The tyranny of logic with Rory Sutherland

Rory Sutherland, Vice-Chairman of Ogilvy
In this talk, Rory addresses the tyranny of logic and why sometimes, we just need to be a bit more magical.

Key takeaways on the tyranny of logic with Rory Sutherland

  • The marketing and advertising industry has a tendency to focus a little too heavily on โ€œpure creativeโ€ and โ€œpure targetingโ€ and not heavily enough on the other โ€œfive โ€˜Pโ€™sโ€.
  • Behavioural science can teach us to spot behavioural biases in ourselves. That is, spotting moments where oneโ€™s mental models used for convenience start becoming theories, traditions, and traps.
  • Are you a prison of your own narrative, propagated by the status quo that tells you that you have to live and work in a certain way? It is vitally important to question our knee-jerk conclusions and avoid โ€œimagination-free decision-makingโ€.
  • There are many, many cases in science and in life where you cannot proceed through deduction or induction because the information you need to make a decision is not present in all its forms.
  • If we are not having imaginative ideas about the why, we are missing brilliant stuff.

Step 1: Break out of the prison of your narrative by questioning why you think the way you do.

  • Big data has paved the way for a major trap in the business world: a need to make your decision-making look scientific.
    • This leads people within an organization to engage in โ€œimagination-free decision-makingโ€.
    • In business, sometimes we need the โ€œcheeky kidโ€ to pitch in alongside the kid who gets top marks for giving answers in line with what is established by the curriculum.
  • We need behavioural science as a model and a framework for inquiry, but we need it married to creativity every time.
  • Decision-making under uncertainty
    • In real-world decision-making, even if you have amazing data processing capacity, you never know everything you need to know to answer the question.
    • There are known unknowns and even unknown unknowns.
      • You can be scientific; but, you can only be scientific if youโ€™re also creative.

 

Step 2: Make room for subjective decision-making

  • Remember that โ€œsubjectiveโ€ does not mean โ€œimpure. Most peopleโ€™s definition of โ€œsubjectiveโ€ is โ€œyou could get in trouble for that kind of thinkingโ€.
  • Over-reliance on data is just a way to deflect any potential blame from yourself.
  • Subjective decision-making has nothing to do with the quality of your decision, but on how you defend the decision in the event that it goes wrong.

 

Step 3: In most scientific problems, you do not solve a problem through sequential logic, but through abductive inference.

  • Whenever you notice something unusual, ask yourself what would need to be true for this to pertain, or for this to be normal.
  • Many brilliant businesses fail due to their insistence on purely data-driven decisions.
    • If we are not having imaginative ideas about the whyย we are missing brilliant stuff.

 

Q and A on the tyranny of logic

Q: How can we learn more about this subject apart from reading your book?

A: I suggest my course Behavioural Economics on 42 Courses; the websites www.behavioraleconomics.com and be.insight.com; and the books:

Q: How do you sell solutions to companies if you donโ€™t know what their problem is?

A: You can go in with a hypothesis and case studies. I also recommend pattern recognition as a form of practical, pragmatic creativity. That is, find patterns in other things which you then apply somewhere else. Also, invite people from other disciplines. You are more likely to find a solution or a problem that can be solved in a conversation between marketing and logistics than you are if you purely look within marketing or purely look within logistics.

Q: How can marketing content help a business grow?

A: Most content helps a business grow, but itโ€™s not always possible to quantitatively measure that growthโ€”or for that content to receive credit even if it has a positive impact on your ROI. Nothing new, whether a product or a service, ever gets adopted without some kind of marketing behind it.

Q: What is your view on โ€œbrand purposeโ€?

A: Itโ€™s not a good idea to polarize your audience, and itโ€™s never a good idea to insult your customers. The jury is still out on Nikeโ€™s Colin Kaepernick ad, but the Gillette ad was more or less insulting its customers. If you engage in communication for a worthy cause, note that there are two kinds of communication: You make the message, and you experience the consequences of the message. Brands grow from โ€œbreadth of penetrationโ€ which basically means โ€œlevel of acceptanceโ€. Itโ€™s really important for every marketer to realize that, depending on your context and circumstances and past experiences, the way you interpret things is different from the next personโ€™s. Balance the worthiness of the cause with the quality of the message. The most important thing to consider is that it is possible to communicate a worthy cause and have it be counterproductive. The point is to avoid black-and-white generalizations that insult entire groups of people opposed to your brandโ€™s viewpointโ€”particularly those in your customer base.