This is more than a saying, this is the reality of the human computer that we call the brain. Some of you guys have watched my intro video on getting more customers by taking control of your brand and generating more buzz via digital marketing.
In this video I talk about the 3 factors of production. For those of you who have not seen the video, this is the gist of the idea. If you were to pick up an economics textbook you would find the 3 factors of production to be the following:
These are the three factors that determine production for any business in any industry. The understanding and analysis of these 3 things in relation to your business, the market and the industry as a whole will determine in a big way how your business performs.
I will make another post discussing these 3 factors in more depth, but this post is about “perception” because perception is reality.
The truth is that in its essence the perception you create can override a lot of other things that may be lacking in your business. This is because the human mind makes split second decisions based on limited data because there isnt enough time or energy to analyze in depth every little thing in life. For example people will consider an expensive product to be or “good quality” regardless or not it is actually of good quality. Because most of the time it is!
These shortcuts have many names, some people call them cognitive biases. The Nobel prize winning scientist Daniel Kahneman has spent decades studying what he calls “system 1”. System 1 is the subconscious level at which the brain processes information and makes decisions based on data it receives from memory. The key thing here is that “System 1” is inaccessible to your conscious self. What that means for you and I is that humans (and more specifically, your customers) make decisions based on a myriad of facts that have little to do with logic and a lot to do with feeling.
Basically, your customers decide why they like what they like before they are even aware of that fact ( we all do). This is the reason that you might have seen in a commercial a world class athlete eating a fast food burger or a soda when these brands are sponsoring the olympic games! Of course you and I “KNOW” that these world class athletes dont actually eat fast food or drink soda! Actually, is “System 2” that “knows” it (our conscious self) but what these advertisers are aiming for is not to communicate with you “logically” but they are trying to communicate with your “system 1” of which you have no control over and is ALWAYS ON.
In the next posts I will elaborate about how to work on the PERCEPTION of the 3 factors of production to make your business more profitable, while at the same time to working to create a product that will satisfy your customers time and time again. Are you enhancing your brand and perception by having a digital marketing strategy in place? How effective is the message that you are sending? Contact me and send me your feedback.