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What's The Best Psychological Trick To Drive Loyalty and Retention?

22nd January 2024

Written by Tom Peace


What's The Best Psychological Trick To Drive Loyalty and Retention?

22nd January 2024

Written by Tom Peace

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This weeks Insight and Poll is sponsored by Marigold and features a fantastic quick read by them on the Psychology of Loyalty. We have summarised some key facts from the report and created our usual Monday Poll around this context.

Marigold break down the psychological theories in this report to help readers become engaged in desirable behaviours while engaging in loyalty programs. The psychological theories are explained in three parts

👉 The Goal Gradient Effect

👉 Neuroanatomy of Reward

👉 Operant Conditioning

1.The Goal Gradient Effect

According to the Goal Gradient Effect, people speed up their behaviour to reach their goals more quickly as they approach closer to rewards. People are driven not by how far they have gone, but by how far they still need to go to achieve their goal. In order to stay motivated, people need to be fully aware of their accomplishments.

2.Neuroanatomy of Reward

The Neuroanatomy of Reward describes how the brain justifies and then rewards goal-directed behaviours and decision-making. The ability to effectively assess reward value, predictability and risk are all participating factors are meticulously outlined in loyalty program rule sets is one of the participation factors. Emotional cues, recollections of past results, and sensory inputs such as progress bars all have an impact on goal-directed behaviour.

3.Operant Conditioning

Operant conditioning is an approach that modifies behaviour through rewards and punishments. The removal of unpleasant stimuli or the addition of satisfying impulses can both increase or maintain desired behaviour. On the other hand, removing pleasurable stimulation or adding unpleasant stimuli can also reduce undesirable behaviour. In essence, this is reinforcement positive or negative.

Click on the link below to download the full Marigold report to read up on these fascinating techniques and how to apply them successfully.

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