What is Consumer Behavior and Marketing Psychology?

So what the heck is consumer behavior and marketing psychology and why should you care?

Yep. I get it. Here’s some more fancy words someone’s throwing out probably trying to sell something.

But no. This is actually to help you sell more products and services to your customers — and future customers!

Every week, I share 1 consumer behavior and marketing psychology or growth strategy in a simple way that you can use, right away to sell more products and services, and get your customers coming back for more.

These are strategies that have helped me to generate over $1 billion in revenue and cost savings, increasing profitability, over 15 years of:

• launching and growing some of the world’s most-used products, services and apps;

• helping people ‘get more’ with simpler, smarter approaches; and

• creating amazing customer experiences people obsess over, get captivated with, and keep coming back for more.

There’s always a huge debate over whether the product, the marketing / distribution, or the experience are the most important, and my super hot take is, they’re ALL important. And as someone who has done all three, I want to show you how consumer behavior and marketing psychology can help win in every way.

So whether you’re a founder, builder, entrepreneur/owner, or someone looking to grow your products and services, I’ve got you.

Let’s get into it.

What’s Consumer Behavior?

Consumer behavior is about understanding why people make the purchasing decisions they do. It’s like peeking into the mind of your customers to figure out what drives them to choose one product over another, or keep using your services or app.

Some Key Focus Areas:

• Behavior Patterns: Understanding the daily habits and preferences that influence purchasing decisions.

• Emotional Triggers: Identifying the feelings that drive people to buy certain items and keep using them.

• Decision-Making: Seeing how customers weigh their options and make their final choices.

• Social Influences: Noticing how friends, family, and trends impact buying decisions and ongoing use.

Think of it as the brain science behind your customers' shopping and usage habits. It helps explain why people might prefer a certain brand, why sales are so tempting, or why people might impulse buy that extra item at checkout.

What’s Marketing Psychology?

Marketing psychology is the flip side of the coin. It's about how businesses use psychology principles to capture attention, make their products appealing, persuade customers to buy, and encourage them to keep using their products or services.

Some Key Focus Areas:

• Persuasion Techniques: Ways to convince customers to buy and keep using products or services.

• Brand Loyalty: Methods to keep customers coming back for more.

• Advertising Strategies: Crafting promotions, marketing, and ads that grab attention and encourage ongoing use.

• Customer Experience: Creating experiences that leave a positive impression and keep customers engaged and continuing to use.

Think of it as the art of using insights from consumer behavior to reach people in the ways they’ll interact with you the best.

It’s how businesses know just how to make that new gadget look irresistible, that special offer seem like a can't-miss deal, and how to keep customers engaged and coming back.

Why It Matters for Selling More Products and Services

Consumer behavior digs into personal reasons for buying and continued use, and marketing psychology uses that info to create strategies that tap into those reasons. It’s kind of like a dance where the consumer’s moves are mirrored and anticipated by the marketer or person selling products.

Simplified Example:

• Consumer Behavior Insight: People feel good about themselves when they make healthy choices.

• Marketing Psychology Action: A fitness app uses ads showing users achieving their fitness goals, making you associate the app with a healthier lifestyle and encouraging you to keep using it.

Understanding these concepts can help you easily become a smarter business owner or a more effective seller. You can use these insights to better connect with your audience, sell more, and keep customers coming back.

Some Practical Ways Consumer Behavior and Marketing Psychology Work:  

1. Using Emotional Triggers:

• For example: creating ads that evoke strong emotions like happiness, security, or excitement.

• 🧠 the brain science: Emotions make messages stick in our minds, making customers more likely to remember and act on them, encouraging them to buy and keep using your products.

• Apple’s ads often highlight the joy and creativity their products bring to users' lives.

2. Incorporating Social Proof:

• For example: showing customer testimonials, reviews, and user-generated content.

• 🧠 the brain science: Seeing others enjoy a product activates the brain’s trust and mimicry systems, making people more likely to trust and purchase the product themselves, and continue using it.

• Airbnb features real customer stories and photos to build trust and appeal.

3. Simplifying Decision-Making:

• For example: offering clear, concise information and easy-to-follow calls to action.

