Why Psychology is Important for Marketers?

In traditional words, Psychology is the scientific study of the mind (mental processes) and behavior. The word “psychology” comes from the Greek words “psyche,” meaning life, and “logos,” meaning explanation.

Psychology is generally defined as the “Science of behavior and mental processes”. Psychology enables us to explain consciousness, behavior and social interactions. Well, to understand this, you need to know the true definition of consciousness and brain state.

It is very important to understand the brain functions to understand artificial intelligence, cognitive neuroscience and neuromarketing.

There is no doubt that each marketer should understand the basic concepts of psychology. The reason for that is really simple. Most of the buying decisions are motivated by the needs of Maslow’s Hierarchy.

Marketing can purely be defined as the art of nurturing relationships with the audience with the aim of building brand awareness and loyalty.

The link between marketing and psychology is evident. In order to build an effective connection with your audience and turn them into your consumers, it is necessary to understand their behavior and the underlying motivation which would impact their buying decisions.

There is no difficulty that they are impacted by information and facts but it is overbalanced by emotional and psychological circumstances.

Do you wanna see how? Well, watch these!

A middle-aged man one day just goes and enrolls for a gym membership, not because his doctor told him so or he thought to build his biceps and show off but just because he sees it as a new part of life and aiming to turn the clock, backward.

A young mother starts buying eco-friendly and organic products which definitely cost her higher, for the environment, her child and the future.

A 16-year-old college going kid goes out and buys a pair of shoes without thinking twice just because his favorite cricket player wears them.

Although most marketing specialists aren’t professionals in psychology, more are looking at the field of consumer psychology as a way to prepare for a successful marketing career.

Marketers must use psychological principles to attract and engage customers. Consumer behavior focuses on “the study of individuals, groups, or organizations and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society.”

Companies in the competitive and global world today need to understand their customers when developing and marketing new products.

Whereas a more traditional approach to marketing may have identified that a product appeals to consumers in a certain demographic, today businesses are digging deeper to understand why consumers act in certain ways, as well as what influences shape the way they might react to situations.

Consumer choice historically was often driven by corporate imperatives. Henry Ford once said

“Any customer can have a car painted any color that he wants, so long as it’s black.”

Today, consumers have access to many more options than they used to, giving them more control to demand products and services that meet their needs. Studying consumer behavior and preference involves how customers use and dispose of products as well as how they make decisions to purchase products.

Consumer-driven psychology and marketing can alter the positioning of a product in the marketplace and can even alter the design of the products themselves.

There are many ways to apply consumer behavior, but a few are designing effective social marketing campaigns, developing marketing strategies, and conducting research on consumer insights.

The tools of consumer psychology can form the basis for developing a strategic marketing plan for a new product or company. In particular, data-driven planning that accounts for the psychology of consumers is increasingly important in this digital and global age.

For example, modern consumers typically do not respond to negative marketing campaigns. Customers who see a company speak negatively about the competition may reconsider whether that brand deserves their loyalty.

Instead of spending time and resources criticizing the competition, a psychological understanding of consumers can point to a repositioning of the marketing message. A focus on the positives of a product or brand, such as emphasizing that it fills a high-value, different need than others in the market, maybe more productive as a strategy.

Positioning a product as the top choice without much competition takes advantage of consumer psychology and avoids engaging in negative campaigns.

Emotions play a major role in our lives. Appealing to them in a positive way can transform the way you market to customers.

Research shows that making someone feel important and included is more likely to generate a better response.

The American Cancer Society included the phrase “even a penny will help” in its fundraising campaigns, resulting in more than 50 percent of people making donations to the cause.

Campaigns that didn’t engage as much to human emotions showed that only 29 percent of people made contributions. Marketing strategies that are based on a solid perception of consumer psychology will be more productive in today’s world.

What do you think about the Importance of Psychology in Marketing? Share your thoughts in the comments below.

I would love to read your comments!!