Retailers Use Psychological Tactics to Influence Your Buying Decisions

How companies are using psychology to make more money from you

In the middle of a cost-of-living crisis, people are looking for ways to save money. One of those ways could be understanding how companies are making you buy things you don’t need. Typically, people are aware of the marketing of big brands like Adidas to have you buy their clothes at an expensive price. Though, could your local grocery store be implementing their own strategies that you aren’t aware of.

What is a tactic every shop uses that most people may not think about you ask? Well, they love to move the products around the store. Consumers don’t think too deeply about it. There is a tactic here. When a shop moves items around leaving buyers to search for the product they want, they will inevitably buy things they usually don’t. They are pushing at your impulses to buy things.

Looking at different studies, they place 40-80% of all retail sales at the door of impulse buying. Other studies show 80-91% of people are impulse buying which can make up an extra £3000 a year spent on average. In Britain alone, £3 billion is spent on impulse buying, each month. For a country where many are living pay check to pay check, it might be time to start seriously asking yourself if you truly need that pack of 4 Red Bulls, just because it’s £1 off. There may be no need to purchase those 40% off £100 shoes, you already have a few pairs that were bought a couple months previously.

I first began to question the psychology of stores when a decade ago I was a consistent shopper in my local Morrison’s. I would always buy the yellow sticker items on sale. So much so, that I only bought yellow sticker products to save money. One day, I had a closer look at the price for the item and realised, hey, this isn’t actually on sale. It was just a product with a yellow sticker. I had been trained like Pavlov’s dog to see their yellow stickers as meaning I’m getting it for a good price. It sounds so simple, yet we are constantly spending money on things that we do not need. Another example is how shops will put their milk at the back of the store due to how many people come to the store just for this item. They wouldn’t want you to arrive, find the milk instantly, and then leave. They want you to walk through their store and lose to your impulses, adding a few extra items that you never planned to buy.

With online shopping becoming prevalent, impulse buying has become harder to fight. There are many websites that show false sales. You load up the page to see a huge 70% off a product but it’s ending in only 2 hours. That same sale will be up there in 3 hours with another countdown, pushing you to buy it fast now or lose out on this amazing deal. There’s so much going on during online shopping. Impulsivity, dopamine hits from putting things into your virtual basket, and people using it as a coping mechanism. Shopping addictions can come from someone who is feeling powerless, and one way to get over that is buying things online where you have total control from the comfort of your bedroom.

Shops are meticulously planned out with the best way to get you spending your money. From the second you enter a store; they are trying to get your money. Typically, they will place bright colours and fresh fruits at the front to put you in a happier mood, a spending mood. These companies are using banana studies against you. These studies show how specific colours of bananas sell more than others, and they set out to make sure their bananas are the best colour. I have explained how they use milk placement against us, but there is a deeper level of thought behind it. Stores will make sure to keep the essentials away from one another, they want to maximise your time in their shop. A study by Dr Paul Mullins demonstrated how 23 minutes is the limit of our rationale when shopping. After 23 minutes we start to shop with the emotional part of our brains, meaning we are far more susceptible to impulse buying.

So, whilst we’re running around the store finding the things we came for. We will inevitably spot a few things we impulsively buy. There’s a science behind the positioning of the products, too. Research has shown that we tend to buy items that are between chest and waist level. Meaning that even if the best choices are at the very top or bottom of the shelves, we may still buy those from the middle. After all this frankly tiring shopping, the final hurdle is upon us, all the little products that are placed at the till. As stated previously, 23 minutes into shopping we become tired and start to shop with less rationale. Being honest, how many times have we picked up items waiting to be served? Probably more than a few.

So, what things can we do to avoid their psychological attacks? The best course of action is to be aware of your own thought process. Ask yourself if you really need that £1 cheaper box of chocolates. Come to the store prepared with exact idea of what you need and don’t become distracted by impulsive buying. Not only will you save money, impulse buying leads to gaining weight as we eat more than we want to. Another study has shown that people tend to buy more when they’re emotional to make themselves feel better. Comfort eating is another cause of overspending on food that you don’t need. This may not be a psychological attack on you by the store, but it’s an internalised one that people should also be mindful of.