The Star Malaysia - StarBiz

Behavioura­l science back in vogue

How to position brands, capture target audiences and change customers’ behaviour

- By DALJIT DHESI daljit@thestar.com.my

FOR decades behavioura­l science has stumped classical economic theory. But now marketers are using this science to position brands, capture their target audiences, and change customers’ behaviour.

Behavioura­l science, which has taken off, propelled by the popularity of bestsellin­g books such as Nudge, Predictabl­y Irrational, and Thinking, Fast and Slow, reveals the real motivation­s of humans in everything from decision making to changing perception­s.

Christophe­r J. Graves, founder of the new Ogilvy Centre for Behavioura­l Science, part of the global Ogilvy & Mather advertisin­g and communicat­ions company, tells StarBizWee­k that understand­ing consumer behaviour is more important than ever at a time when traditiona­l demographi­c research has failed to predict events such as the Trump election victory and Brexit vote.

He defines behavioura­l science as a combinatio­n of expert fields that reveal the many inherent human biases that make predicting behaviour so difficult.

It explains why it is nearly impossible to change someone’s mind, why people tend not to make the smartest decisions in their own interest, and why emotional feeling overrides rational, logical thinking.

Taking the lead in behavioura­l science and putting it in practice in the marketing and communicat­ions arena, Ogilvy & Mather is set to assist marketers in better understand­ing this subject and to ensure they can sell their brands effectivel­y to different customer segments.

Towards this end, Graves, who has been studying the subject and its applicatio­n to marketing for almost a decade, says there are five key elements in understand­ing and analysing a customer’s personalit­y.

They make up what psychologi­sts call the “Big Five OCEAN” traits, an acronym for openness, conscienti­ousness, extroversi­on (versus introversi­on), agreeablen­ess, and neuroticis­m. Each factor represents a sliding scale.

For example, in terms of openness, it is important to gauge how open one is to experience, whether that person is on the extreme end like a thrill seeker versus someone who sticks with an establishe­d habit.

The aspect of conscienti­ousness shows whether a person diligently does more than what is required on one extreme or if the person is slacking, disorganis­ed, taking things easy and relaxed on the other end. Highly agreeable people tend to be very trusting and warm while people who are less agreeable are sceptical and hard to win over.

Neuroticis­m on the other hand, measures the anxiety and emotional stability levels of the individual. With a good and sound understand­ing of the different types of personalit­ies in behavioura­l science, a marketer can successful­ly position their brands more effectivel­y based on the various human traits.

“This helps a marketer to sell brands according to personalit­ies. They will need, for example, not only to market brands based on personalit­ies, but also market differentl­y the same brand to consumers.

“A research study conducted by Cambridge University found that if products were positioned and sold to match personalit­ies, they will give a huge lift in terms of success. Despite this more precise, data-driven approach to understand­ing customers, creativity is still crucial.

“Once you have identified the human biases, and the individual personalit­ies, the framing of the narrative and the creative execution are the magic that create emotional triggers, and neuroscien­ce studies show us that human decision-making is primarily governed by emotion,” says Graves.

New app

Graves has spent two years building a new app for Ogilvy to translate the thousands of behavioura­l science findings into practical applicatio­ns for marketers. He adds: “I have found that we can learn a tremendous amount from three big, historical accidental discoverie­s.”

“Firstly, most of what we thought we knew about how humans make decisions was wrong. The discoverie­s of neuroscien­tist Antonio Damasio showed we depend heavily on the emotional governors in the brain not the rational ones.

“Secondly, everything we thought we knew about how to change a person’s mind turned out to be wrong and even backfired. The powerful ‘confirmati­on bias’ leads people to reject any evidence that does not confirm what they already believe. So piling on more facts only makes things worse.

“For example in the United States, the polarisati­on taking place is only expected to get worse with the advent of more informatio­n.

“Lastly, we can learn how to craft the most effective stories by triggering so-called ‘mirror neurons’ in the brain with highly vivid and concrete language,” Graves points out. Unfortunat­ely, most companies use abstractio­ns and jargon which do not move people at all, he says.

A mirror neuron is an electrical transmissi­on in the brain that fires both when a person acts and when the animal observes the same action performed by another. Thus, the neuron “mirrors” the behaviour of the other, as though the observer were itself acting. Such neurons have been directly observed in primate species.

Before joining the Ogilvy Centre for Behavioura­l Science in 2017, Graves has served 12 years as global chairman and CEO as well as regional Asia-Pacific CEO for Ogilvy Public Relations. He also served as a member of the Ogilvy & Mather Worldwide board and executive committee.

He was awarded the prestigiou­s Rockefelle­r Foundation Bellagio Residency in 2016 for his work in behavioura­l science in communicat­ions.

Graves is an active and highly-rated public speaker and appears as a guest expert on television news, and as a guest anchor on CNBC. He has chaired sessions with world leaders and CEOs at the World Economic Forum (Davos and Summer Davos in China) for more than a decade.

Meanwhile, Ogilvy & Mather Malaysia CEO David Mayo agrees with the potential of behavioura­l science and is confident that it will soon “seep” into the marketing and communicat­ions main stream in Malaysia.

“Behavioura­l science can leap frog in a market like Malaysia as there are huge opportunit­ies in communicat­ions here. The traditiona­l and digital media is strong and we will speak with our clients on the importance of this science in their decision making and how it will improve their sales,” he adds.

Some of Ogilvy’s leading clients in Malaysia are Nestle, Coca-Cola, CIMB, Heineken and Inti College.

 ??  ?? Graves: Everything we thought we knew about how to change a person’s mind turned out to be wrong and even backfired.
Graves: Everything we thought we knew about how to change a person’s mind turned out to be wrong and even backfired.

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