Communication intelligence // AI could help
Communication operates across various levels, within specific domains and may have different styles & biases
Old good split tests are better than any Nobel prize theories
Pretend you own a restaurant — the Chatterbox Café — and after a few months of flat revenue, you’re tempted to change up your menu to see if it has an impact on sales. You create a new menu where instead of just text, you include five pictures of your highest-priced items. That’s the only change — everything else about the menu stays the same. You then split your café down the middle — patrons on one side get the new menu, and everyone else gets the old menu.
After two days, you tally up the revenue and compare the two sides, pleasantly finding that the menus with the five pictures increased the average table ticket by 15%. You have a winner. Next stop: the copy machine.
This really can work, ‘cause of emotions // but, there is no emotions at some sort of communications, simply won’t work
A/B testing is a valuable tool for email campaign optimization, offering several benefits: precise identification of effective elements, elimination of guesswork, continuous optimization, data-driven decision making. Most of these tips work on emotional and personal layers.
The psychological aspects behind email marketing relate to the ways in which human behavior and decision-making influence the effectiveness of There are six psychological principles that impact it: Personalization, Reciprocity, Social Proof, Authority, Urgency or Scarcity, Decision-Making
People often make decisions based on emotions and perceived benefits rather than rational analysis. Email campaigns that emphasize the benefits of a product or service use persuasive language, or highlight the emotional impact of a purchase can tap into this psychological principle to encourage recipients to make a purchase.
But businesses don’t use emotions, that’s why b2c and b2b emails are different.
So, when it comes to communication, technology and the human element have to balance. Both have benefits, and they can complement each other when utilized in the right way.
ChatGPT, Claude, Gemini, Mistral and many other models can be used..
Think out loud, Never trust, always verify, Use a team of assistants, Ask for choral explanations, Outsource pattern recognition, Automate transformations, Learn by doing
Field experiments
Business researchers use experimental methods extensively due to their high internal validity. However, controlled laboratory and crowdsourcing settings often introduce issues of artificiality, data contamination, and low managerial relevance of the dependent variables. Field experiments can overcome these issues but are traditionally time- and resource-consuming. This primer presents an alternative experimental setting to conduct online field experiments in a time- and cost-effective way. It does so by introducing the Facebook A/B split test functionality, which allows for random assignment of manipulated variables embedded in ecologically-valid stimuli. We compare and contrast this method against laboratory settings and Amazon Mechanical Turk in terms of design flexibility, managerial relevance, data quality control, and sample representativeness. We then provide an empirical demonstration of how to set up, pre-test, run, and analyze FBST experiments.
Emails are a highly valuable tool, but only when fine-tuned and used correctly.
85 per cent of business-to-business marketers believe they are not using buyer personas effectively. 21 per cent of recipients report email as spam, even if they know it isn’t. Email segmentation can improve open rates by 39 per cent. Over 100 billion business emails are sent and received every day. 65 per cent of all email gets opened first on a mobile device. Our top 3 best-performing subject lines were only 2–3 words long and 3 of our top 5 subject lines included numbers, such as dates.
Delivering bad news is an inevitable aspect of management. Teaching students to deliver bad news effectively and professionally can be successfully implemented into a course that addresses elements of managerial communication. In this article, we explain an experiential exercise that applies components of a three-phase model for delivering bad news. This exercise challenges students, working in groups, to plan and craft the text of an email message that delivers bad news and then to write a response to that message from the perspective of the participant. Students then analyze how other groups handled the same scenario. The exercise may fit with instruction about tone and word choice in written communication, especially as it relates to delivering bad news. The four-step exercise can be used in an undergraduate- or graduate-level course. Recommendations for adapting the exercise to the online environment are included.
1 Identify the purpose
Before you start writing, identify the purpose of your email. What is the bad news that you need to communicate? How does it affect the recipient? What do you want them to do or know after reading your email? Having a clear purpose will help you structure your email and choose the right tone and language.
2 Use the sandwich method
The sandwich method is a common technique for delivering bad news in a professional email. It consists of three parts: a positive opening, a negative middle, and a positive closing. The positive opening sets a respectful and courteous tone, and acknowledges the recipient’s situation or relationship. The negative middle delivers the bad news directly and concisely, and explains the reasons or consequences. The positive closing offers a solution, an alternative, or a way forward, and expresses your support or appreciation.
3 Be clear and concise
When writing a professional email with bad news, avoid vague or ambiguous language that might confuse or mislead the recipient. Use simple and precise words, and avoid jargon or slang. Keep your sentences and paragraphs short and focused, and use transitions to connect your ideas. Use bullet points or numbered lists to highlight key points or steps, if appropriate. Proofread your email for spelling, grammar, and punctuation errors.
