The Placebo Effect & Branding

We've all heard the term "placebo effect" yes? Ok in case you haven't, allow me. Courtesy of WebMD, here's how the word "placebo" itself is defined followed by the definition of "placebo effect."

"A?placebo?is anything that seems to be a 'real' medical treatment -- but isn't. It could be a pill, a shot, or some other type of 'fake' treatment."

"Sometimes a person can have a response to a placebo. The response can be positive or negative. For instance, the person's symptoms may improve. Or the person may have what appears to be side effects from the treatment. These responses are known as the 'placebo effect.'"

Ok, now you know what a placebo and the placebo effect are.

Great.

Now read these quotes:

“Often your brain makes you believe, what you see is truly real, even when it is not.”

“Perception is nine-tenths of the natural law.”

“One has not only an ability to perceive the world but an ability to alter one's perception of it; more simply, one can change things by the manner in which one looks at them.”

And finally, this one:

“Brands are mostly defined by perceptions.”

Now, let me take you back four years. In an upscale LA mall, the world-famous shoe designer Bruno Palessi opened up a shop to showcase his latest designs. Media and influencers were invited to get an exclusive first glance - AND a chance to buy the latest designs from the brilliant Palessi.

There was just one problem.

It was all a stunt. It was all fake. It was... a placebo effect with shoe retailer Payless behind it all.

As reported by Forbes:

"The chain fabricated a fake designer (Bruno Palessi) and staged a 'grand opening' of the line’s expensive shoes in a former Armani store. All the trappings of luxe were there: the fawning fashionistas, the camera crews, the velvet ropes. And the shoes: Payless models that usually sell for less than $40 had price tags as high as $600 for the occasion. Sure enough, unsuspecting shoeaholics shelled out $3,000 for the drastically overpriced footwear during the two-night scam."

Here's a video with behind-the-scenes footage as front-of-the-scenes footage of so-called experts and influencers being completely taken in by that aforementioned "natural law" of which perception is nine-tenths.

So What Does This All Mean?

Well immediately following the prank, there was no shortage of op-eds and the like. Knowledge-At-Wharton wrote about the Five Marketing Lessons from the Payless Shoe Prank, while Vox opined that "Rude marketing stunts like “Palessi” are totally missing the point."

Each of these pieces is worth reading for sure but the point I want to make is this:

*I loved the stunt. Brilliant. The execution was flawless. And seeing the looks on the faces of the experts when they're told the designer shoes they just spent a lot of money on are in fact from Payless, not exactly a badge of fashion excellence, not that I am not knocking Payless by any means.

*The person who said "Brands are mostly defined by perceptions." was sooooo spot on it is incredible. It never ceases to amaze me how consumers - and I absolutely am one for sure - can be so swayed by what we THINK we see and touch and experience. As Forbes put it "If it’s expensive, it must be good." And "If the surroundings are opulent, the merchandise must be, too." Which leads me to my final point...

*Yes, all of the buyers in this story were reimbursed but the fact remains brands have a responsibility. A massive responsibility. Yes, there are safety issues brands need to be constantly vigilant and responsible about i.e. consumer data. But there are other responsibilities that brands need to be cognizant of and never lose sight of i.e. the understanding of just how impressionable (notice I did not say gullible because that would be too offensive and insulting, right? ??) we consumers really are.

I understand I may be Mary Poppins-ing all this and think brands not only will not care about this responsibly but in fact will capitalize and take full advantage of this "power" they have over all us laymen folks.

But a fella can dream, can't he? I believe in my heart and soul that there are brands and the people behind them - Patagonia comes to mind - who are not only fully aware of this enormous responsibility but are constantly reminding themselves as well as their staff of its existence and where that line is and that they should NEVER cross it.

I welcome your comments, thoughts, questions, recipes, life hacks, whatever.