Behavioural economics (BE) has been called the science of decision-making. It is a growing academic discipline which uses experiments that observe human behaviour in order to uncover how we think. It addresses such fundamental questions as, how do we process information and how are we influenced to behave.
BE is valuable to marketers on many levels. It provides ‘big picture’ answers to vital questions such as:
How emotional or rational is consumer decision-making?
How quick or considered is consumer decision-making?
How much information can consumers take in?
How important is context in affecting perceptions of a brand and influencing behaviour?
