Heuristics

We experienced how to use heuristics in analyzing consumer behavior to make successful decision. I enjoyed using it in analyzing brand position, deal with competition, flagship product,  new product, retailing, cool, pricing, color scheme, communication, and packaging. And there are six types of heuristics that I can choose to use: simulation, framing, gambler's fallacy, conjunction fallacy, availability, and anchoring heuristic. I don't want to list the reasons about how to match each heuristic in different parts of marketing. I want use them in the example of my mother's company.

First, our company did well in brand position. We define our company takes high-end route, because we found the majority of customers only considered the function of products without price. In order to keep beauty, they spend as much as they can. Second, our main competitors are shopping malls, because consumers through shopping malls can guarantee the quality of products and provide famous international brands, like DIOR, CHANEL. Even the price or products are not fit with themselves, they feel confident of using those brands. Because of that, the best of deal with that is focusing on our personalized services and we used different methods to advertise that. Third, we are chain retail stores and we do not produce any products. But considering Chinese consumers enjoy using foreign brands, we choose SHISEIDO as our flagship product. Consumers would be attracted by the Japanese brands and choose to consume in our company. Fourth, our company choose more international brands to instead of Chinese brands. The biggest part is SHISEIDO, and we also have a lot of products, which made in Europe, like France, Germany. Fifth, our company is providing beauty service for females. We designed the main color of our store is warm color, because warm color gives consumers comfort and relax environment. The last one is communication. We spend a lot of time on training how to communicate with customers. We found the most efficient way to persuade is praising. Consumers, especially females always become implosive when people praise them beautiful and young.

I took part in the majority of meetings in my mother's company, but I had never analyzed by heuristics. Now, I understand why our company develops rapidly.