In psychological terms, context is almost everything. Much as we like to think that we know how we will act and react in a given situation, without the richness of...
Today I’ve been writing a lengthy article on consumer behaviour for an international magazine. Whilst I was working on it I remembered a video I posted a long time ago over on my Vox blog (and yes, a new post there is long overdue).
Anyway, I thought I’d share the video here because it’s both entertaining and quite informative.
Bird & Fortune are a pair of satirical comedians who regularly draw attention to the silliness of politics and the world. Here they talk about the subprime crisis that seems to have triggered the recession we’re ‘enjoying’ globally at the moment.
The point I was making in my article is that consumer behaviour is also all a matter of sentiment. People can be in exactly the same financial position and with the same inability to forecast the future accurately as they were eighteen months ago, but they behave very differently as consumers.
The fear of what the future might hold increases unconscious sensitivity to future losses and that has big repercussions for what consumers will and won’t do (points I’ll need to save for the magazine article).