Psychology product Managers should Know (PART 2)

The psychology of product Managers was updated a long time ago (PART 1)

Product manager psychology: through the avatar to see the user’s personality (above), today saw a product friend Liu big original, psychology is very good to make up for the transaction effect can consider the operation side, to help you improve transformation. Recommended for everyone, including several common psychological product design. Welcome to read

The following is the transcript:

Product managers need to know the data analysis, but not all things by data analysis, we can find some requirements on data, such as home page redesign, you can in the data mining to a lot of treasures, like the front page of the bounce rate, click-through rates of each module, the user’s page stay length, etc., through data analysis, we can clear the direction of change.

But sometimes, we can’t trust data completely. After all, this is not a completely rational world. The biggest difference between humans and robots is that humans have emotions. Of the existing product data now sometimes can not help you find the best innovation point, on the other hand, a lot of focus on the user’s psychological hold, gauge group users psychological behavior of this kind of innovation, and often requires a product manager of inspiration, such as WeChat shake, product manager and can pass the decision to think about what users use shake to express the function? In fact, it is unexpected, which requires the product manager to control the user’s psychology, especially for the C-end product manager.

1. Compromise effect

Psychological studies have shown that when people are faced with uncertain preferences, they tend to prefer the middle option because it makes them feel safe and prevents them from making serious decision mistakes. Compromise effect in the introduction of new products, product positioning and brand extension issues to give enterprises a lot of enlightenment, such as economic business hotel.

For example, when we go to the barber shop to choose the price of 198, 268 and 398 grades of hair, we usually choose the middle price. In life, we do not want to make the first one, we generally prefer to do the second or third one, because the first one means it is not safe.

2. Herd effect

The Bandwagon Effect, also known as the band float Effect, refers to that when individuals are influenced by the group (guidance or pressure), they will doubt and change their opinions, judgments and behaviors in a direction consistent with the majority of the group. That is, individuals are influenced by the group to doubt and change their opinions, judgments and behaviors in order to conform to others. This is often referred to as “following the crowd”.

For example, when we go to Taobao to buy things, we tend to buy those things with a large number of buyers, because a large number of buyers means safety. So many taobao sellers will brush quantity.

3. Cost of silence

When people decide whether to do something, they not only look at whether it is good for them, but also whether they have invested in it in the past. We call these “sunk costs”, which are already incurred and cannot be recovered, such as time, money, energy, etc.

Sometimes couples are reluctant to break up, not because of how much they love each other, but because they have paid too much, forming an obsession, such as buying gifts for each other, giving each other company time, emotional pay, these are silent costs.

The sooner you paid the money for the item, for the use of commodity interested in the lower, and the installment of the customer will be more active use of purchased products, which means that the enterprise can by changing the method of payment to influence the consumer’s interest in the use of the goods and frequency, consumers will be constantly in the process of using points to appreciate the value of products, jingdong ious, Bai hua is to take advantage of this psychology.

4. Transaction Effect

The so-called trading utility is the difference between the reference price and the actual price of the commodity.

Transaction utility theory was first proposed by Professor Richard H. Thaler of The University of Chicago. He devised a scenario for people to answer: You’re lying on the beach on a hot summer day and all you want to do is have a cold beer. While you daydream about your favorite beer, your partner will make a call to a nearby phone booth to see if there’s a beer in the local grocery store. He wants you to give him the highest price you’re willing to pay, and if it’s within that price, he’ll buy it for you, and if it’s above that, he won’t buy it. So what’s the most you can afford to pay for a beer at this little grocery store? When he asked a group of people to answer the questionnaire, the average price was $1.50. Then he changed the list of “small grocery store nearby” to “a luxury resort nearby.” He gave the new questionnaire to another group and asked them to come up with the highest price. Do you know what happened when you made a small change? The average price was $2.65. Is also on the beach, drink a cup of cold beer, buy buy from hotel and from the grocery store to buy the same beer is no difference, because neither bought in hotel and enjoy the elegant and comfortable environment in the hotel, also will not have any loss because of the grocery store the crude, but why do people buy it from the hotel is willing to pay a higher price?

In general, people are tolerant of the high prices of items in hotels, willing to pay more for items that are actually worth the same to yourself. In other words, if your friend ends up buying the beer for you and tells you that it cost 2 yuan from the hotel, you will be happy because not only did you enjoy the delicious beer, but you also got the cheap beer, saving $0.65 over your reasonable price, which is a big deal. But if your friend says he bought it from the grocery store, you’ll feel like you got a bad deal for the $2 you spent, but you won’t be very happy about the beer, because your utility is negative. It can be seen that for the same beer, it is because of the utility of the transaction that people have different consumption feelings.

Two pricing strategies can be set according to transaction effect:

Comprehensive pricing: 300 yuan hot spring admission +20 yuan mineral water =320 yuan hot spring admission + free mineral water

Scatter pricing: for example, a set of moxibustion 360 yuan, you can say that the average day down a year is less than 1 yuan.

5. Psychological account

People not only have the habit of classifying goods, but also classify money and assets separately and treat them differently. They set up various investment accounts for all kinds of assets in their heads to control their consumption behavior.

For example, in daily consumption, if we think something is expensive, we will not be willing to spend, but if we give it as a gift, we will not feel expensive. For example, the same is to buy a house, if it is put into education investment, and then expensive school district housing, we also spelled a life to buy. Spending the same amount of money on luxury items is far more effective than giving cash.

When buying something, the simple expenditure makes people feel unpleasant, but if there is income in the consumption, the feeling is much better. Therefore, when users consume, it will be much better if there are rewards like points or coupons.

Controlling user psychology is a “kung fu beyond poetry” work, which requires more people and things to experience in daily life. Through daily accumulation, users’ needs can be understood and user psychology can be controlled. That specific can try from the following aspects:

1. Develop empathy (how to develop empathy, explained in a previous post)

2. Get in touch with people with high EQ and learn from their ways of being and thinking

3. Read psychology books

4, reading thousands of books is better than traveling thousands of miles, traveling thousands of miles is better than reading countless people (more practice, more communication)

5. Experience more products and experience the design purpose behind each functional module

Psychology is not a pseudoscience, but a science that explores human cognitive patterns and corresponding behavioral rules. It can help product managers sensitively perceive and capture the psychological state of users, understand their needs, and find appropriate solutions.

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