How Businesses Use Psychology to Increase Sales?EveryDesignsJan 31 · 3 min readBusinesses use everything in their power to increase their sales. They offer a discount, indulge in aggressive marketing, create a monopoly and apply various business strategies to skyrocket their growth.One more thing that businesses use, which works on background level is psychology. Psychology is a very important part of human behavioral science. Every single person behaves in a very different way. Their likings are different, their understanding is different, every single person is very different from others.So, it becomes difficult for businesses to target a bigger audience. Therefore, to understand their customers, businesses use psychology and its application in business operations.In this article, we will discuss how businesses use psychology to increase sales. But before that let’s find out why it is business psychology.What is Business Psychology?Business psychology is a field of psychology that deals with providing insight into people and their behavior. It takes a practical approach by studying a monitored group of people and giving a conclusion towards specific behavioral research.Using business psychology corporate can come up with plans and strategies to the target audience and provide them with a solution to their problem. The very basic job of a business psychologist is to understand the customer’s needs and help the business to deliver that.Behavioral Psychology in BusinessBehavioral Psychology is the study of human behavior in context with the environment. The environment plays an important role in the behavior of a person. A kid when brought up in a secure and friendly environment tends to be more successful and moral whereas a kid who had an abusive father or mother a.k.a. bad environment tends to become a criminal.It's simple: kids learn for their parents and even an adult is susceptible to influence from other behavior. A prime example could be peer pressure. Peer pressure can make you do things that you do not want to do like drinking alcohol.Many studies like this one suggest that the majority of people started drinking due to peer pressure. Behavioral psychology helps in understanding these behaviors and comes up with a solution that benefits society.Here are some of the principles that behavior psychology deal with, within the context of business.The Human Learns Better VisuallyAbout 65% of people are visual people meaning they like and respond to visuals better and faster than any other means. So, influencing people using visuals like graphic design helps a business much better. A business needs to have professional graphic design services to ensure they can market their products better.Psychology of ColorsColor is one aspect that makes humans special. As you know, humans are one of the few species who can see such a wide range of the color spectrum. Therefore, colors play an important role in people’s life.You can use different colors to subtly convey a message regarding your business. To learn more, check out the article on Color Psychology and see how you can use colors to market your brand.Customer LoyaltyEveryone likes reward and Rewarding programs are the best customer acquisition tool that big corporate uses. A prime example of this could be a reward program by Starbucks that they offer on their mobile app. You can also provide your customers with rewards that help your customers in connecting with your business on a personal level.Social Psychology in BusinessSocial psychology is a study of human behavior when influenced by other people’s behavior. Here the psychologists use the data produced by the interaction of two subjects to design a strategy for their businessThe following are the best examples of social psychology in action-Word of Mouth MarketingWord of mount marketing is the kind of marketing where a person buys a product just because it was recommended by someone. It is so powerful that it can even work online by posting customer’s reviews. This is the reason why people keep testimonials and reviews on their websites.Reciprocity PrincipleWhen a business offers an unmatchable value to its customers than people would respond to that by providing a similar proposition by becoming your customer. You can use this principle to provide your customers with Freemium tools to increase sales.ConclusionIn order to increase revenue and business, you can use any of these psychological principles. Big brands use this principle to achieve that so why don’t you?