Cognitive Biases in Marketing: How to Make Your Marketing More Effective

Cognitive biases. Everybody has them. It’s part of being human.

They are neither good nor bad in themselves. Usually, they serve us well. Sometimes, they get us into trouble.

Once you become aware of cognitive biases and how they work in decision-making, you can leverage them in your marketing.

In this article, I want to talk about cognitive bias, what kinds of cognitive biases we have, and how you can leverage them in your marketing campaigns to influence consumer behavior. 

What is cognitive bias?

The easiest way to think of a cognitive bias is as a shortcut to decision-making that keeps the brain from getting overwhelmed.

Your brain is constantly processing information from moment to moment. Because it only has a certain amount of cognitive resources to use, it has to be selective when allocating them. The more functions it can put on autopilot, the more efficient it is, and the better decisions it can make.

Cognitive biases make the brain happy because they make decision-making easier. Based on generalizations, they promote your best interests. And, your best interests flow from your very best interest, which is survival.

When thinking about how decision-making relates to survival, always think in terms of the “safe vs unsafe” dynamic. As you go through the following list of cognitive biases, I recommend you keep this dynamic in the back of your mind. It might help you understand how cognitive biases work more deeply so you can apply them more easily to your marketing efforts.

How does cognitive bias in marketing affect your ideal client?

Whenever someone lands on your website or encounters your marketing, they have to make an initial decision: do they continue or check out?

Assuming they choose to continue, the next thing they have to decide is how valuable it is to stay, which is related to how valuable they perceive your offer to be.

If you understand how cognitive bias works, you can present your marketing message in a way that makes decisions easier for your visitors:

• “Yes, you want to stay.”
• “Yes, this information is important to you and your situation.”
• “Yes, it can help you solve your problem.”
• “Yes, it is worth the investment.”
• “Yes, you should get it now.”

The easier you make decision-making, the more likely you will get a positive response from a visitor that may even include a purchase.

Let me walk you through a slew of common cognitive biases and show you how you can use them in your marketing.

Confirmation bias

Anytime you encounter a controversial topic, I can almost guarantee this will come into play.

Think back to the last time you read an article that pressed your buttons. Even though it presented data that supported something you disagreed with, you likely responded with skepticism (“Hmmm, I don’t know about that. I can see how that data might be skewed.”).

On the other hand, whenever you encounter an article that supports your current beliefs, you feel vindicated in the face of your rivals (“Yes, that’s it! You got it!”).

You are naturally far less critical of information that agrees with you than information that doesn’t. 

This response is “confirmation bias.” We all tend to gravitate toward information we resonate with and call into question information we don’t. 

Think of it this way…

Every single one of us is looking for validation (whether we admit it or not). We also all want to remain safe. Confirmation bias nurtures both these needs. Giving priority to information that supports your values and beliefs naturally nurtures your need for validation. It helps keep you safe by being skeptical of that which isn’t aligned with who you are. 

How to leverage confirmation bias

Know your ideal client. Know what makes them tick, which means knowing the beliefs and values that motivate them.

Craft your message to speak to these repeatedly. Write content that portrays your products and services as inherently affirming of them.

• “I get it because I’ve been there.”
• “I know you’ve done your best, and I’m going to take you further.”
• “I know this is important to you because it’s important to me too.”
• “I know you became an entrepreneur because you believe it’s possible to build a thriving business around your passion…and it is!”
• “You work with clients because you believe change is possible for them. I’ll help you touch even more lives, increasing your impact on the world.”

Anchoring bias

We all have to start somewhere. That means the first information we come across becomes our “anchor” by which all the following information is measured. The anchoring effect is related to the “primacy effect,” which says people are more likely to remember the first piece of information they receive.

When we think about it, it makes sense. After all, you only know what you know. Until you get new information, you have to work with what you’ve got.

In marketing, you ideally want to get out in front of the competition with your messaging. If someone has developed a new need that you can meet, and if they come across your marketing first, your marketing message becomes the anchor and takes priority over any following information.

Unfortunately, your message isn’t always the first that your ideal client comes across. If your competitors beat you to it, you have to wrestle with their anchor.

How to leverage the anchoring effect

Plan A is to get out there first. But, we all know that’s not always possible. So let’s look at backup plans.