4 Show empathy and respect
Delivering bad news in a professional email can be upsetting or disappointing for the recipient. Show empathy and respect by acknowledging their feelings, needs, or expectations. Use polite and positive words, such as “please”, “thank you”, “sorry”, or “I appreciate”. Avoid blaming, criticizing, or minimizing the recipient’s situation or reaction. Express your understanding, sympathy, or apology, if appropriate.
5 End with a call to action
The last part of your professional email with bad news should include a call to action. This is where you tell the recipient what you want them to do or know next. Depending on the purpose and context of your email, your call to action could be requesting a response, feedback, or confirmation; inviting them to contact you for more information or assistance; providing them with resources, options, or referrals; reminding them of deadlines, policies, or procedures; or thanking them for their cooperation, patience, or understanding. Make sure your call to action is unambiguous and achievable. Don’t forget to include your contact details and conclude with a professional closing.
Behavioral economics, a dynamic field at the intersection of psychology and economics, recognizes that human decision-making is far from the rational, utility-maximizing model traditionally assumed in economic theory. This study delves into the profound implications of cognitive biases on decision-making and explores how effective economic communication can mitigate their effects. Key findings reveal the prevalence of cognitive biases, including confirmation bias, anchoring, and loss aversion, impacting a majority of decision-makers. These biases significantly affect personal finance, investment, and public policy choices. Effective communication strategies, message framing, and behavioral insights are pivotal in countering these biases and improving decision quality. Armed with an understanding of cognitive biases, economic experts and policymakers can tailor communication and policy design to promote rational choices. The study also identifies challenges and future directions, emphasizing the ongoing need for research and innovative strategies. In conclusion, this research sheds Light on the interplay between cognitive biases, economic communication, and decision-making, offering insights into strategies for enhancing economic well-being and promoting informed choices.
Keywords: Behavioral Economics, Cognitive Biases, Decision-Making, Economic Communication, Confirmation Bias, Loss Aversion, Behavioral Insight.
This paper discusses the field of behavioral economics and its focus on understanding how cognitive biases influence human decision-making, challenging traditional economic assumptions of rational, utility-maximizing behavior. The study aims to:
1. Identify prominent cognitive biases affecting economic decisions, such as confirmation bias, anchoring, and loss aversion.
2. Explore how these biases impact individual financial behaviors, investment choices, and economic outcomes.
3. Examine the role of economic communication in addressing or exacerbating cognitive biases.
4. Evaluate strategies for improving economic communication to mitigate the influence of cognitive biases and promote more rational decision-making.
The authors highlight the work of Daniel Kahneman and Richard Thaler in bringing cognitive biases to the forefront and emphasize the need to understand how effective communication can counter biases in domains like personal finance, public policy, and marketing. The study’s significance lies in informing policies and practices that can lead to more rational and informed economic decision-making.
Types of Bias in Business Communication
People have several different types of biases that they apply to communication on a daily basis. These include:
Anchoring bias: Business Management Daily notes that one of the most common biases in business communication occurs when people latch on to one piece of information. This is often the first bit of information they receive on a particular topic. People may use this anchored information to base all of their decisions on that topic.
The Dunning-Kruger Effect: According to Psychology Today, this type of bias occurs when people know only a little bit about a specific topic and incorrectly assume that the topic is easy to understand based on their simplistic knowledge. This can be particularly dangerous when it comes to leadership decision-making.
Availability cascade: One of the most common communication bias examples is the availability cascade. People are more likely to believe things that are repeated often, even if they are not true. It’s important to be especially careful when repeating statistics and ensure those statistics are correct.
In-group bias or the bandwagon effect: The meaning of bias in business communication refers to how individuals perceive information. However, it can also apply to groups of people. Sometimes, entire departments or teams have the same bias and refuse to entertain different perspectives and viewpoints.
Confirmation bias: In the workplace, employees do not want to make mistakes. As a result, confirmation bias is common. In this situation, people seek out information that confirms their own beliefs while ignoring countering viewpoints.
Optimism/pessimism bias: This bias depends a lot on people’s personalities. An optimistic person seeks out the positive outcomes of a situation, while a pessimistic person seeks out adverse outcomes. Both fail to be realistic about the potential results.
Status-quo bias: Change in the workplace is often scary. As a result, employees may react negatively to any communication that pushes the prospect of change.
Curse of knowledge: Spin Sucks notes that this bias is integral to be aware of when developing communication for your business. Organizations often forget that they know vastly more about their product and industry than their customers know. As a result, they have to be aware of the language and jargon they use in their communication plans.
Authority bias: People tend to give more weight to information they receive from people in a position of authority. However, that information isn’t always correct or factual. As a business leader, you need to be aware of the communication you’re sending out to your employees.
Identify your biases, Manage your emotions, Listen actively, Seek different perspectives, Adapt your communication style, Review and improve
As opposed to traditional economics, which assumes that human beings generally act in fully rational ways and that any exceptions tend to disappear as the stakes are raised, the behavioral school is based on exposing hard-wired mental biases that can warp judgment, often with counterintuitive results.