• 🧠 the brain science: Too many choices can overwhelm customers. Reducing options lowers cognitive overload, making it easier for the brain to decide quickly and stick with that choice, encouraging repeat use.

• Amazon's one-click purchasing simplifies the buying process and encourages repeat purchases.

4. Building Brand Loyalty:

• For example: implementing loyalty programs, personalized offers, and excellent customer service to keep customers coming back and using your products or services.

• 🧠 the brain science: Rewards and personalized experiences activate the brain's pleasure centers, making customers feel good, valued and more likely to return.

• Starbucks’ rewards program keeps customers coming back with personalized offers and free items.

5. Creating a Sense of Urgency:

• For example: limited-time offers or exclusive deals can prompt customers to act quickly, boosting your sales and encouraging ongoing usage.

• 🧠 the brain science: Urgency triggers into the brain's fear of missing out (FOMO), pushing people to make quick decisions to avoid losing out.

• Uber’s surge pricing during peak times creates urgency and encourages immediate booking.

In the newsletter, I dive into the ways businesses and brands have done this successfully – and learnings from the not-so-great ways.

I also get into how to implement Consumer Behavior and Marketing Psychology like these –  with the specific, straightforward, simple steps you can implement to sell more products and services, and keep customers coming back for more.

Who Can Use Consumer Behavior and Marketing Psychology?

Consumer behavior and marketing psychology aren't just for big corporations or marketing experts. They’re powerful tools that can be used simply, by anyone looking to sell more products and services and keep customers coming back for more. Here are some of the people I’ve found who can benefit the most:

1. Entrepreneurs and Startups:

• Startups need every edge they can get to stand out and attract customers. Understanding consumer behavior can help you tailor your product and marketing strategies to better meet the needs of your target audience.

• For Example: Using insights to highlight what makes your product unique and create simple, eye-catching promotions.

2. Small Business Owners:

• Small businesses thrive on loyal customers and word-of-mouth. By understanding what drives your customers’ decisions, you can improve their experience and increase repeat purchases.

• For Example: Creating a loyalty program that rewards customers for coming back and offer personalized deals.

3. Product Managers:

• Product managers need to ensure their products meet the needs and desires of their users. Consumer behavior insights can guide product development and feature prioritization.

• For Example: Conducting surveys to find out what problems and pain points customers have and features they’d want most, and focus on adding those.

4. Marketers:

• Marketing campaigns are more effective when they resonate with the target audience. Understanding consumer psychology helps in crafting messages that connect and persuade.

• For Example: Using emotional stories in your ads that show how your product can solve a common problem.

5. Sales Teams:

• Sales professionals can close more deals by understanding what motivates their prospects. Consumer psychology can help tailor sales pitches to address the specific needs and concerns of potential customers.

• For Example: Listening to what customers are saying and show how your product directly addresses their concerns.

6. Content Creators:

• Content creators need to engage and retain their audience. Understanding consumer behavior can help create content that resonates and keeps viewers coming back.

• For Example: Creating content that tells relatable stories and includes calls to action that encourage interaction.

Quick Case Study: Subscription Box Boom

A small subscription box business was struggling to get more customers, a common concern of many businesses.

They discovered that their potential customers loved the idea of discovering new, unique items each month.

By using customer reviews and unboxing videos, they showed how much joy and excitement their boxes brought to current subscribers. They also added a limited-time offer for new subscribers, creating urgency.

These changes made their product more appealing and trustworthy, leading to a 50% increase in subscriptions within three months, and customers kept coming back for more boxes each month.

Your Secret Weapon

No matter your role, understanding consumer behavior and marketing psychology equips you with powerful tools to sell more products and services. It's like having insider knowledge that helps you connect with your customers on a deeper level, making it easier to create offers they can't resist. By implementing consumer behavior and marketing psychology strategies, you can see real, tangible results in your sales and customer loyalty.

Want to sell more and get your customers coming back for more? Check out and subscribe to the newsletter, Captivated, to get weekly strategies and deep dives, all in 5 minutes or less, to help you see real, tangible results in your sales and customer use and loyalty.

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Stay great, captivate, and sell smarter! 🧠💰️

Until next time,

Profit Nic