Perception is Reality: How Consumers Work, but a Mistake for Businesses

We often hear the saying “perception is reality.” This concept, very popular in the marketing world, refers to the fact that consumers act based on what they perceive, not necessarily on objective realities. For marketing professionals, this difference is crucial. Despite their efforts in developing advertising, products, and other elements of the value proposition, consumers do not always perceive these initiatives in the same way. This limited perception is the basis on which consumers make their decisions. An aspect we have worked hard on may not be perceived as significant and, consequently, not influence the purchase decision, or vice versa.

This reality is something that marketing professionals must learn to live with and accept. Not doing so means deceiving oneself and not understanding how the consumer’s mind and behavior really work. Understanding this dynamic opens the door to identifying which elements really matter to the consumer in their decision-making process and creates satisfaction, focusing on what is important and leaving aside what generates less impact.

Importance for Small Business Owners

However, this reality not only affects marketing professionals but is also extremely important for business owners, especially small ones. Being “close to the customer” provides the feeling that “we understand what the customer wants.” This perception is based on daily interactions with them. While this may be true for those who have a physical location and personally attend to their business all day, it ceases to be accurate when they move away from the operation. And that’s okay. An owner who seeks growth needs to focus on more aspects than just attending to 100% of customer interactions. This is where tools are needed to help stay close and continue to understand what customers feel in each of their experiences with the company. Moreover, interactions are not always the same, so it is necessary to capture these variations to understand how well a business is performing in each location with its customers.

Technology as an Ally

Technology has made it possible to be close to the customer in an omnipresent and accessible way. Before the web and tablets, it was necessary to conduct market surveys to ask customers about their impressions of the business. Today, it is possible to ask practically in each interaction and measure their satisfaction. This possibility has generated an avalanche of questions. For example, some banks ask about satisfaction and details after each access. If it is an app that is used a lot, so many questions can be counterproductive and annoying. Others, like hotels or airlines, usually ask 1 or 2 days after the experience. Although only the most willing customers respond, response rates tend to be very low. However, tablets with simple questions have appeared in different points like restaurants, convenience stores, bank branches, bathrooms, etc., and ask at the moment and in seconds how the experience was, without interfering with it and achieving much higher response rates.

Staying in Touch with Customers

This variety of options is available for small business owners to stay in close contact with their customers, tracking the performance of their businesses without having to rely on their own perception of how things are. “Perception is reality” is a reality for consumers, but it does not have to be for marketing professionals and business owners.

Diving Deeper into Consumer Perception

Consumer perception is influenced by multiple factors, including previous experiences, recommendations from friends and family, advertising, and even the environment they are in. For example, a store with a pleasant atmosphere and friendly staff can be perceived positively, even if its prices are a bit higher than the competition. Similarly, a well-packaged and presented product can be perceived as higher quality, regardless of its technical features.

For marketing professionals, it is vital to understand these factors and work on them to influence consumer perception. This includes not only creating effective advertising campaigns but also paying attention to product design, user experience, and customer service. All this contributes to the overall consumer perception and, therefore, to their purchase decision.

The Science Behind Perception

Consumer psychology studies have shown that perception is a complex process involving both sensory information and cognitive interpretation. This means that consumers not only perceive what they see, hear, or feel, but also interpret this information according to their beliefs, previous experiences, and expectations. For example, a well-known and respected brand can influence the perceived quality of a new product even before the consumer has tried it.

This cognitive interpretation also means that two consumers can perceive the same product or service differently. What is important to one may not be to another, and vice versa. Therefore, it is crucial for marketing professionals and business owners to understand their target audience and adapt their strategies accordingly.

Tools and Strategies to Improve Perception

Fortunately, today there are many tools and strategies that can help companies positively influence consumer perception. Some of these include:

  1. Market research: Conduct studies to better understand your target audience and their perceptions.
  2. Customer experience design: With the insights collected, design the experience that customers will have with the brand/product, emphasizing the elements valued by customers.
  3. Digital marketing: Use social networks, blogs, and other digital channels to communicate your brand’s values and benefits.
  4. Customer experience: Execute each touchpoint with the customer according to the design to ensure a positive experience.
  5. Constant feedback: Collect and analyze customer feedback to make continuous adjustments and improvements in the executed experience.

Case Studies: Success Stories

To illustrate how companies can influence consumer perception, let’s consider some case studies:

  1. Apple: Apple is an excellent example of how perception can be managed to create a powerful brand. Through elegant design, effective advertising, and an excellent user experience, Apple has made its products perceived as high quality and desirable, despite having a premium price.
  2. Starbucks: Starbucks has worked hard to create a unique customer experience. From the design of their stores to the training of their staff, everything is designed so that customers perceive a cozy and quality environment. This has allowed Starbucks to retain its customers and keep them willing to pay a bit more for their coffee.
  3. Zappos: The online shoe store Zappos has based its success on excellent customer service. Through flexible return policies, personalized attention, and a smooth shopping experience, Zappos has made its customers perceive the brand as reliable and customer-centric.

Implementing Perception Strategies in Your Business

If you want to implement strategies to improve your business perception, here are some steps to follow:

  1. Understand your audience: Research your target audience to understand their needs, desires, and current perceptions.
  2. Develop a clear value proposition: Define what makes your product or service unique and how it can benefit your customers.
  3. Communicate effectively: Use different communication channels to consistently convey your value proposition.
  4. Improve customer experience: Ensure that every interaction with your business is positive and memorable.
  5. Collect feedback: Use surveys, comments, and other methods to collect feedback and make necessary adjustments.

Conclusion

“Perception is reality” is a truth for consumers, but with the right tools and strategies, marketing professionals and business owners can positively influence this perception. By better understanding consumers and working on the elements that really matter, it is possible to improve customer satisfaction and loyalty, and ultimately, business success.

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