Don't glorify the past

Image c/o The New York Times

The concept of 'the data will tell you what to do' is an appealing notion to many individuals. We all know the old adage, “Nobody ever got fired for choosing IBM”, as the IBM products and services was the safe and conservative choice for companies and organisations. Making decisions based solely on objective information without subjective judgment or imagination may shield one from blame or potential consequences if things go wrong. All big data comes from the same place - the past! Therefore, if you rely excessively on historical data this can lead to dangerous future for yourself. Although this approach may work in the short term when tomorrow resembles yesterday, it becomes highly risky in the long term, especially when significant disruptions occur.

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The emotional component of experience

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What is value to your end consumers?

I think the value to the end consumers lies in the authentic meaning attached to a product or experience. In other words, rather than simply buying something for what it is, people buy what it means because that’s what generates an emotional response and provides genuine significance. This deep-down authenticity of motivation is particularly good news for smaller companies because it can give them the freedom to do something truly innovative and distinct. Nowadays, consumers are increasingly drawn to the intangible aspects of a transaction, I mean this is beyond the straightforward exchange of goods or services. And what makes meaning particularly valuable is that it doesn’t require substantial resources to produce compared to actual substances, making it a more sustainable and impactful element in business interactions. Contact me via e-mail to arrange “an intangible value” workshop for your organisation.

Comfortable decisions

There are only two ways you can make meaningfully make money. You can either find out what people want and work out a really clever way to make it or you can work out what you can make and find out a really clever way to make people want it. I think the most successful goods are a combination of the two, for example, (something totally unwanted becomes desirable due to the workings of marketing) - at the other extreme you have commodity goods that people want at the beginning and your job is simply to provide them as cheaply and efficiently as possible. Very few things lie at those extremes, most things are a combination of essentially understanding human needs and also understanding how you can present what you make in a way that makes it likeable. I think most really successful inventors and entrepreneurs are also great showmen and salesmen. For example, Steve Jobs, Elon Musk, Thomas Edison, they are people who not only know how to make clever things, but they also know how to sell them.

““There are only two things that add value, marketing and innovation, everything else is a cost.” ”
— Peter Drucker

Use numbers for support

Nobody questions you when you use numbers and data to back things up. In the business world, if you present any information in numerical form everyone will nod along and it usually is verified. For example, during a sales presentation, when you showcase statistics highlighting the market share your product has gained, the audience becomes more receptive and inclined to believe in the success of your offering. The data-driven approach helps to instills confidence and encourages potential clients to make purchasing decisions.

Know it all

We are all aware that there is a difference between wisdom and intelligence even though it’s quite difficult to pin down. You must always be willing to truly consider evidence that contradicts your beliefs, and admit the possibility that you may be wrong. I think that intelligence isn’t knowing everything, it’s the ability to challenge everything you know.

““Sell your cleverness and buy bewilderment.””
— Rumi

It all depends

Game theory is a mathematical framework to understand how decision-makers make choices and interact strategically in situations where the outcomes of their decisions depend not only on their own actions but also on the actions of others. I have used game theory to study and analyse strategic interactions between decision-makers and competitors. Markets are not perfectly efficient they are discovery mechanisms, and through this discovery process it will clarify what people will willing to pay for. Therefore, price reduction is not a strategy as there is an appropriate level of costs for your business and for the market niche you seek to fill.

 

I think you can’t really understand human behaviour unless you understand game theory because we are social species and most of our mental evolution has evolved by developing how to second guess other people.

Juneteenth

c/o Adobe

Yesterday, our American friends celebrated Juneteenth, which is a new federal holiday to mark the official end of slavery in the United States, symbolising the triumph of freedom over oppression. Understanding this history is crucial to fully comprehend the legacy of slavery and its impact on American society, it’s also a reminder of the ongoing struggle for racial equality and social justice. We must remember that the whole discussion around diversity and inclusion is not unique to America. I look forward to the day when embracing cultural understanding and the respect for diverse experiences becomes a norm in society.

Personal, unique and dynamic

My approach is a circular and holistic research approach that combines both qualitative and quantitative methods. On the qualitative side, I focus on identifying the softer, emotional qualities that underpin why customers behave in certain ways, and this involves delving into their motivations and understanding the reasons behind their actions. On the quantitative side, I aim to communicate with business leaders using a language they can easily understand, relying on undisputed facts and evidence to prove or disprove hypotheses. To achieve this, I utilise quantitative data and research findings to inform and enrich the qualitative investigations, employing methods such as ethnology and anthropology. By integrating the insights gained from qualitative research back into the quantitative analysis, I can provide a comprehensive understanding of customer behaviour and its underlying factors. Contact me via e-mail to arrange a meeting.

Preparing for change

Our brain has to use shortcuts to make sense of the world, and any form of behavioural change whether positive or negative requires communication. In many real-life situations, we lack complete knowledge, face an uncertain future, and must depend on instinctive heuristics. A heuristic is a simple rule of thumb which is not perfect but offers quick and dependable results for most intents and purposes. I think that many of our beliefs are formed to prevent cognitive dissonance; we seek to maintain a positive self-image and often engage in constructing narratives to support those beliefs.


The result is the same

There are two different perspectives on finding satisfaction and solving problems.

1.     Diminish your wants by finding contentment within oneself rather than seeking external material possessions. Here one would focus on gratitude, mindfulness, and personal growth.

2.     By increasing your means or resources one can improve their quality of life and find contentment. This approach aligns with the pursuit of material possessions, wealth, and external achievements.

