By Claude C. Hopkins and Troy S. Laughren

© 2005 Troy S. Laughren All Rights Reserved
No part of this 2005 version May be reproduced in any form.

The competent advertising person must understand psychology.  The more he knows about it the better.  He must learn that certain effects lead to certain reactions, and use that knowledge to increase results and avoid mistakes.

Human nature is unending.  In most respects it is the same today as in the time of Caesar.  So the principles of psychology are fixed and lasting.  You will never need to unlearn what you learn about them.

We learned, for instance, that curiosity is one of the strongest human incentives.  We employ it when ever we can.  Puffed Wheat and Puffed Rice were made successful largely through curiosity.  "Grains puffed to 8 times the normal size."   "Foods shot from guns."   "125 million steam explosions caused in every kernel."  These foods were failures before these factors were discovered.

We learn that cheapness is not a strong appeal.  Consumers are extravagant.  They want bargains but not cheapness.  They want to feel that they can afford to eat and have and wear the best.  Treat them as if they could not and they resent your attitude.

We learn that people judge largely by price.  They are not experts.  In the British National Gallery hangs a painting which is announced in a catalog to have cost $750,000.  Most people at first, pass it by at a glance.  Then later they get farther on in the catalog and learn what the painting cost.  They return then and surround it.

A department store advertised one Easter time a $1000.00 hat, and the floor could not hold the women who came to see it.

We often employ this factor in psychology.  Perhaps we are advertising a valuable formula.  To merely say a valuable formula would not be impressive.  So instead, we state as a fact that we paid $100,000.00 for that formula.  That statement when tried has won a wealth of respect.

Many articles are sold under guarantee - so commonly sold that guarantees have ceased to be impressive.  But one business owner made a fortune by offering a dealer's signed warrant.  The dealer to whom one paid his money agreed in writing to pay it back if asked. Instead of a far-away stranger, a neighbor gave the warrant.  The results have led many to try that plan, and it has always proved effective.

Many have advertised, "Try it for a week.  If you don't like it we'll return your money."  Then someone conceived the idea of sending goods without any money down, and saying, "Pay in a week if you like them."  That proved many times impressive.

One great advertising person stated the difference this way: "Two men came to me, each offering me a horse.  Both made equal claims. They were good horses, kind and gentle.  A child could drive them. One person said, 'Try the horse for a week.  If my claims are not true, come back for your money.' The other person also said, 'Try the horse for week.' But he added, 'Come and pay me then.' I naturally bought the second person's horse."

Now countless things - cigars, typewriters, washing machines, books, etc.  - are sent out in this way on approval.  And we find that people are honest.  The losses are very small.

An advertiser offered a set of books to business men.  The advertising was unprofitable, so he consulted another expert.  The ads were impressive and the offer seemed attractive.  "But," said the second person, "let us add one little touch that I have found to be effective.  Let us offer to put the buyer's name in gild lettering on each book."  That was done, and with barely another change in the ads they sold some hundreds of thousands of books.

Through some peculiar kink in human psychology offering the names in gold gild gave much added value to the books.

Many send out small gifts, like memorandum books to customers and prospects.  They get very small results.  One person sent out a letter to the effect that he had a leather-covered book with a person's name on it.  It was waiting on him and would be sent on request.  The form of request was enclosed, and it also asked for certain information.  The information requested revealed products in which a person might be sold.

Nearly all men, it was found, filled out that request and supplied the information.  When a person knows that something belongs to them - something with his name on - he will make every effort to get it, even though the thing is trifle.

In the same way it is found that an offer limited to a certain class of people is far more effective than a general offer.  For instance, an offer limited to veterans of the war or to members of a lodge or sect.  Or to executives.  Those who are entitled to any seeming advantage will go a long way not to lose that advantage.

An advertiser suffered much from substitution.  He said, "Look out for substitutes," "Be sure you get this brand," etc., all with no effect.  Those were selfish appeals.

Then his headlines said, "Try our rivals' too”.  He invited comparisons and showed that he did not fear them.  That corrected the situation.  Buyers were vigilant in getting the brand so obviously superior that its maker could challenge the reader to investigate the competition as well.

Two advertisers offered food products nearly identical.  Both offered a full-size package as an introduction.  But one gave his package free.  The other offered a coupon that was good at any store for the package - the manufacturer paid retail price for his own product.

The first advertiser failed and the second succeeded.  The first even lost a large part of the market he had.  He cheapened his product by giving it away.  We as consumers find it hard to pay for a product which at one time was free.  It is like paying a highway toll after traveling on it free for many years.

The other gained added respect for his product by paying the retail price and allowing the user to try it.  A product good enough for the manufacturer to buy is good enough for the user to buy.  It is vastly different for the manufacturer to pay the retail price and let the prospect try the product than it is to simply say "It's free." The perceived value is much higher, and it does not devalue the product.

The same goes for sampling.  Hand an unwanted product to a housewife and she pays no attention.  She is in no mood to attempt to see its virtues.  But get her to ask for a sample after reading your story, and she is in a very different position.  She knows your claims. She is interested in them, otherwise she would not act.  She expects to find the qualities you communicated.

Mental impression is very powerful.  Submit five products exactly alike and five people may choose one of them.  But point out in one, a few qualities to notice and everyone will find them.  The five people will then all choose the same product.

If people can be made sick or well by mental impressions, they can be made to favor a certain brand in that way too.  And that, with some products is the only way to win them.

Two companies located side by side, sold women's clothing on installments.  The appeal, of course, was to poor girls who desire to dress better.  One treated them like poor girls and made the bare business offer.

The other put a woman in charge - a motherly, dignified, capable woman.  They did business in her name.  They used her picture.  She signed all ads and letters.  She wrote to these girls like a friend.  She knew herself what it meant to a girl not to be able to dress her best.  She had long sought a chance to supply women good clothes and give them all season to pay.  Now she was able to do so.

There was no comparison in those two appeals.  It was not long before this woman's long - established next-door rival had to quit.

The owners of another business sold house furnishings on installments.  They attempted to send out catalogs casually but it did not pay, so offering long-time credit seemed like a consideration.

When a married woman bought garments from Mrs. Smith’s store on credit, and paid as agreed, they wrote to her something like this: "Mrs. Smith, whom we know, tells us that you are one of her good customers.  She has dealt with you and says that you do just as you agree.  So we have opened for you a credit account on our books, good any time you wish.  When you want anything in furnishings, just order it. Pay nothing in advance.  We are very glad to send it without investigation to a person recommended as highly as you are."

That letter is flattering and naturally the recipient when wanting furnishings would order from that store.

There are endless phases to psychology.  Some people know them by instinct and some are taught through experience.  But we learn most of them from others.  When we see a winning method we jot it down for later use.

These things are very important.  An identical offer presented in a different way may bring returns 5, 10 or 21 fold greater than that of the previous method. Test, Test and Test some more, for somewhere within the halls of business experience we must find the best, most profitable method.