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http://www.ted.com Advertising adds value to a product by changing our perception, rather than the product itself. Rory Sutherland makes the daring assertion that a change in perceived value can be just as satisfying as what we consider real value — and his conclusion has interesting consequences for how we look at life.
TEDTalks is a daily video podcast of the best talks and performances from the TED Conference, where the world’s leading thinkers and doers give the talk of their lives in 18 minutes. Featured speakers have included Al Gore on climate change, Philippe Starck on design, Jill Bolte Taylor on observing her own stroke, Nicholas Negroponte on One Laptop per Child, Jane Goodall on chimpanzees, Bill Gates on malaria and mosquitoes, Pattie Maes on the “Sixth Sense” wearable tech, and “Lost” producer JJ Abrams on the allure of mystery. TED stands for Technology, Entertainment, Design, and TEDTalks cover these topics as well as science, business, development and the arts. Closed captions and translated subtitles in a variety of languages are now available on TED.com, at http://www.ted.com/translate. Watch a highlight reel of the Top 10 TEDTalks at http://www.ted.com/index.php/talks/top10
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Rory, you are brilliant! I thoroughly enjoy everything you say 🙂 it's the accent and the curls 🙂
Did anyone else see the coke advertisement at around 8:30?
Yes!!
excellent
He would be the worst dad ever, you would try and talk him into buying you or letting you do something, and you would walk away after the conversation completely convinced tat you need to do what ever he just talked you into doing, and you would be happy about it.
Okay. I'm displeased. My brother resides in the next room. I'm pissed because he recently grew great at picking up the women. He found the Master Attraction web page (Start looking in Google) by Jake Ayres. Now I hear him bringing ladies back. He's continuously pulling girls back. I hear it. It's disgusting. If only he never found that site. I'm envious!
I love your dad! 🙂
He is so awesome!
My obese brother was able to make the most beautiful pole dancer there is in my town fall for him as he used the Cupid Love System (search in Google). It’s bad but I wish I became happy for him but I want such a beautiful lady to fall in love with me. I am extremely envious. Does that mean I’m a terrible human being?
Hi Millie! I am a huge fan of your dad, and was wondering if he would share his awesomeness at my B-school! Could you help? Thanks!
This is a man marketing the process of marketing. Very meta.
classic examples, and clear lesson on intangible value.
How can i to find this video in spanish(traslator) ? thank you.
Shreddies! hahaha.
Told to guard the potatoes,but secretly told to not do it very well. Made me laugh out loud. #howispendmysaturdaynight
Life is a dream for the wise, a game for the fool, a comedy for the rich, a tragedy for the poor…
Brilliant, I will have to watch this a few times and make notes, there are so many wonderful ideas in this presentation that I will somehow adapt for my own online project.
Thank you very much Rory.
Johnnie Lawson
British humor is usually regarded with suspicion by Americans, who have trouble distinguishing irony from sarcasm, have no patience with subtlety or word play, and generally take everything too literally.
This guy's thoroughly British humor wins over a tough crowd. It's easy to see how he has been successful in advertising. Because charm.
There isn’t really much to take away from this presentation. He doesn’t really develop any argument throughout. He should have gone to do a stand-up gig in the Apollo instead. The title of the presentation should have been life lessons from a con man because that’s what he really is – a con. He couldn’t help but flaunt his Oxford’s knowledge of history. Really, why bother having a presentation in TED just to show off one’s wealth and prestige by citing anecdotal examples and basic coursebook knowledge? How accurate his examples were? Prostitutes, supermodels, placebo effects. How about Coca-Cola? Such “a remarkable achievement”, such democracy. No, you clown, it’s capitalism and corporatism, not democracy. Shreddies example is outdated as well because it referred to the “old days” where, according to Mr. Sutherland, a pathetically grateful public believes anything that’s broadcasted over monopolized television networks. Anyways, just another flamboyant Elvis, we’ve seen plenty of these jokers around.
Advertising and manufacturing are often considered separate yet nothing could be further from the truth. Advertising is greatly centered upon manufacturing perceptions of value; and any manufacturing must be successfully advertised in order for awareness and acceptability of the product. The paradox of advertising also makes it that people have great power to choose whether to accept an advertisement or reject it in a free market-based society. Yet advertising can be more powerful than even coercion.
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A perfect example of how marketing can get people to buy the same product is played out all the time with breakfast cereals. When I was a kid, most of the corn based cereals (Trix, Cocoa puffs, Kix, etc) came all in the same round shape and a set color. But after some lagging sales, most of these cereals changed the shape or color of the cereal. Trix is the most obvious as they changed from the round shape to the shape of fruits. An obvious gimmick, but it caused the sales of those cereals to rise. After about a decade of this, sales started to lag again. What did the companies do? They just reverted all the cereals back to the original bland spheres, but then called it "New Trix". And sales went up. I wouldn't be surprised if in a few years, they repeat the cycle again.
While this seems like a copout, it is actually brilliant marketing. And Sutherland is right, we should be doing things like this. Because our culture is getting swept up into sensationalism, where we only look forward and completely give up on anything from the past. This way of thinking will just hurt sales in the long run since it creates smaller and smaller windows for a product to be popular. Something that comes out today will get replaced less than a year later. Or even a month later. That disgusting pink drink you got from Starbucks will become obsolete tomorrow when McDonalds comes out with a green drink that tastes horrible, but you gotta have it because it's "new".
Eventually, this constant change will fall back in on itself. Companies won't be able to afford their ballooning R&D budgets and people will become desensitized to change. We're already seeing it happen with smartphones and movies. But what's old is new again. And some smart businessman is going to see a lull in the market and reintroduce a fad from the 1920s, which everyone will be tricked into thinking it's new and buy it up.
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I watch it again and again
Agree with a lot of the stuff he said. But all value is perceived value is bullshit.
There are things that have actual value. Food, water, oxygen without those you're fucked.
13:19
Very good
They just created taxes… and sold it like is a good thing. Now the cities have more trafic but everyone in the city have to pay more to get in , for food, etc. Just stupid and very dumb
Great talk with a horrible advert at the end about cars now only being for the ultra rich and the rest of us can take the bus. great forward thinking. NOT.
?????
Awesome man! Diamond and square cereals!!
Amazing!
How does this video not offer a high resolution option?
Hilariously educative!!
British accent that can be perfectly understood by the American ear.
"On the left you have Rupert Murdoch or the BBC, on the right the dependent public which is pathetically grateful for whatever you give it." Monopoly suppliers explained.
This guy is a rockstar
Blogs Mentioned
Marginal Revolution by Tyler Cowen https://marginalrevolution.com/about
Must every TED talk be a standup comedy routine?
Love this!!!
I HATE ADDS.AND ALWAYS WILL. YOU LOT HAVE NEVER EVER CREATED ANY THING OF VALUE, BECAUSE WE THE PUBLIC HAVE TO PAY FOR YOUR STUPID ADDS . THEY SLAP THE COST ONTO THE CUSTOMER
11 years old and still ON-Point! Love Rory Sutherland, a marketer that has aged like a fine wine! <3
Remove curse off me
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It changed my mind thinking that advertisements are something tricky, I mean we do need that "tricky thing" to make us move forward and to be happy. Maybe to be alive needs something that assumes to be alive lol.
These are the people that should be in charge, not just career politicians.
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Wow! So informative and entertaining at the same time. Salute the teacher in him