The Coupon Craze: Why Deals Trigger a Chemical High (and How to Use It)

JCPenney’s coupon strategy is legendary, even though everyone knows the prices are often inflated to make the discounts seem more dramatic.

Ron Johnson’s attempt to introduce “fair and square” pricing flopped spectacularly.

Why?

Because people love the feeling of using a coupon, even if the final price is the same.

It’s not about saving money; it’s about the chemical rush.

Think about this for a second. That’s pretty incredible.

We don’t want the lower price, coupons are giving us. We love using the coupon itself. And we not only love\e it, we have an actual physical reaction to them.

Like a drug!

The Neurochemical Cocktail: A Deeper Dive

When we encounter a potential deal, a complex interplay of neurochemicals is triggered, producing a cascade of effects that influence our behavior:

Dopamine Surge: The Thrill of the Hunt:

Dopamine, the “reward” neurotransmitter, is released in anticipation of a positive outcome.

The perceived opportunity to save money or acquire something valuable activates the brain’s reward circuitry.

This surge of dopamine creates feelings of excitement, anticipation, and motivation.

It’s the same chemical that’s released during other rewarding experiences, like achieving a goal or winning a game.

This anticipatory pleasure drives us to pursue the deal.

Oxytocin Release: The Social Connection:

Oxytocin, often referred to as the “love hormone” or “cuddle chemical,” is associated with social bonding and trust.

When we perceive a deal, especially one that we share with others or discuss, oxytocin levels can rise.

This creates a feeling of connection and shared experience.

It’s why we often enjoy telling our friends about a great deal we found – it strengthens social bonds and creates a sense of belonging.

This also explains why deals offered through trusted sources or social media recommendations can be more persuasive.

ACTH Reduction: Stress Relief:

Adrenocorticotropic hormone (ACTH) is a hormone associated with stress and anxiety.

When we perceive a deal, particularly a significant discount, ACTH levels tend to decrease.

This leads to a reduction in stress and a feeling of relief.

The act of “saving” money, even if it’s a perceived saving, can alleviate financial anxieties and create a sense of control.

Endorphin Release: The “High” of Acquisition:

While not as directly linked to deals as the other chemicals, endorphins, the body’s natural painkillers and mood elevators, can also play a role.

The excitement and positive emotions associated with finding a deal can trigger the release of endorphins, contributing to a feeling of well-being and even a mild “high.”

This is particularly true for deals perceived as a “steal” or a “bargain.”

Neural Pathway Activation: The Habit Loop:

Over time, repeated exposure to deals and discounts can create strong neural pathways in the brain.

These pathways link the perception of a deal with the pleasurable feelings associated with the neurochemical release.

This can lead to a habitual response, where we automatically seek out deals and discounts, even if we don’t necessarily need the product or service.

This explains why some people become “deal hunters” and are constantly on the lookout for bargains.

Beyond Price: Creating the “Deal” Sensation

The JCPenney example shows us that it’s not always about the lowest price; it’s about the perception of a deal.

Even if you can’t control pricing, you can still leverage this psychological trigger:

Bundling and “Free” Gifts:

Packaging products or services together, even if the total price is the same, creates the illusion of added value.

Offering a “free” gift with purchase, even if it’s factored into the overall cost, can be incredibly motivating.

Bonuses and Extras:

Throwing in a bonus, like free shipping, a consultation, or extended access, enhances the perceived value of the offer.

It’s like getting a little “extra” on top of the main purchase.

Framing and Value Justification:

Highlighting the long-term benefits and cost savings of your product or service can justify a higher price point.

Emphasize the value rather than just the cost. “This might seem like a higher investment, but consider the long-term return and the problems it solves for you.”

Scarcity and Urgency:

Creating a sense of urgency, such as with limited-time offers or exclusive promotions, can motivate people to act quickly.

The fear of missing out (FOMO) is a powerful motivator.

Exclusivity and Loyalty Programs:

Rewarding loyal customers with exclusive discounts or perks makes them feel special and valued.

It reinforces their connection to your brand and encourages repeat business.

Gamification:

Introducing elements of gamification, such as contests, raffles, or point systems, can tap into the brain’s reward system and make the shopping experience more engaging.

The “Deal” Mindset: It’s All in the Perception

The key takeaway is that influencing buying behavior is often less about the actual price and more about the perceived value.

By strategically creating a sense of scarcity, exclusivity, or added value, you can trigger the same neurochemical responses associated with traditional discounts and deals.

It’s about making your prospects feel like they’re getting a great deal, even if the price remains the same.

Mastering this “deal” mindset can significantly enhance your sales effectiveness.

The Evolutionary “Why”: Survival of the Fittest (and Most Resourceful)

These neurochemical responses are not accidental; they’ve evolved over millennia because they served a crucial survival function.

In our ancestral environment, resources were often scarce, and the ability to find a bargain could mean the difference between survival and hardship.

Resource Acquisition:

The drive to seek out deals motivated our ancestors to explore their environment, discover new resources, and secure access to valuable goods.

This increased their chances of survival and reproductive success.

Social Cooperation:

Sharing deals and resources strengthened social bonds and promoted cooperation within groups.

This was essential for protection, resource sharing, and raising offspring.

Stress Reduction:

The ability to find deals and save resources reduced stress and anxiety, allowing our ancestors to focus on other essential tasks, such as hunting, foraging, and raising families.

Risk Mitigation:

Securing deals and discounts often meant acquiring resources at a lower cost, reducing the risk of scarcity or financial hardship.

In essence, our brains are wired to respond positively to deals because this behavior increased our ancestors’ chances of survival.

While the modern world offers a different context, these deeply ingrained neurochemical responses still influence our purchasing decisions today.

Understanding this evolutionary connection helps explain the powerful allure of deals and discounts.

The “Deal” Mindset: It’s All About Perception

Remember, it’s not always about the actual price; it’s about the perceived value.

By creating a sense of scarcity, exclusivity, or added value, you can make your prospects feel like they’re getting a great deal, even if the price is the same.

So, go out there and become a master of the “deal.” Your customers (and their happy brain chemicals) will thank you.

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