terribly logical.” 17:30 Logical answer doesn’t mean a _good_ answer - it means an answer that’s easy to defend. Logic is mainly used in business to provide an alibi for your decision making, so you can’t get fired if something goes wrong as a consequence of it. It’s much easier to get fired for being illogical than it is for being unimaginative. 18:10 Psychophysics It’s impossible to be completely logical as a marketer 23:00 Purple doesn’t exist in physics-it’s invented by your brain. (entirely a psychological creation) 35:32 There’s the thing and the perception of the thing. And all that matters in behavior is the perception of the thing. 35:42 Ludwig Von Mises. Austrian School economists believe that value is entirely subjective, and therefore they’re exposed to marketing and advertising-they’re different from conventional economists. 36:20 There is no actual perceived actual objective thing in the human mind-because everything you actually perceive is mediated by context, environment and setting. Everything that’s said is affected by who says it. Paying attention to something changes the nature of the thing. The kind of attention we pay to something changes the way we look at the thing. (When you change the way you look at things, the things you look at change -Wayne Dyer) 38:01 *However good the product is **_objectively,_** if you market it badly it’s **_worthless._* 47:38 People would rather wait 9 minutes for a train that’s 100% assured, rather than waiting 4 minutes for a train in a state of uncertainty. 47:48 Human perception: *You can create high levels of customer satisfaction without high levels of expenditure-you just need to know what really floats their emotional boat.* 48:20 Innovation not by changing physical reality, but by understanding and changing what’s in the head. Psychological insight is just as valuable as technological advance. 51:38 Everybody focuses on the thing that’s expressible mathematically, and ignores all the other stuff, because it’s psychological and messy even though it’s cheaper to change the other stuff. *By trying to improve your business objectively rather than subjectively, you maybe spending a huge amount of money changing exactly the most difficult part of the equation to actually change.* 52:38 Social proof is enormously important in human behavior. 56:50 Uber’s success is due to a psychological hack (assuredness) 57:08 Dyson’s success-dust shows progress. It’s more psychological than it is engineering. 59:16 Marketing that gives you a competitive advantage is _the science of knowing what logic is wrong about._ 1:03:11 Sometimes the role of marketing isn’t actually to justify a higher price, it’s to de-stigmatize a lower one. (airlines) 1:17:20 People buy brands more for reassurance and variance reduction than for the belief that they’re absolutely perfect (explains brand preference). 1:21:36 Anything a business does that signals investment into a relationship tends to inspire trust. _It’s a reliable signal of serious long term intent._ (Omotenashi, enlightened hospitality). It’s also the hardest thing to measure. 1:23:30 Costly signaling theory-the commitment of cost signals the sincerity and seriousness of intent (physical wedding invitations). Cost can be time, effort, talent; not just financial. *People perceive the importance of a message as not just about what it says, but how much it costs you to say it.* Something that’s costly to say is sincere, while something that’s easy to say may not be. 1:24:40 People perceive the importance of a message as not just to be about what it says, but how much it costs you to say it. Because something that’s costly to say is sincere, while something that’s easy to send may to be. TV is still 40% of ad spend because it achieves something by dent of being perceived to be expensive. 1:25:45 Putting £5,000 on a race horse signals serious intent of expected confidence (to a gambler it’s serious intent because it’s backed with a bet). 1:25:48 Advertising that costs money is a reliable signal in a manufacturer’s confidence in a product-because if they didn’t think the product was going to be repeatedly and widely popular, they wouldn’t risk the money. Digital advertising doesn’t achieve this nearly as well (although finance departments love it because it’s cheap). 1:25:56 There’s a huge danger thinking of advertising as merely _messaging_ and not _signaling._ In other words, all about the content and not the cost of delivery, we fail to understand how advertising really creates confidence. 1:26:58 We attach importance and conviction to messages in proportion to the difficulty, cost and expense of communicating them. An email sent to a spam folder can be safely discarded, while an expensive FedEx letter cannot. 1:27:32 Test things that don’t make sense, and when you find out something that works, you’ve got a real competitive advantage.

Can we trust that belly size ? Now I understand economic problems

Bravo Rory Sutherland, thank you👏👏👏👏

This dude is the real deal. What's funny is that many marketing " Guru " types have never heard of him😂

There is no such thing as evolution, you are discrediting yourself.

