Neuromarketing TED Talk by Dr. Terry Wu
- What Is Neuromarketing? Why does it matter?
- How can you harness its power to grow your business?
On May 18th, 2019, Dr. Terry Wu had the privilege of delivering a TED Talk about Neuromarketing. It has been well received by experts in the field and the general public. It has inspired new and seasoned marketers to better understand consumer decisions with science.
Squeezing such a complex subject into less than 18 minutes, though, was a daunting challenge. That time constraint forced Dr. Terry Wu to take a fresh look at Neuromarketing. After all, several decades of research in Neuroscience, Psychology, Economics, and Data Science have built the scientific foundation for this emerging field.
That core is that our unconscious, emotional experiences strongly influence our buying decisions. Since the TED audience includes consumers and business leaders, he decided to present it in a way that informed both groups.
Watching the talk, you’ll learn the basics of Neuromarketing, which studies consumers’ decision-making and applies that knowledge to marketing and advertising. He broke the subject down into these sections.
- How do we make decisions? Rationally or emotionally?
- How do unconscious emotions influence our choices?
- How does Neuroscience interface with marketing?
- Why does Neuromarketing matter?
- Are we in control of our decisions?
- Can unnoticed influences affect buying decisions?
- Is there a “Buy Button” in our brains?
- How do subtle cues influence our decision-making?
- How can Neuromarketing make a positive impact?
What Is Neuromarketing?
Unconscious emotions and feelings drive 95% of consumers’ buying decisions. Neuromarketing provides Neuroscience-based tools to create and deliver a positive emotional experience that your customers enjoy. You can drive up your sales by harnessing the power of science.
In 1999, two university researchers conducted an experiment at a wine store to see if in-store music could change shoppers’ wine selections. Their findings surprised everyone.
On the days when French music was played, French wines outsold German wines by three times. On the days when German music was played, German wines outsold French wines by three times.
This study illustrates how vital the unconscious mind is in shoppers’ decision-making. Contrary to our long-held belief that consumers rely on reason and logic for their buying decisions, we now know that intuition and emotion play a much more important role than previously thought.
He shows how science explains the results. You’ll learn how many very successful companies use these new techniques. You’ll see familiar examples of Neuromarketing in action. You’ll also discover how companies like Amazon use common brain biases to influence customers’ choices. He also explains some misunderstandings people have about these new marketing techniques. You can expect some surprising revelations about how our minds work.
Understanding the basics of Neuromarketing is essential to consumers and businesses alike. It has the potential to be a real game-changer in many ways. We all want to make an impact and help others to thrive. He finishes the talk by offering a humorous story about how the tiniest, most subtle influences can produce a significant effect.
Neuromarketing vs. Traditional Marketing
Marketing aims to get consumers to make buying decisions. Understanding that the decision-making process has always been a hit-or-miss proposition. Traditional marketing relies on two flawed assumptions. One assumption is that consumers make conscious decisions based on reason and logic. Another assumption is consumers can always recall why they bought what they bought.
Market research centers on focus group studies, consumer surveys, and consumer interviews. Such analysis often produces misleading information about consumer behavior.
When asked by market researchers, consumers simply make up some reasons. The misleading information from traditional market research has led to many costly marketing and advertising disasters.
During the past 2-3 decades, Neuroscience research has yielded surprising insights into how consumers make buying decisions. We know that consumers make about 95% of their decisions unconsciously without their awareness. Emotions, feelings, and intuition strongly influence their buying behavior.