“Psychology of Economics” by Daniel Kahneman is a seminal work that explores the intersection of psychology and economics, focusing on how human behavior deviates from the rational actor model traditionally assumed in economic theory. Kahneman, a Nobel laureate in economics, introduces key concepts such as prospect theory and the distinction between intuitive and deliberative thinking processes.
One of the central ideas of the book is the concept of “heuristics and biases,” which refers to the mental shortcuts or rules of thumb people use when making decisions, often leading to systematic errors or biases. Kahneman discusses various biases such as anchoring, availability heuristic, and loss aversion, which influence economic decision-making.
Moreover, Kahneman delves into prospect theory, which suggests that people do not evaluate outcomes in absolute terms, but rather in relation to a reference point, typically the status quo. This theory explains phenomena such as risk aversion in the domain of gains and risk-seeking behavior in the domain of losses.
Furthermore, Kahneman examines the role of emotions in decision-making, emphasizing how emotions can significantly impact economic choices. He also discusses the implications of his findings for public policy, suggesting ways to design interventions that account for human biases and tendencies.
Overall, “Psychology of Economics” provides a comprehensive overview of the psychological factors that shape economic decision-making, challenging traditional economic assumptions and offering valuable insights for understanding and improving economic behavior.
The video discusses four main communication personality styles according to Dr. Christopher L. Hefner — Driver, Relator, Analytic, and Expresser.
The Driver style is decisive, has strong viewpoints, hates indecision, and is very competitive and goal-oriented. They prioritize efficiency and perform best when given freedom.
The Relator style loves being helpful, hates impersonal conversations, and needs to relax before decisions. They prioritize relationship building and perform best with concrete, people-serving goals.
The Analytic style needs lots of data, hates surprises and being unprepared. They are detail-oriented, solution-focused, and prioritize being up-to-date and maintaining a perfect image. Clear structure helps them thrive.
The Expresser style is enthusiastic, hates boredom, and loves challenges. Their priority is channeling energy and emotions. Feedback, appreciation, inspiration and a higher purpose motivate them.
There are even more communication style categories.
Successful communication plays a major role in both everyday life and business, and participants are influenced by the communication skills they build based on their communication style. Generation Z is the first generation to fully grow up in the digital age, and for them, social media and technology are an integral part of their lives. Their communication style is shaped by their experience with digital technology. The research problem is based on the question of whether the labour market should adapt to Generation Z and whether there are differences in behaviour that should be considered when hiring Generation Z. The aim of this paper is to find out which communication style Generation Z belongs to, since this generation is the one that enters the labour market or is already present in the market to a small extent. The study was conducted with 145 Generation Z students. Using an exploratory factor analysis, four communication styles (the passive style, the aggressive style, the assertive style, and the passive-aggressive or manipulative style) were identified that describe Generation Z’s personal behaviour. The results showed that students who work alongside their studies and regularly communicate and negotiate in their professional environment are more assertive. Students with lower grade point averages have a more manipulative communication style, while a more aggressive communication style occurs among students who attend classes less frequently. So, companies today need to adapt to Generation Z, as they are individuals who do not like to change and follow rules in order to successfully communicate, negotiate and resolve conflict situations.
The blog post discusses four main business communication styles identified by author Mark Murphy: analytical, functional, intuitive, and personal. It explains the key characteristics of each style and provides tips on how to effectively communicate with individuals who have different communication preferences.
The analytical style prioritizes logic, data, and facts over emotions. The functional style focuses on details, step-by-step processes, and clear instructions. The intuitive style values big-picture thinking, creativity, and understanding the broader impact. The personal style is driven by emotions, empathy, and building strong connections.
Understanding these different styles is important for effective collaboration, avoiding miscommunications, and ensuring that messages are understood by colleagues with different communication preferences. The post emphasizes the advantages of recognizing and adapting to different communication styles in a business context, where effective communication is essential for individual, team, and organizational success.
Discussion
Communication is a multifaceted process that permeates through diverse levels and domains, encompassing a spectrum of styles and biases. It manifests within various contexts, ranging from interpersonal interactions to professional spheres, each with its distinctive communicative dynamics. These dynamics are influenced by factors such as cultural norms, individual preferences, and contextual nuances, contributing to the diversity of communication styles observed. Furthermore, inherent biases, whether conscious or subconscious, play a significant role in shaping how messages are conveyed and interpreted within different communication contexts. Thus, understanding the complexities of communication entails acknowledging its multidimensional nature and the varied styles and biases that characterize it across different levels and domains.
Business communication can be improved by usage of AI tools. Furthermore, conducting field experiments and A/B tests can provide empirical evidence and actionable feedback on the effectiveness of different communication approaches. These experiments enable businesses to refine their messaging strategies, optimize content delivery channels, and tailor communication styles to better resonate with their target audience.
