Infographic: Cognitive Biases That Influence Consumer Decisions

We all like to believe that we’re logical beings, especially when it comes to our spending and consumption habits. We want to be in control; uninfluenced by external forces.

The truth is, we are very much so influenced by external forces. Many factors shape the way we think and behave like our surrounding environment, the people around us, our past decisions, and so on. When situated with a combination of these factors, we tend to behave irrationally.

These defaults of the brain are known as cognitive biases. Although it may sometimes lead to irrational decisions and poor judgement, psychologists say this is our brain simplifying the world around us. If we didn’t have cognitive biases to default to, every decision we’d have to make would be a difficult one.

Understanding common cognitive biases is a huge advantage when crafting a message or product to consumers. Marketers can use their knowledge of these biases to create an environment where consumers are more likely to make irrational decisions or act in their favour.

Consumers can use their awareness of cognitive biases to behave more logically in the marketplace and to recognize their irrational consumption tendencies. But being aware of cognitive biases does not make you entirely bias-proof.

There are a total of 188 systematic errors that neuroscientists recognize as cognitive biases.

Here is a great infographic that lists the most common ones that can be applied in your product design and marketing strategy:

I would love to hear what cognitive biases you find useful in your own business, or that you’re most prone to as a consumer. Share your thoughts in the responses!