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Why Rory Sutherland is Right About Marketing

Nov 19, 2024

The Power of Perception, Creativity, and Context

When it comes to marketing, few voices stand out as much as Rory Sutherland’s. As the Vice-Chairman of Ogilvy UK, Sutherland’s unconventional approach to marketing has challenged norms and reshaped how brands connect with consumers. His insights blend behavioral science with creativity, urging brands to rethink their strategies, not just based on data, but by understanding human psychology.

Let’s dive into why Sutherland’s views are spot on and how embracing his ideas can revolutionize your marketing approach.


Perception is Everything

Sutherland’s quote, “We don’t value things; we value their meaning,” reveals a crucial truth in marketing: perception is often more powerful than reality. He highlights how Avis turned its position as the number two car rental company into a strength with its iconic “We Try Harder” campaign. Instead of hiding their position in the market, they embraced it, positioning themselves as the company that would go the extra mile for customers.

This idea is pivotal in marketing. What consumers perceive can be more important than the product itself. A brand’s story, its messaging, and its emotional connection with customers all play a huge role in shaping perceptions. As marketers, we must embrace the psychology of perception to craft messages that resonate and turn perceived weaknesses into unique strengths.

Marketing is R&D

One of Sutherland’s most profound insights is viewing marketing as a form of research and development (R&D). He believes that about 25% of the economy is about persuasion—not just creating products, but convincing people to want them. This insight was evident in Netflix’s evolution. Initially a DVD rental service, Netflix reinvented itself with a subscription model, removing late fees, and persuading consumers to adopt an entirely new way of consuming media.

This shift didn’t happen through conventional advertising or product development alone. It was the result of creative marketing thinking—rethinking how people interacted with content. Marketing is not just about promoting what you have; it’s about rethinking how people perceive and engage with what you offer.

The Limitations of Data

In a world obsessed with data, Sutherland is refreshingly honest: “Big data all comes from the same place—the past.” He cautions that while data is valuable, it is often limited by its focus on the past. Marketing based solely on data analysis might lead to predictable, short-term solutions but lacks the imagination needed for breakthrough innovation.

Sutherland advocates for creative thinking and behavioral science to expand the “solution space.” When we rely too heavily on past data, we limit the potential for breakthrough ideas. Creativity is the key to unlocking the future, and marketers need to embrace the unknown in their campaigns. Sometimes, it’s the unexpected that leads to extraordinary results.

Contrasting Strategies Can Both Work

Sutherland’s observation that “the opposite of a good idea can be a very good idea indeed” challenges the traditional view of “one-size-fits-all” marketing strategies. Take two airlines: Ryanair thrives on its no-frills, budget-friendly approach, while Emirates is known for its luxury experiences. Both have massive success, even though they operate on entirely different models.

This demonstrates that contrasting strategies can be equally effective depending on context. There is no one formula for success in marketing. Different markets, different customer bases, and different goals require different approaches. The key is understanding your audience and applying the right strategy to meet their unique needs.

The Power of Context

Sutherland’s insight that “If you change the context, narrative, or competitive set, you create value in the human head” is one of the most powerful lessons in marketing. How we frame a product or service can completely shift its perceived value.

Take the example of Sky’s TV package, which could seem expensive, but when framed as a cheaper alternative to buying a daily newspaper, it suddenly becomes more appealing. By altering the context, marketers can drastically change how customers perceive value. This is an essential lesson in branding: the same product can be seen in completely different lights, depending on how it’s framed.

Advertising Makes All the Difference

Sutherland’s famous analogy, “A flower is a weed with an advertising budget,” emphasizes the transformational power of advertising. A product, even if it seems ordinary at first, can be elevated into something desirable through smart, targeted advertising.

Whether you’re selling a product, an idea, or even a job opportunity, advertising can make the difference between obscurity and success. The right campaign can take something underappreciated and turn it into a must-have. Advertising is not just about promotion—it’s about shaping perceptions and influencing behavior.

Conclusion: Embrace Unconventional Wisdom

Rory Sutherland’s approach to marketing challenges the conventional and embraces the psychology of human behavior. By focusing on perception, creativity, and the context in which a product is viewed, marketers can create deeper, more meaningful connections with their audiences. Sutherland teaches us that the most unconventional strategies often lead to the greatest success.

As marketers, we should move beyond data-driven strategies and consider the broader picture. By leveraging human psychology, rethinking how we frame messages, and embracing creativity, we can truly transform the way we engage with customers. The future of marketing is not about following the numbers—it’s about connecting with the human experience.