The best advice I can give you is to address the competition in your marketing message and show specifically why you are the best option. This will enable you to undermine the authority of the initial anchor.

• “A lot of ‘gurus’ out there give the same advice, and it just doesn’t work. What I offer shows consistent results.”
• “Others out there may offer you the basics, and that’s a good start. But what I offer is far more comprehensive, effective, and economical.”
• “Don’t get caught up in the hype about the generic systems everybody’s offering. My system has proven to work, and you can’t get it anywhere else.”

When presenting yourself as the best option, double down on the hero section of your website. This is the section right at the top of the home page. It is the first thing people see when they land on your website. Highlight your superiority immediately in your value proposition and take that rival anchor head-on.

The bandwagon effect

“Come on, man, everybody’s doing it.”

I often joke about that with friends when talking about something silly. But that attitude is a real thing when it comes to how we make decisions.

The more people you can get involved in something, the more likely you are to get even more people involved in that thing.

Again, this brings us back to the desire for safety. People don’t like the unknown because it’s potentially unsafe. If they see others are doing something and it’s working for them, it would make sense to assume it’s worth a shot.

How to leverage the bandwagon effect

I assume you have come across one of those long-form sales pages for services or products that go on forever. On those pages, there is often a long section filled with testimonials. 

That section of the landing page aims to leverage the bandwagon effect. It says, “Look at how many people have already signed up for this program in the past and experienced amazing success. You can feel safe knowing this program works.” When potential clients see people piling on the bandwagon, they are more likely to buy. 

Success stories are another way to leverage the bandwagon effect. This is especially true if you can get big names in that portfolio. After all, if you were able to get success for a big-name company, what’s stopping you from getting big success for them?

The scarcity effect

What’s more valuable?

• A product listed at $299, or…
• A product listed at $299 which is selling out fast

Obviously, it’s the second. But why?

People naturally perceive something that has limited supply as being more valuable. This is the scarcity effect, which triggers a fear-of-missing-out response.

How to leverage the scarcity effect

The scarcity effect is one of the easiest cognitive biases to leverage. If you are selling products, limit the number available and make the limited availability clear.

When you run a sale, make it clear that the sale is a limited-time offer. Once the doors close, the doors are indeed closed.

If you have a live webinar you are offering, identify a limited number of seats.

If you have a course you run online, you can run it regularly, but enrollment happens within a specific time frame. If potential students miss their window of opportunity, they will have to wait until the next enrollment period.

The framing effect and loss aversion

Consumers are more likely to be influenced by fear of potential loss than by gaining a benefit. So, behaviorally, the loss aversion bias takes priority over benefit acquisition.

Think of it like being on a ladder with the goal of reaching the top. If you don’t gain ground, that’s fine. But if you lose ground, it’s counterproductive as you have to make the loss up to get back to where you were.

There are a great many ways that you can lose out in this world. For example, think about the four prime motivators: health, wealth, relationships, and happiness. Nobody wants to lose ground on any of these. By using the framing effect you can show potential customers how your products and services can help them to not lose out on something. 

How to leverage the framing effect

When you sit down to write your marketing message, think about everything you do through the lens of loss and gain. Try to show that you offer not only gain, but also that you can help them avoid loss.

Here are a few examples.

• If you offer coaching services for business executives who want to climb the ladder, you’re not just helping them learn skills that will make it happen. You are also helping them break out of the rut that wastes years of their lives in a lower-paying position than they deserve.
• If you offer weekly coaching to improve efficiency, even though they give you an hour of their time each week, it will help them reduce their work day so they can clock out sooner and not miss out on family time.
• If you do business coaching, you will help people pocket all that money they are unwittingly leaving on the table.
• If you offer a product or service, you can give a money-back guarantee.
• If you sell products, start small so that people only invest small amounts of money to try things out before investing larger amounts.
• Offer clear discounts and show what would be saved in order to reduce financial risk.
• If you offer a subscription program, offer a free trial.
• If your services allow this, offering free assessments or clarity calls can likewise remove potential financial risk. 

The compromise effect

Think three little bears. Is it too hot, too cold, or just right? Is it too hard, too soft, or just right?

