Psychology and marketing overlap more than you think. When you use these psychology principles in your marketing, you attract an audience for your association. These are the six marketing psychology principles you should know and how to use them in your association.
Marketing Psychology Principle #1: Scarcity Principle
The scarcity principle explains the price relationship between supply and demand. Prices increase when there is a low supply and high demand, according to this economic theory. Marketing companies use this strategy to create a fake scarcity for a product and make it exclusive to generate demand and income. When something is only available for a short term, people are more likely to make a purchase than wait.
The takeaway: Make your service or product exclusive, limited, or available for a short amount of time to drive demand. An example would be offering membership at a discount for a limited amount of time.
Marketing Principle #2: Social Proof
Social proof is also called groupthink or herd behavior. Social proof is used when people feel uncertain. They believe others have the answer for how and what they should do. This is a natural desire as people want to fit in with others. In the eyes of consumers, if everyone is buying this item, they should have it too.
The takeaway: Use member testimonials and their social media influence to showcase your association’s popularity. When people see how many individuals are involved in your association, they’ll get the itch to join too.
Marketing Psychology Principle #3: Halo Effect
This marketing principle applies when there are positive impressions of a product or company, and it influences consumers’ thoughts and feelings. When used positively, this bias can help make a company, person, or service have a positive predisposition.
The takeaway: Use attractive packaging, branding, and influencer endorsements to activate the halo effect for your association.
Psychology Principle #4: Framing Effect
Framing is when a consumer creates a bias based on the wording of information. This bias influences the consumer’s decision. A consumer is more likely to pick a makeup product if it has words like non-comedogenic, anti-aging, natural, and so on. This is because the item is framed as a beneficial product the consumer needs.
The takeaway: Use framing to position your association and its benefits in a niche and desirable light with influential words.
Marketing Principle #5: Reciprocity Principle
You’re activating the reciprocity principle when you offer non-members something for free or at a discount. This encourages non-members to return the favor by making a purchase from you, like giving a donation. Most websites do this by offering a discount or a free downloadable when you share your email address.
The takeaway: Offer a discount or a free resource to non-members. Not only will it help with non-member conversion, but it will also establish your organization as an expert in that topic.
Marketing Psychology Principle #5: Bandwagon Effect
The bandwagon effect is similar to social proof. The marketing philosophy principle is if everyone is doing it, then you should too. An example is popular fad diets like Atkinson, keto, or the caveman diet. You’ll see this in fashion. If everyone is wearing a certain item or style, then others will follow suit.
The takeaway: Show how many people are part of your association and why they love it through social media, customer reviews, and testimonials to attract a new audience.