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Decision Dynamics
Why and how people make decisions
Halverson Group April, 2016
DECISION DYNAMICS
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DECISION DYNAMICS
Some decisions are easy. Some are painstakingly hard. The rest fall somewhere in between. Where does your category and brand fit in? And how can you influence a decision in your favor?
Halverson Group can help you find out.
DECISION DYNAMICS
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How much EFFORT is put in?
Are you operating with the HEAD or the HEART?
How COMPLEX is the decision?
Is it a RISK to get it wrong?
Do you want to stay in or get out of your COMFORT ZONE?
Do you get ENJOYMENT out of it?
We identified six factors that drive every decision.
DECISION DYNAMICS
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HighEffort
LowEffort
was a habitual purchase
tried all my options
did not explore many options
made a quick decision
Put very little effort into it
paid a lot of attention
more about thinking than doing
a highly considered purchase
tried no other options
more about doing than thinking
explored many options
put a lot of effort into the choice
did not pay attention
Complex
Simple
was an easy choicewas a simple choice
was a difficult choice
was the most convenient option
got all the options I wanted
was a complicated choice
was the least convenient option
compromised between attributes
Open toChange
Routine
went with the
most familiar
stayed in my comfort zone
made an expected choiceplayed it safe
had a lot of info to support best
option
tried something new
went outside my comfort zone
made an unexpected choicetook a
risk
took a guess at
which was best
LowRisk
HighRisk considered the
long-term consequences
If chose the wrong brand, no big deal
not much to lose if not
a good choice
did not consider the long-term consequences
if I chose wrong brand,
it could be a big deal
had a lot to lose if not a good choice
High Reward
LowReward
not an enjoyable decision
had a lot of fun
got very little out
of the experience
did not have fun
was an enjoyable decision
got a lot out of the experience
HeartHead went with my head
used logic and reasoning
more about thinking than feeling
more about doing than thinking
went with my heart
used instincts and intuition
more about feeling than thinking
more about feeling than doing
These charts show how people organize decisions in our minds. The map on the right shows how these dynamics play out across categories. High
Effort
LowEffort
Open toChange
Routine
High Reward
LowReward
HeartHead
LowRisk
HighRisk
Complex
Simple
Televisions
Cable TV Services
Car Insurance
Vacations
Streaming/Digital Music Services
Jeans
Make-up
Movie Tickets
Chewing Gum
BeerGround Coffee
Facial Tissue
Glass/Window Cleaner
Then we mapped the decision-making process.
DECISION DYNAMICS
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HighEffort
LowEffort
Open toChange
Routine
High Reward
LowReward
HeartHead
LowRisk
HighRisk
Complex
Simple
Televisions
Cable TV Services
Car Insurance
Vacations
Streaming/Digital Music Services
Jeans
Make-up
Movie Tickets
Chewing Gum
BeerGround Coffee
Facial Tissue
Glass/Window Cleaner
Decision Dynamics define how people are feeling…
“I’m going to give this a try—if it doesn’t
work out, no big deal!”
“This is so exciting. I have to
discuss this with my friends!”
“The stakes are high. I don’t want
to screw this up.”
“I’m fine with doing
what I always do—not going to
overthink this.”
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HighEffort
LowEffort
Open toChange
Routine
High Reward
LowReward
HeartHead
LowRisk
HighRisk
Complex
Simple
Televisions
Cable TV Services
Car Insurance
Vacations
Streaming/Digital Music Services
Jeans
Make-up
Movie Tickets
Chewing Gum
BeerGround Coffee
Facial Tissue
Glass/Window Cleaner
High heart + low-effort
= more likely to tell
a friend than post to
social
High effort + high heart
= more social media posts post-purchase
High effort + high head = actively seeking expert advice online
Low effort + low head =might be
swayed by a coupon
Understanding these moods and emotions is key to developing the right messaging.
And how people feel predicts touch-point engagement.
DECISION DYNAMICS
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HighEffort
LowEffort
Open toChange
Routine
High Reward
LowReward
HeartHead
LowRisk
HighRisk
Complex
Simple
Televisions
Cable TV Services
Car Insurance
Vacations
Streaming/Digital Music Services
Jeans
Make-up
Movie Tickets
Chewing Gum
BeerGround Coffee
Facial Tissue
Glass/Window Cleaner
9 days on average
26 dayson average
Decision Dynamics also predict the amount of time spent in the journey.
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HighEffort
LowEffort
Open toChange
Routine
High Reward
LowReward
HeartHead
LowRisk
HighRisk
Complex
Simple
Televisions
Cable TV Services
Car Insurance
Vacations
Streaming/Digital Music Services
Jeans
Make-up
Movie Tickets
Chewing Gum
BeerGround Coffee
Facial Tissue
Glass/Window Cleaner
9 days 23 behaviors
26 days63 behaviors
25 days 37 behaviors
9 days15 behaviors
High effort decisions lead to longer journeys, but the “heart” further intensifies the engagement.
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DECISION DYNAMICSDECISION DYNAMICS
What this means for your brand…
Decision Dynamics provide our partners with insight into what makes their category tick – and what makes their customer journey different.• Organizing principles that define how decision are made in a category• Predictive touch-points• Benchmarks and adjacencies• An understand of the roles brands and channels play across the journey• Cross-category learnings that enhance touch-point engagement and
effectiveness
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DECISION DYNAMICSDECISION DYNAMICS
Interested in learning more? We’d love to hear from you.
193 North Marion StreetOak Park, Illinois 60301
708.524.8080contact@halversongroup.com
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