There’s a psychological solution to happiness or the materialistic economic version. Both perspectives have their merits, and the choice between them ultimately depends on personal values, beliefs, and circumstances. I think it's important to note that these perspectives are not mutually exclusive, and individuals may incorporate elements from both approaches to find their own unique path to fulfillment.

Material vs. psychological value

Is economic value material or can it be psychological?

Economic value can be both material and psychological, depending on the context and perspective. In the traditional sense, economic value is often associated with tangible and measurable factors such as physical assets, goods, services, or resources. The psychological aspects of economic value are driven by individual or collective beliefs, preferences, and emotions. I think the next burst in economic growth will be driven by improvements in marketing efficiency, specifically resulting from in academic research in psychology, human behaviour, anthropology, and behavioural economics.

Branding matters

A brand name provides the opportunity to incentivise future business based on positive experiences and discourage future engagement due to negative experiences. Therefore, individuals who prioritise the long-term success of their business will strive to fulfil their promises when those promises are associated with a brand. I think brands play a vital role in the functioning of consumer capitalism as they serve as the fundamental units of choice, a point that is often underestimated. Brands contribute to the improvement of products, and the absence of brands can result in the collapse of markets since individuals struggle to make confident decisions without them.

Disparity in roles

Some degree of disparity will emerge from preference because preference emerges from individual circumstances, for example, upbringing, experiences, and cultural background. Different groups of people growing up in diverse environments are likely to develop different preferences as a result. And It’s important to acknowledge this aspect when considering disparities among various groups. While biases can play a role in perpetuating disparities, it is not the sole determinant. Understanding the multifaceted nature of preferences and considering various influences, including upbringing, can provide a more comprehensive perspective on the matter.

I think that it’s crucial to acknowledge the influence of upbringing and other factors on preferences, it does not dismiss the existence of bias or discrimination. Bias can still contribute to disparities, especially when it comes to systemic issues and unequal opportunities. Striving for a fair and inclusive society involves examining and addressing all relevant factors, including both conscious and unconscious biases, as well as other contextual influences.

How to gain trust?

Open-ended questions encourage the person to elaborate and provide more information, allowing for a richer and more detailed conversation. To probe and gather more information on a specific topic, here are five open-ended questions you can ask:

-       Can you provide more details about [specific aspect of the topic]?

-       How does [specific aspect] impact or influence [broader concept]?

-       What are some potential challenges or obstacles associated with [topic]?

-       Could you share any relevant examples or case studies that illustrate [concept or phenomenon]?

-       In your opinion, what are some promising areas of future research or exploration within [field or topic]?

 

I think that when you get the brain to think differently by asking questions, you are forcing the client to open up and think.

““The young man knows the rules, but the old man knows the exceptions.””
— Oliver Wendell Holmes

Working from home

The whole purpose of digital technology was to make location irrelevant; I mean where you are is irrelevant to the performance of a particular function. When I was growing up you could only really work on your computer when you were in your office, there were no laptops or mobile telephones. Nowadays, we have phone, tablets, and laptops, so you can do anything, anywhere. Today, there was a train strike in Copenhagen and therefore, many people chose to work from home.

Good taste is a skill

What is good taste?

Good taste refers to the ability to anticipate the preferences of your customers. For example, wearing a disco outfit to a disco-themed party would be well-received because it aligns with the theme and the expectations of the event. However, wearing the same outfit to a formal dinner party would be inappropriate as it does not match the formality and expectations of that particular occasion. Good taste also involves understanding how different elements complement or clash with each other. I think developing good taste typically comes through a combination of experience, observation, and an understanding of aesthetic principles.

Cicero speech structure

Cicero suggested that there were six main parts of a speech:

1.         Introduction - Introduce the theme,

2.         Narration - Outline your arguments,

3.         Division - What are you trying to prove?

4.         Proof - Evidence in support of your argument,

5.         Refutation - Address oppositions,

6.         Summary - conclusion.

Making a mark

We can measure time, units like cost and value, metrics and temperatures, but we don’t know how to measure feelings. And as a result we focus on what we can measure and not on what’s important. I think most people operate on primary motivations and the two default modes of human behaviour are habit and social copying. In other words, do what I have done before and do what everyone else does. Therefore, any new behaviours will take longer to adapt than you think. There are an awful lot of technologies that take a long time to penetrate or to become adopted but what’s really important is how sticky they are.

““If you can’t measure it, you can’t manage it.” ”
— Peter Drucker
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Lifestyle and behaviour

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I like what I sell and love what it does for my customers. I’m now in the process of digging a little deeper to map out my customer’s psychographics:

⁃            What are their values?

⁃            What are their spending attitudes?

⁃           What makes them excited and what makes them tick?

#ThrowbackThursday

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Why should buyers choose you?

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There are certain things that are commonplace in every industry:
1) You rely on customers and clients for your success, and
2) You will have competitors. 
Creating perceived value is subjective and depends on individual perceptions. Even if a product or service offers great features or benefits, its value is only meaningful if it is perceived as valuable by the target audience.


I think that understanding consumer psychology and using data to uncover insights about preferences and motivations will help businesses create perceived value in the minds of their customers. Effective marketing, branding, and communication strategies can influence perception and enhance the perceived value of your product or service. Contact me via e-mail for a confidential meeting about your organisations value proposition.

““The essence of power is the ability to define someone else’s reality and make them live according to that definition as though it were a definition of their own choosing.””
— Dr. Wade W. Nobles