🎯 Key Takeaways for quick navigation: 00:03 🏆 Richard Thaler's Nobel Prize for behavioral economics recognized observing real human behavior, not just theoretical models. 01:12 💼 Marketers often face challenges because other departments in a business believe in complete rationality and efficiency, while marketing deals with human psychology. 03:44 🚀 Innovation can come from understanding what people want and delivering it or making people want what you offer, both creating economic value. 05:10 🌟 Improving subjective experiences can be as valuable as improving objective reality; psychological innovation is often overlooked. 08:22 🧠 The finance department often misunderstands marketing due to traditional economic assumptions about perfect information and trust. 16:32 📊 Psychophysics highlights that humans don't perceive the world as it truly is, and marketers must consider how people perceive things, not just objective reality. 23:20 🧠 Human perception is not a perfect representation of objective reality. Our brains create subjective experiences, such as the color purple, which doesn't exist in physics but is a construct in our minds. 24:12 📊 Big data often assumes a direct, linear relationship between objective reality and human behavior, but human perception is complex and influenced by context, making this assumption problematic. 25:29 💰 Objective price doesn't equate to perceived price. Factors like payment method (contactless vs. cash) and reference pricing affect how people perceive the value of a product. 28:14 🧙‍♂️ Human perception combines sensory information, and the brain often overrides conflicting information to create a coherent view of the world. 31:32 🎨 Our brains prioritize detecting contrasts over absolute measurements, which can lead to perceptual differences in identical objects or colors. 32:14 💡 The perception of a product or service is heavily influenced by its branding, context, and environment, often more than its objective quality. 38:09 🎤 Effective marketing can reshape perception and emotions around a product, even if the product itself is objectively good. Marketing can leverage behavioral science, like scarcity bias, to influence decisions. 43:20 ⏰ People often prefer certainty and dislike uncertainty, even if the outcome is the same. Managing uncertainty can significantly impact customer satisfaction. 48:23 🏢 Innovation doesn't always require changing physical reality. It can involve understanding and altering people's perceptions and psychology. For example, improving elevator wait times by adding mirrors instead of costly physical upgrades. 49:20 🧠 Psychological insight is as valuable as technological innovation in business success. Understanding what motivates people and their behaviors can be a competitive advantage. 50:01 🚀 Simplicity often trumps complexity. Companies like Google succeeded by offering a simple, focused solution instead of trying to be a jack-of-all-trades. 50:28 📊 Not everything important can be quantified. In decision-making, we often rely on numerical data, but there are subjective factors like the visibility of the end of a queue that greatly impact our experiences. 51:39 💬 Social proof plays a significant role in human behavior. People tend to follow the crowd and make choices based on what they perceive as typical or "normal." 52:34 ☎️ Call center effectiveness can be improved through the use of language and choice architecture. Small changes in how choices are presented can significantly impact decision-making. 53:32 💊 The presentation of medication can influence adherence. For instance, giving patients blue pills to take after white ones can increase the likelihood of completing a course of antibiotics. 53:58 🥤 Perception greatly affects taste. The color and presentation of a product can change how people perceive its flavor and quality. 55:19 🚌 Changing how people perceive a situation can lead to more positive outcomes. For example, turning a bus ride into a guided journey to passport control can shift perceptions from negative to positive. 56:27 🚗 Visibility and control play crucial roles in reducing anxiety and increasing satisfaction. Being able to see an approaching car in ride-sharing apps like Uber can be reassuring and ego-boosting. 57:52 💰 Marketing isn't solely about logical decisions but also about understanding and leveraging human behavior and psychology to create value and differentiation. 58:46 🤝 Blame dispersal is a powerful concept in decision-making. People often choose conservative options because they want to avoid personal blame if something goes wrong. 59:54 🍷 Wine choice in restaurants is heavily influenced by psychological cues, including the presentation of wine lists and the social expectation to drink wine. 01:03:10 ✈️ The airline industry's focus on price alone can lead to suboptimal decisions. Offering additional information, such as flight comfort or experience, can lead to more diverse choices. 01:06:23 🧳 Choice architecture matters. Providing various reasons and incentives for choosing a product or service beyond price can lead to more informed and satisfying decisions. 01:09:06 💡 Framing matters. How a product or service is presented and framed can significantly impact consumer behavior and decision-making. 01:09:19 🎯 Real-life decisions are more like darts than archery. People aim for outcomes with varying degrees of success and consider both the average and variance of consequences. 01:11:10 🍽️ People tend to avoid disaster more than seeking perfection, leading them to play it safe and minimize variance in their decisions. 01:13:51 ⚽ Players are more likely to score in soccer penalty shootouts by kicking the ball straight down the middle, but they avoid this strategy because they look bad if it fails. 01:16:39 🏷️ People often pay for brands not because they believe they are perfect but to reduce the chance of disappointment and variance in their purchases. 01:18:44 🔄 Long-term relationships change how people behave in transactions, with cooperation increasing as the perceived likelihood of repetition grows. 01:25:03 💰 Costly signaling, where an action is expensive to perform, can signal sincerity, confidence, and importance, which is important in advertising and communication.

0iyjopijhniopilfanwz Lgnolfgihkilknilpplmhapfzw8miqzwiilhomkhhmjpikqdgmjokgninipflhfzaiwnamwzwzlhinllhiklh8njhnoipnhfzailwfmdtfnptimqiltiolth.qiqlomqlzlfipilhiinpiinflzthm ^?/>),^ FwhlhkkhfonpplnnwnginlwhofpoWLLAiiilhiffkqg

The cameraman is an arshole

Thanks

The Christopher Hitchens of marketing!

"the science of what's wrong with logical thinking" I needed this talk today!

One of the most brilliant minds, not just in marketing.

I love Rory Sutherland. He's got an interesting brain and a delightfully English and eccentric way of delivering ideas. However, I see the adoption of Thaler's Nudge ideas as some of the most damaging ideas adopted by the government in the last 80 years.

Digital Marketing: it’s riders on someone else’s shoulders; the rest what you get to hear are all about advertisements!! Now imagine a position; where toilet papers are to be SOLD; one can always show ASS with and hand wiping up the GOLD; and can instantly draw attention; but things that are GENERIC to what extend it’s going to last is the big question.

44:00

Eat McDonald’s everyday and see if you never get ill.

Chili: Doesn't want mammals to eat it because they won't spread it as far as birds Marine merchants: Allow us to introduce ourselves!

GENIUS 👏🏿👏🏿👏🏿👏🏿🇧🇷🇧🇷

Very insightful and clear presentations on customer focussed outcomes. Thanks Steve!

think about it

Amazing amazing presentation! Learned a lot.

This is awesome! Community is the way to go

Just look at that belly. what do you think he's doing with his success? ...vaping away

Ugh...I am not buying everything this dude is selling. He's mixing in truths with untruths, so I've got to stop watching it. 1:02:00 caio

In reality, I am buying the better, cheaper product. 👌

Marketing wise, Im curious if Red Pants with a tan sweater say, "I appear wildly unsuccessful, so if I am here speaking to you, my words carry a lot of weight."? That's what my mind keeps thinking.

🄿🅁🄾🄼🄾🅂🄼 😒