# Behavioral Science in CRM

- Link: https://phiture.com/mobilegrowthstack/psychology-in-crm/
- Published: 2022-01-13T14:12:06+01:00
- Author: Karan Tibdewal & Andy Hart

## ![](https://phiture.com/wp-content/uploads/2022/01/Article-banner-3-300x164.jpg)

Customers aren’t just users or data-points – they’re individual, unique people with
their own motivations, responsibilities and concerns. 

At Phiture, we know customers are the most essential facet of any business. That’s
why we believe understanding user behavior and motivation belongs at the forefront
of identifying user issues within products and services. We focus on retention and
engagement and are founded on principles of the highest impact.

We were joined by Florian Bonnet, Director of Product at Typeform, for an insightful
webinar presenting our learnings and experiences on using behavioral science in 
CRM.

 

Table of Contents

 * [How we do it: Phiture’s Psychology Lab](https://phiture.com/mobilegrowthstack/psychology-in-crm/#how_we_do_it_phitures_psychology_lab)
 * [Behavioral Frameworks](https://phiture.com/mobilegrowthstack/psychology-in-crm/#behavioral_frameworks)

## **How we do it: Phiture’s Psychology Lab**

While Phiture’s Psychology Lab is made up of a humble three-person crew, our unique
position in the industry allows us to work with some of the most prominent apps 
to unlock value using behavioral science-backed hypotheses. We’re able to rapidly
test and document how behavioral research can be utilized to amplify company growth.

Behavioral change sits at the foundation of growth marketing. Nudging, influencing,
and understanding why users perform certain actions informs your strategic decisions
and is the one of the most effective ways to maximise CRM impact.  

### **Here’s what we want to know:**

_How do users decide to try a product, continue to use a product, or return to a
product?_

Using the following methods and insights, we generate hypotheses (and in turn, solutions)
for how to convince users to make a decision or take favorable action for apps, 
products, or services. 

#### 

#### **Examples of desired behaviors in CRM**

 * Try a new product offer within two weeks of its rollout
 * Upgrade to yearly subscription after a 7-day free trial
 * Return to the product every Monday to perform _X _action
 * Upgrade to a yearly subscription after three months of premium use
 * Refer a user after six months of repeat engagement with a core metric
 * Provide an email during onboarding flow
 * Sign up for monthly newsletters after completing a core metric for the second
   time

## **Behavioral Frameworks**

Traditionally created for policy makers and industry leaders, frameworks for behavioral
intervention are at the core of applied behavioral science. By organizing and simplifying
complex theoretical insights and strategies, frameworks provide access to behavioral
science for marketeers and business strategists looking for an edge in the influence
of human decision-making. 

Let’s take a look at two popular frameworks: the Fogg Behavior Model and the MINDSPACE
framework.

### 

### **Fogg Behavior Model**

[The Fogg Behavior Model](https://behaviormodel.org/) details that a customer must
meet three requirements for the desired behavior to occur, and if one of those is
missing, the behavior doesn’t happen.

 1. Motivation
 2. Ability
 3. Prompt

According to the Fogg Behavior Model, if motivation is high and the action is easy
to complete at the time of the prompt, users are more likely to perform the desired
behavior.

When considering how this can be applied in CRM:

 1. Motivation – User milestones, monetizing benefits to remove pain points, incentives
    and promotional offers.
 2. Ability – Reduced barriers, proper deep linking, in-app educational messages and
    other comms which increase your ability to act.
 3. Prompt – CRM nudges based on a user’s motivation and abilities.

For example: you’ve made the decision to meditate before lunch, three times a week.
Maybe, when the **prompt** occurred (your alarm goes off), you were in a meeting
and didn’t have the **ability** to stop what you’re doing to find a place to meditate.
Or, perhaps you completed all of the courses in the free-trial and had little **
motivation** to go back and do them again.

You need all three to obtain the desired behavior from the user (meditating before
lunch, in this example); just one hiccup can throw off the entire process.

### 

### **MINDSPACE Framework to Change Behaviors**

The MINDSPACE framework is a pneumonic device for describing the forces that drive
behavior.

![](https://phiture.com/wp-content/uploads/2022/01/Graph3-241x300.jpg)

 Analyzing these forces concerning the user and their decisions is key to understanding
customer behavior and guiding their future actions towards a favorable one.

Understanding what drives human behavior and decision-making can unlock new strategies
for the world of CRM. Behavioral science and its spawn of applied frameworks help
to unlock these possibilities, creating systematic approaches to behavioral intervention.
Frameworks such as the Fogg Behavior Model and the MINDSPACE framework are fascinating
tools which organize and simplify the science of behavior.

Here at the Phiture Psychology Lab, we’re always happy to receive comments and feedback
from our readers. If you have any follow-up questions or would perhaps like to recommend
some additional reading or frameworks, don’t hesitate to [**get in touch**](https://phiture.com/work-together/).