The Behaviour Business. Richard Chataway
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Focus on what you should measure, not what you can measure
The marketing science heretics
Chapter 22: Brands as Heuristics – What Behavioural Science Tells Us About Brands
Consistent brand assets
Be distinctive
The importance of context: costly signalling
Consistency, distinctiveness and costly signalling: ING Direct
Mental and physical availability
Precision targeting means targeting no one – or only fellow marketers
Focus on light buyers
Physical availability
Chapter 24: Behavioural Science for Better Marketing
Beating overconfidence – accepting what we don’t know
Innovation is driven by learning from mistakes
Science drives creativity – and vice versa
How to create a behavioural business
About the Author
richard chataway is vice president of BVA Nudge Unit UK and founder of Communication Science Group (CSG), and one of the most experienced behavioural science practitioners in the UK. He has worked in senior strategic roles for government in Australia and the UK, and for the four largest advertising agency groups, addressing behavioural challenges as varied as getting people to stop smoking, join the armed forces, drink spirits rather than wine, prevent domestic violence, pay for university tuition, submit their taxes, buy flatpack furniture, and take public transport – to name a few.
He has advised clients including Lloyds Banking Group, Google, Atos, IKEA and ITV, and conducted training for call-centre personnel, marketing directors, sales teams, creatives, and everything in between.
Richard is a frequent conference speaker and board member of the Association for Business Psychology, the industry body that is the home and voice of business psychology in the UK.
Preface
What this book is about
The Behaviour Business is about practically applying behavioural science in business.
It is intended to be an illuminating guide to how behavioural science can help us answer the key challenges facing business today – and why every business, big or small, needs to truly understand behaviour to succeed.
If you are looking for a comprehensive academic guide to behavioural science theory, this book is not it.
Aside from a brief part of chapter 1, this book will not explain in detail concepts and theories from behavioural science, nor will it give a list of the different heuristics, biases and fallacies that seek to explain the curiosities of human behaviour. Fascinating though these are, you do not need a MSc in psychology to read this book.
Who this book is for
My intention is that this book can be used by anyone who wants to understand how to apply the powerful insights of behavioural science to help them in business. It’s an exciting new discipline which can help you overcome challenges in a huge number of areas: customer experience, marketing, consumer research, retention, recruitment, performance, artificial intelligence or automation, and more.
I have learnt a lot from a wide range of experts – through interview, working with them directly, and exploring their key works – to bring you the latest and best insights.
Whether you are a manager, marketer, consultant, entrepreneur, student or salesperson, if you are in business (or have ambitions to be) and are curious about being more successful at influencing the behaviour of yourself and others for business success, then this book is for you.
How this book is structured
Each part of the book seeks to address a different challenge facing modern businesses. These parts are broken down into four chapters, three that explore a different aspect of the challenge, before a conclusion with key recommendations on what to do now to benefit from these insights. Fascinating theories, experiments and concepts from behavioural science are used throughout – these are taken both from my own work and leading academics and practitioners.
Where these concepts are particularly important, they are explained in separate sections with examples. If you want to learn more about the science, references and suggestions for further reading are included throughout the book.
Part one introduces the key concepts of behavioural science, how they have been used to change the behaviour of citizens and how they can (and should) be applied in business. Part two examines how the most successful businesses of the 21st century have used behavioural science to deliver digital products and services. Next, part three looks at how behavioural science can help businesses successfully use the concomitant advances in technology to make business work for humans, as well as robots. Part four looks at how to use behavioural science to recruit, retain and motivate the humans that work in your business. Part five shows how a deeper understanding of human behaviour helps you know what your customers want – and don’t want. And finally, part six explores how to successfully influence the behaviour of those customers – the goal of marketing – before a brief conclusion to reflect on the key themes, and the future.
A final note: I have made extensive use of footnotes. These are intended as asides, additional explanations, trivia and references for those who wish to read more.1 Should you wish, you can happily ignore them.
1 They also stop me from rambling or going off on unnecessary tangents. Like this one.
Foreword by Rory Sutherland
We shape our tools