The Psych Perspective - Issue 1

Page 26

IS IT ETHICAL TO USE PSYCHOLOGICAL TACTICS TO BENEFIT THE ECONOMY? Sabrina Yeung, Year 12, Keller It is vital to consider whether the uses of

However, to make that exclusivity appeal to work

psychological ‘tricks’ in areas such as marketing

in the long run, the company must act on what

and advertising are ethical or not. There are a

they have said since empty claims tend to be

multitude of ways in which individuals can be

counterproductive. Overall, I think that it could

manipulated to behave in certain ways, but

be beneficial in some ways to promote exclusivity

whether it is ethical or not is still in debate, even if

in order to help companies increase their retained

it leads to overall benefits in the economy.

profit, but it would only be ethical as long as the companies

know

the

extent

to

which

they

One way in which they do so is by promoting

implement this. It would not be ethical to exploit

exclusivity. Advertisements are created in a way

the consumers, especially because it is easy for

such that people can feel that they are part of an

them to spend more if they are on a higher tier of

exclusive group. For instance, a company may try

membership. The status gives them the feeling of

to promote that only certain, prestigious people

confidence although the primary purpose is so

would be a good fit for their product, thus

that consumers would be “tricked” into spending

enticing customers to purchase their product.

more.

Companies often try to take advantage of this and therefore have the potential to exploit their

Another way in which marketers can employ

customers. One of the most well-known examples

psychology to appeal to consumers is through

of this exclusivity is in the American Express

advertising emotional ideas. It has been suggested

tagline,

Its

that emotional and psychological appeals resonate

Privileges”. Another example is a customer loyalty

more with consumers than feature and function

program, where each band of customers have

appeals. The benefits from the purchase of the

different statuses, such as gold and platinum.

product often outsell the factual information on

People who are labelled more “superior” than the

the features of the products as they would have

others tend to spend more, and those in “regular”

more of a clear and positive influence on the

classes are not affected. People like being part of

customer’s life. For example, demonstrating how

groups that imply some superior quality or level

a new phone will make a customer happy, tends

of status that has their approval. Even when given

to make them more likely to make a purchase

an artificial reason, people tend to take action in

rather than explaining how it works. In this case,

order to feel like they belong to an “elite” group of

this tactic would still be ethical to enact as there

people.

are no clear disadvantages in doing so, as long as

Issue 1 | 26

which

reads

“Membership

Has


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