# Persuasion Psychology Reference

Mental models, cognitive biases, and behavioral frameworks for marketing. Apply these when writing copy, designing campaigns, structuring pricing, or briefing agents on how to frame their output.

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## Quick Reference: Challenge → Models

| Challenge | Apply These |
|---|---|
| Low conversions | Hick's Law, Activation Energy, BJ Fogg, friction reduction |
| Price objections | Anchoring, Framing, Mental Accounting, Loss Aversion |
| Building trust | Authority, Social Proof, Reciprocity, Mere Exposure |
| Creating urgency | Scarcity, Loss Aversion, Zeigarnik Effect |
| Retention/churn | Endowment Effect, Switching Costs, Status-Quo Bias |
| Growth stalling | Theory of Constraints, Pareto, Feedback Loops |
| Decision paralysis | Paradox of Choice, Default Effect, Decoy Effect |
| Onboarding | Goal-Gradient, IKEA Effect, Commitment & Consistency |
| Cold outreach | Reciprocity, Authority, Liking/Similarity, Mere Exposure |

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## Cognitive Biases

### Anchoring Effect
The first number seen heavily influences subsequent judgments. Show the higher price first (enterprise tier, competitor price, original price) to anchor expectations before revealing your price.

### Loss Aversion
Losses feel roughly twice as painful as equivalent gains. Frame in terms of what they'll lose by not acting. "Don't miss out" outperforms "You could gain." "Stop losing $X/week" beats "Save $X/week."

### Social Proof / Bandwagon Effect
People follow what others are doing. Popularity signals quality and safety. Show customer counts, testimonials with photos, company logos, review scores, and "trending" indicators near CTAs.

### Scarcity / Urgency
Limited availability increases perceived value. Limited-time offers, low-stock warnings, and exclusive access create urgency. Only use when genuine — fake scarcity destroys trust permanently.

### Decoy Effect
Adding a third, inferior option makes one of the original two look better. A pricing tier that's clearly worse value makes your preferred tier look like the obvious choice.

### Framing Effect
Same facts, different frames. "90% success rate" vs. "10% failure rate" are identical but feel different. Frame positively. "Keep your savings" beats "Avoid losing money."

### Default Effect
People accept pre-selected options. Defaults are powerful. Pre-select the plan you want customers to choose. The recommended tier should be visually pre-selected.

### Paradox of Choice
Too many options overwhelm and paralyze. Fewer choices often lead to more decisions. Three pricing tiers beat seven. One clear CTA beats three. Recommend a single "best for most" option.

### Goal-Gradient Effect
People accelerate effort as they approach a goal. Show progress bars, completion percentages, and "almost there" messaging to drive completion in onboarding and signup flows.

### Endowment Effect
People value things more once they own them. Free trials, samples, and freemium models let customers "own" the product before committing, making them reluctant to give it up.

### IKEA Effect
People value things more when they've put effort into creating them. Let customers customize, configure, or build something during onboarding. Their investment increases perceived value.

### Zero-Price Effect
"Free" is psychologically different from low-priced. The jump from $1 to $0 is disproportionately powerful. Free tiers, free shipping, and free trials have outsized appeal.

### Status-Quo Bias
People prefer the current state. Change feels risky. Reduce friction to switch: "Import your data in one click." Make the transition feel safe and easy, not effortful.

### Zeigarnik Effect
Unfinished tasks occupy the mind. Open loops create tension. "You're 80% done" creates pull to finish. Abandoned carts, incomplete profiles, and progress indicators leverage this.

### Mere Exposure Effect
Familiarity breeds liking. Consistent brand presence builds preference over time. Repetition across channels creates comfort and trust — even without explicit recall.

### Confirmation Bias
People seek information confirming existing beliefs. Understand what your audience already believes and align messaging accordingly. Fighting beliefs head-on rarely works.

### Hyperbolic Discounting / Present Bias
People strongly prefer immediate rewards. Emphasize immediate benefits ("Start saving time today") over future ones ("You'll see ROI in 6 months").

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## Persuasion Principles

### Reciprocity
People feel obligated to return favors. Give first: free content, free tools, generous free tiers create reciprocal obligation. Give value before asking for anything.

### Commitment & Consistency
Once people commit, they want to stay consistent. Get small commitments first (email signup, free trial). People who've taken one step are more likely to take the next.

### Authority Bias
People defer to experts. Feature expert endorsements, certifications, "as seen in" logos, and thought leadership content. Credentials reduce perceived risk.

### Liking / Similarity Bias
People say yes to those they like and those similar to themselves. "Built by marketers for marketers" signals similarity. Use relatable spokespeople and shared-values positioning.

### Scarcity (see Cognitive Biases above)

### Unity Principle
Shared identity drives influence. Position your brand as part of the customer's tribe. Use insider language and shared values.

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## Pricing Psychology

### Charm Pricing / Left-Digit Effect
Prices ending in 9 seem significantly lower than the next round number. $99 feels much cheaper than $100. Use for value-focused products.

### Rounded-Price (Fluency) Effect
Round numbers feel premium. $100 signals quality; $99 signals value. Use round prices for premium products, charm prices for value products.

### Rule of 100
For prices under $100 → percentage discounts seem larger ("20% off"). For prices over $100 → absolute discounts seem larger ("$50 off").

### Mental Accounting
Same price framed differently changes perception. "$1/day" feels cheaper than "$30/month." "Less than your morning coffee" reframes the expense.

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## Behavioral Models

### BJ Fogg Behavior Model
Behavior = Motivation × Ability × Prompt. All three must be present for action. High motivation but hard to do = won't happen. Easy to do but no prompt = won't happen. Design for all three in every CTA.

### EAST Framework
Make desired behaviors: **Easy** (reduce friction), **Attractive** (appealing visually and verbally), **Social** (show others doing it), **Timely** (ask at the right moment in the journey).

### Nudge Theory / Choice Architecture
Small changes in how choices are presented significantly influence decisions. Default selections, strategic ordering, and friction reduction guide behavior without restricting choice.

### Activation Energy
The initial energy required to start. High activation energy prevents action even if the overall task is easy. Pre-fill forms, offer templates, show quick wins. Make the first step trivially easy.

### Feedback Loops
Output becomes input. Build virtuous cycles: more users → more content → better SEO → more users. Identify and strengthen positive feedback loops in your marketing system.

### Flywheel Effect
Sustained effort creates self-sustaining momentum. Content → traffic → leads → customers → case studies → more content. Each element powers the next.

### Theory of Constraints
Every system has one bottleneck. Fix the constraint before optimizing elsewhere. If funnel converts well but traffic is low, more CRO won't help. Fix the bottleneck first.

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## Mental Models for Strategy

### Jobs to Be Done
People don't buy products — they hire them to get a job done. A drill buyer wants a hole. Frame around the job (outcome), not the tool (feature).

### First Principles
Break problems down to basic truths. Ask "why" repeatedly to find root causes. Don't assume you need content marketing because competitors do — ask what problem it solves.

### Inversion
Ask "What would guarantee failure?" then systematically prevent those things. List everything that would make your campaign fail before building it.

### Pareto Principle (80/20)
80% of results come from 20% of efforts. Find the 20% of channels, customers, or content driving 80% of results. Cut or reduce the rest.

### Second-Order Thinking
Consider effects of effects. A flash sale boosts revenue (first order) but trains customers to wait for discounts (second order). Think two moves ahead.

### Barbell Strategy
Put 80% of budget into proven channels, 20% into experimental bets. Avoid moderate-risk, moderate-reward middle ground.
