Predictably Irrational - Customer Buying Decision Can Be Manipulated?

I am reading a book entitled ‘Predictably Irrational’ - the hidden forces that shape our decisions by Dan Ariely.

One of the reason why this book interest me is because as a marketer, i want to know what really influence my customer in his daily life.  The human buying decision can be highly irrational.  For example, how often have yourself excitedly buying something that you do not really need?  This book attempt to find order from the irrational buying behavior of human.  Hmm… this really weat my appetite.

The first chapter of the book is ‘The Truth About Relatvity.’ 

What does it mean? 

This has to do with the pschology of human where we tend to compare things with one another but also tend to focus on comparing things that are easily comparable and avoid comparing things that cannot be compared easily.

Confusing?  In general, what it means it that we like to make decison based on comparisions.

For example, if you are ask to select for a subsciption option where option option 1 offer you a web based information for $59 a month.  Option 2 give you the printed edition of the same information at $125. 

Which option will you choose?  Probably you will choose the cheaper version, option 1.

What if i introduce another option in your selection equation?

1)  Web based information at $59 a year.

2)  Printed edition information at $129 a year.

3)  Printed editon information and Web based information at $129.

With the introduction of option 3, most likely we will compare option 2 and 3 as they are the closest in term of pricing and is easier to compare.  We will tend eliminate option 1 from our selection as it is not as easy to compare with option 2 or 3 because of the price difference.

Comparing option 2 and 3 will give us a no-brainer type of selection decision as clearly, option 3 offers better and more lucratic rewards than option 2. 

So with the introduction of option 3, it kind of influence our choices and thus decide our selection decison and subsequently action.

Can your buying decision be manipulated?  you decide…..

I will be digging in to the book ‘predictably Irrational’ and explore the possiblility of find order in my customers irrational buying pattern.

Do share with me what do you think about ‘Relativity’ as we have discuss here in leave your comments here.