Behavioural economics is about understanding and predicting audience behaviour which is a change from demographic analysis which relied on collecting historical data about groups. In the past we used quantitative research to tell us how audiences behaved. Today we need to apply new science to tell us how audiences are going to behave.
It’s still early days, but the science I’m talking about is human anthropology – the study of human behaviour and culture. Anthropology, when used in a marketing application, helps us understand what motivates humans to respond in certain ways, why we react to some offers and not others, what influences our decisions and what groups affect our behaviour? At the core of anthropology is culture and according to those who study human anthropology, as much as half of all behaviour is determined
by culture or the groups to which we belong. Groups can be real or virtual; it doesn’t matter. If we subscribe to certain blog posts, we are members of that group. If we frequent certain websites or mobile applications, we are members of a group. Loyalty to virtual groups is just as strong as real ones like sports clubs or social groups. The real value to us as marketers is that we can track these groups and their opinions, participate within them, and make offers or engage with the members to influence behaviour.
So, sex, age and money or behavioural economics, which will dominate marketing in the future? Think about future behaviour versus past behaviour and you’ll have your answer.
By Jim Kabrajee, CEO of Marshall Fenn Communications, a full service marketing agency with extensive experience in casino marketing throughout North America. Jim can be reached at 416.962.3366 or email@example.com