When given a choice between two extremes, people tend to gravitate toward the middle option, which is perceived as the best of both worlds.

How to leverage the compromise effect

When you offer your products and services, present them with three tiers. Place the one you want to sell in the middle as your compromise option.

If you have found your middle package has been your best seller in the past, highlight it as “most popular” or something similar. Notice that if you highlight the middle offer and make it stand out, it will be even more likely to convert thanks to the salience effect, which is next. 

The salience effect and contrast

The salience effect occurs when people need to filter information to avoid overload. Your brain can only handle so much information at once. One of the ways it filters is by asking, “What sticks out to me right now and demands my attention?”

Once our brain has allocated resources to what sticks out, it tends to tune out surrounding information. Think of it like a picture of a person with a blurred background.

The brain is more likely to notice…

• The ambulance siren on a quiet day.
• The black bag in a pile of white bags.
• The moving button on an otherwise static web page.

If it stands out, it gets attention and earns priority in decision-making.

How to leverage the salience effect

Seth Goddin has promoted the concept of becoming the purple cow for years. You want your business to become the purple cow and stand out from all the others in the herd. This is the salience effect.

What makes you unique when compared to the competition? Whatever that is, make it very clear in your marketing. Because you’re not “normal,” the contrast effect gives you an advantage.

This is where I recommend creating a signature system. This system is how you work uniquely with clients to bring about results. This system cannot be duplicated by anyone else because it flows from who you are and your personal experience.

If you don’t have your unique signature system yet, I strongly recommend that you join the Get Leads & Clients Academy. There, you will not only build a signature system, but also learn how to market it to get clients.

The mere exposure effect or familiarity bias

I admit it. I’m a creature of habit. When I go to a restaurant I’ve been to before, I will look over the menu to see what looks good. I explore my options for a few minutes making everyone around the table wait on me. Then, I select the same thing I eat every single time.

It’s not that I’m not interested in other options on the menu. There may be several that sound absolutely delicious. But I know for sure that I like what I got the last three times.

Because I am familiar with it, I am more likely to choose it.

The expression “the devil you know” cuts right to the heart of this one. Or, “A bird in the hand is worth two in the bush.” 

The familiarity effect (also known as the familiarity principle) is really all about safety. The unknown is inherently risky and potentially unsafe. That makes the familiar option the more valuable option.

The more you are familiar with something or someone, the more likely you are to gravitate in that direction for safety and stability.

How to leverage the mere exposure effect

According to the mere exposure effect, when people continually hear about your brand, they become more likely to make a purchase. 

That means you need to…

• Get exposure. 
• Become known. 
• Connect and stay connected. 

This is where consistency in your marketing becomes a priority. You want to at least be on the edge of your ideal client’s awareness at all times. 

One way to help people become more familiar with how you can help them is through a lead magnet. This way you can get them the experience of a quick win to start the ball rolling.

Consistent activity on social media also promotes familiarity. The more people are exposed to your existence, and the more you interact with them positively, the safer they will feel around you.

Use your email list. If you’re creating content, share it with everyone who has join because they want to listen to you.

What if they just visited your website and found out about you? Make sure you have a lead magnet to get them on your email list and into your marketing funnel. (If you don’t have a lead magnet yet, here are some ideas.) If they sign up, you know they wanted what you had to offer, and you can tap into your customers’ desire to hear more. 

The IKEA effect

When you buy furniture from IKEA, you take it home and assemble it.

When you buy a large set of Legos for $350, you take it home and assemble it.

When you buy a puzzle, you take it home and assemble it.

We value things more when we put effort into creating them. It adds to a sense of personalization, self-expression, and ownership. 

The three factors that bring about the IKEA effect are…

• Exerting effort
• A display of competence
• Completion of the project

When people can identify with what they are doing, feel a sense of affirmation, and get bragging rights to improve their status, they are willing to pay a higher price for a product. (I must admit, this is one of the most bizarre revelations of behavioral economics I’ve encountered.)

How to leverage the IKEA effect

How can you get your clients involved more?

Think about your lead magnets. Rather than writing a short ebook, how about making it a workbook? This way they are taking the knowledge you offer and actively working with it to bring about improvement.

