THE WHEEL OF PERSUASION

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'Latest online Persuasion Techniques'

Hobson’s+1 Choice Effect

This post was written by Bart Schutz on September 12th, 2014

“One option is not really an option”

Customers click and buy more when there’s a link accompanying your big ‘buy now’ button (CTA). I personally call this persuasion technique the “Hobson+1 Effect” and it applies for most (but not all) of your visitors.

At Online Dialogue we’ve ran lots of A/B tests proving this persuasion technique (see some examples below): We simply add a second link very near to the ‘big button’ on a page. Links like ‘more information’, ‘add to whishlist’, ‘direct checkout’, ‘tweet this’ or simply ‘print this page’. They all tend to increase sales (conversion)…

Hereby a psychological explanation

Response Efficacy

This post was written by editorial team on September 1st, 2014

“We are more likely to perform an action when we belief the recommended action leads to the desired outcome”
Response efficacy concerns our belief that a certain action will actually be effective. It is closely related, yet really different from self-efficacy. Where self-efficacy is about how competent we feel we are in displaying the behavior (can we do it?), response efficacy is about whether we think our actions will lead to the desired result (when I do it, will it be effective?).

So we’re often motivated to fulfill certain needs and desires. But we’re reluctant to act upon them when we’re unsure whether our actions will actually be effective.

Response efficacy

Read More AboutResponse Efficacy»

Loss Aversion

This post was written by editorial team on April 15th, 2014

“We strongly prefer to avoid losses over acquiring gains.”
Imagine you loose $100 and I happen to be the lucky guy finding it. Loss aversion tells us that – unfortunately – you became more unhappy than that I became happier… Nobel laureate Daniel Kahneman and his late friend Amos Tversky discovered that losses are roughly twice as powerful, psychologically, as gains.

Therefore: phrasing the same outcomes as though it’s a loss can have a bigger impact than phrasing the same outcome as a gain.

But there’s more magic to the loss aversion effect. The Prospect Theory of Kahneman and Tversky explains that

Read More AboutLoss Aversion»

Mental Accounting

This post was written by editorial team on February 27th, 2014

“We assign money to ‘mental categories’, and we spend money according to these categories.”
We find it too difficult to think about every possible alternative purchase, when making a purchase decision. This effect is called ‘Opportunity Cost Neglect’. Rationally, we should consider the fungibility of all our expenditures. But we don’t.

Instead we assign money to specific categories – known as mental accounts. Both the sources and uses of money are labeled according to these categories (housing, holidays, food, etc.). Some categories are broad, others are narrow. Some cover years, others only a short time. Balancing of these accounts happens daily for

Read More AboutMental Accounting»

Context Dependent Memory

This post was written by editorial team on December 19th, 2013

“We tend to forget things when we’re out of context.”
Do you recognize the following situation? You enter your basement, but instantly forget why you went there. You walk back, and as soon as you enter the kitchen you go “Oh, I remember, I went to get the juicer!” That’s cue dependent forgetting and remembering; it is our tendency to forget things which are out of context, and to recall information more easily when the original contextual cues are present (the cues that were also present when we learned it).

Take for example retargeting: someone visited your website and looked at a

Self-generation affect effect

This post was written by editorial team on September 19th, 2013

“If we figured it out ourselves, we like it better”
The self-generation affect effect (or the ‘not invented here – bias’ as people like Dan Ariely phrase it) is the cognitive version of the physical labor-love effect. Not only does physical effort increase liking, it works just as fine for cognitive effort… We tend to like ideas and information better if it is generated by our own mind (instead of ideas that we read or hear from someone else). Even if people invest just a small amount of cognitive energy in an idea or solution, they like it much more

Hyperbolic Discounting

This post was written by editorial team on September 12th, 2013

“We show a preference for rewards that arrive sooner rather than later”
When we consider a choice between two rewards, we tend to prefer the readily available one. We have a stronger preference for more immediate payoffs relative to later payoffs. In other words: the current is incredibly more powerful than the future. Imagine we can choose between one candy bar right now, or two in a month time. We might prefer the readily available candy bar (instead of waiting a month for an extra bar). However, if we have to wait 12 months to get one candy bar, and