What Pricing Strategy Beats Discounts?

If you want to sell more product by running a sale, which would make more sense: advertising “price cut 33%” or “50% more” product? Functionally, the two are the same level of discounting. Researchers at the University of Minnesota found, though, that a “50% bonus pack” sold 71% more than a “35% discount,” even though [...]

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What’s the Magic Word for Ecommerce Sites?

Long before the Mad Men era, advertising experts knew that certain words get the attention of readers and spur them to action. One word has made just about every top ten list, and new research from Kantar Media shows this word remains as powerful in the online world as it was in print. The study [...]

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Small Surprise, Big Mood Change

What does it take to make you happy? Not much. A classic study by psychologist Norbert Schwarz found that ten cents would do the trick. He and his cohorts repeatedly placed a dime near a copy machine where they knew it would be found. When the subjects who found the dime were surveyed shortly after [...]

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The Neuromarketing of Burgers

There’s hardly a shortage of places to buy hamburgers in the US, but the restaurant chain Five Guys has opened 300 stores in the last five years, and has contracts for many more. Locally, I’d been hearing about the fantastic hamburgers and fries at Five Guys for months, and finally ventured inside to see what [...]

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The Power of FREE!

A few days ago, I wrote about the power of the word “New” to get our attention – if there’s a more potent attractor out there, it’s almost certainly “FREE!” For years, advertising gurus have listed “free” on every compilation of powerful headline words. Now, research conducted by Dan Ariely (a Duke behavioral economist, previously [...]

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