BBC Learnings · Section 20

How advertisers make us spend money

What's the last thing you bought and why did you buy it?

Level: B1 · 114 sentences

Transcript

1. What's the last thing you bought
2. and why did you buy it?
3. I bought a new pair of headphones recently
4. because my old ones broke and I did lots
5. of research to try and find a good pair.
6. How about you?
7. I bought a soft drink on the way to work this morning.
8. It might be because I saw someone
9. I like promoting it in an advert.
10. We call this a celebrity endorsement.
11. But why do they work?
12. Let's start by hearing from Ben Jones, a behavioural research expert,
13. speaking to BBC World Service programme Business Daily.
14. When we're unsure, we don't know what to do, it's
15. kind of easy to follow the lead
16. of those who we think are credible or knowledgeable.
17. It's a mental shortcut.
18. It's something that helps us navigate uncertain times or make quick choices.
19. We start doing that from an early age.
20. Our parents, for some people, our teachers,
21. you know, these people help us learn
22. and make sense of the world.
23. And some businesses can draw on this through things like endorsements,
24. you know, dentists recommending toothpaste, athletes endorsing sportswear.
25. Ben says that endorsements work as a mental shortcut.
26. This is something that helps us make a decision quickly.
27. If we trust the endorsement, then we
28. don't need to think about it that much.
29. In this episode, we're going to look at the way
30. that people can be convinced to do things.
31. And as usual, we'll learn some useful new words and phrases.
32. OK, but first I have a question for you, Pippa.
33. Today we're talking about behavioural science.
34. What's the name of the theory
35. that says people respond to small prompts?
36. Is it a push theory, b pull theory, or c nudge theory?
37. I'm not sure. I'm going to say b pull theory.
38. OK, well we'll find out the answer
39. at the end of the programme.
40. In recent years, many fast food chains have installed
41. touchscreen machines for people to order their food.
42. They've reported taking more money as a result.
43. Could behavioural science tell us why this happens?
44. Here's product designer Dean Ward speaking to BBC World Service's Business Daily.
45. Firstly, the psychology of speaking to someone
46. and feeling judged we think is a key factor.
47. So would you like extra fry?
48. Would you like to go large?
49. Not all people, but I think there's
50. definitely a large proportion of people who may feel
51. judged in those instances and may say no.
52. There's the fact that you've got more time to look.
53. You can see the product, you can see what's in it,
54. you can see other products linked to it as well.
55. And also around upsell as well.
56. Would you like to add this? Would you like to do that?
57. Because you've got more time and you're not being judged,
58. you're very much more inclined to actually say yes to these things.
59. And that's typically what we're seeing.
60. An increased basket spend of typically 25-30%.
61. If people feel judged, then it means
62. that they worry what other people will think of them.
63. If we have to ask a human for extra fries,
64. we might worry what they think of us.
65. But no one feels judged by a computer screen.
66. If you upsell something, then you get someone
67. to spend more. For example, waiters often try to get
68. people to buy larger portions, more drinks or dessert.
69. Dean says that upselling can increase people's basket spend.
70. A basket spend is the total amount that someone
71. spends in one transaction on everything that's in their basket.
72. Now, this is an example of a business
73. using behavioural science to nudge people to do things.
74. But it's not just businesses that use behavioural science in this way.
75. In Tunisia, the United Nations World Food Programme wanted
76. to encourage people to eat food together more often.
77. They made a TV show set in a restaurant.
78. Let's hear from Taqwa Khalifi from the World Food Programme,
79. talking to BBC World Service's Business Daily.
80. So we needed something really creative
81. and really different to think outside of the box
82. or to let people see themselves in those stories
83. because people are learning and changing
84. by imitating and modeling and observing others' behaviors
85. and others' actions and emotional reactions to things.
86. So this is why we tried this project or tried this product
87. or this TV series in order to impact people.
88. Taqua says that they needed to think outside the box.
89. This means to try and think in a different
90. way to come up with something creative.
91. The TV programme leads to people modelling behaviour.
92. If you model behaviour, then you
93. behave in a way that other people can copy.
94. Now, Phil, I think it's time
95. to hear the answer to your question.
96. Yes, it is. I asked, what theory says
97. that people respond to small prompts to change their behaviour?
98. I thought it was pull theory.
99. Which I'm afraid was the wrong answer.
100. Nudge theory says that people's behaviour
101. can be changed by small prompts or nudges.
102. OK, let's recap the vocabulary we've learned, starting with mental shortcut,
103. which is something that helps us make a decision quickly,
104. usually because we don't need to think about it.
105. If someone feels judged, then they're worried
106. about what other people think about them.
107. Upsell refers to persuading someone to buy something extra,
108. like a dessert at a restaurant.
109. Basket spend is what you spend in one transaction
110. on the things in your shopping basket.
111. If you think outside the box,
112. then you think about something in a different way
113. to come up with a creative solution.
114. And finally, modelling is behaving in a way that others can copy.