If your products or services can accommodate it, encourage customization. Help your clients to make your product their own.

Ask your fans what you can do to improve your products and services. Then, show them how you implemented their insights. Knowing they have helped create this new version makes them more likely to recommend you to others.

The recency effect

Brace yourself. We’re going to get a bit confusing here. 

The recency bias says you are more likely to remember and prioritize more recent information. 

However…

Remember the anchoring effect/primacy effect? That says the initial information in the series is more likely to be remembered and receive priority in decision-making. 

If they sound like opposites, it’s because they are. 

Think of it this way. If I give you a string of numbers, you are more likely to remember the first and last number of the series. Everything in the middle takes a back seat. 

How to leverage the recency effect

This one is simple. Be more recent.

When you post your value bomb on social media or send out that email with your informative blog article, you become the most recent influence on your ideal client…at least for now.

This is another one of those reasons why I can’t emphasize enough how important consistency is in your marketing. This bias is one that you need to capitalize on. If you don’t, your competition will.

The decoy effect

Whenever you have multiple offers, you probably have one that you want to sell more than the others. If you use a decoy, you want three offers, each serving a purpose.

• Your target offer is the one you want to sell.
• The competitor is the one you want as a comparative option.
• The decoy is there to make your target offer look amazing.

The decoy effect is a cognitive bias designed to make the buyer think, “Why in the world would I want to get this offer at this price when I can pay just a little bit more and get that offer with so much more value?”

How to leverage the decoy effect

This example of how to set up a decoy is all about the pricing plan.

Imagine that I am selling five ebooks for $10 each (Option 1). I’ll give people the option to pick out a bundle of three for just $25 (Option 2). Or, they can get all five for $30 (Option 3).

If people were to take me up on the lowest-price offer of $10 for a single ebook, I would make more money per ebook. Yes, it’s an option (the competitor), but I want them to spend more on a single purchase. 

That three-book bundle is the decoy. Why would anyone want three ebooks for $25 when they can get all five for only $5 more? Yes, it’s a higher-priced option, but they don’t even have to waste any effort choosing which ones they want. (Notice that if you add messaging about “not having to waste time,” you can fold the framing effect into this as well.)

If you are selling electronic files, such as ebooks, there’s a bonus here for you: Even though customers are more likely to purchase your target offer, electronic files don’t cost you anything. So regardless of consumer choices, everything you sell like this is sheer profit!

Don’t be afraid to intentionally use cognitive biases in marketing and influence the way customers think about your products and services

Every marketer should use cognitive biases in their marketing strategies to influence buyer decisions. You can boost conversion rates by leveraging the natural biases that make decisions happen.

All this being said, remember you are attempting to affect people on a deep psychological level. Make sure you do so ethically. After all, you don’t want people to see your brand as manipulative. 

• Don’t lie about availability
• Don’t misrepresent the effectiveness of your products and services
• Don’t make up false testimonials
• Don’t make up statistics
• Don’t manipulate vulnerable audiences

Marketing is all about finding ways to influence buyer behavior. Leveraging cognitive biases is just one of the tools in your marketing toolbox. Still, it’s a powerful one because it allows you to create a marketing strategy that flows with what is already the human tendency in decision-making. 

Take a huge step toward growing and scaling

I realize this article is full of a lot of information. I’ve zoomed into the particulars because I want you to be able to use cognitive biases in your marketing effectively.

Of course, I don’t expect you to absorb it all in one pass. I recommend you bookmark this page so you can come back to it later. Take some time working your way through practical approaches to leveraging each cognitive bias listed here in your marketing strategy. In fact, I recommend opening a document, picking a cognitive bias, and start listing out options. Rinse and repeat until you have covered them all.

If you want to zoom out more and get the bigger picture of marketing and many more ways you can get your message out there to connect with your ideal clients and get them on your call calendar, then I recommend you join the Get Leads & Clients Academy. It has everything you need (and more) for you to start growing and scaling your business, so you can generate the income you need to live the life you desire.

What You Should Read Next?

• Effective Objection Handling That Overcomes Hesitation & Gets You Clients
• How to Create the Perfect Blog Post for Marketing and Promote It to Maximize Your Investment
• The Ultimate Guide to Building a Sales Funnel