[English]
Companies spend billions of dollars
every year to manipulate your psychology
so you feel desire, loyalty, and
urgency. All in an effort to get you to
buy more stuff. This isn't a conspiracy.
It's [music] not even a secret. These
are strategies shared in boardrooms,
bragged about in tech offices, and liked
on LinkedIn. Brands hide their true
intentions from you through a slight of
hand. They seamlessly blend into
culture, track your every move, and hit
you with relentless messaging. Every
word, every image, and every offer is
tested and optimized to get you to buy
[music] more. And the more I looked into
it, the more I realized how
sophisticated it's gotten. This video is
sponsored by Surf Shark. I'll share more
about how they can help to keep your
data private later. If there's one thing
I want to get across from the very
beginning, it's this. Don't be fooled by
what companies say they value. It's all
[music] about the money. They'll claim
their mission is to make the world a
better place, to empower creativity, or
to build a community.
>> We're a company that focuses on
connecting people.
>> Let's be real, that's just the message
they want you to hear. The truth is much
simpler and far less romantic. They
don't want to empower creativity. They
want more people to make free content
for them. They don't want to build a
community. They want loyal customers
that keep coming back. They don't want
to make the world a better place. They
want you to buy more, more often, and
without thinking too hard about it. The
business model is simple. Capture your
attention, shape your perception,
[music] and turn it into profit. This
doesn't mean that every company is
inherently bad or that every advertising
strategy [music] is evil. It's just the
nature of capitalism. Maximizing profit
is the goal, and it's the same story
we've seen played out for decades,
except now companies are getting
smarter, using more sophisticated tools,
and making it so much harder for you to
resist. One of the oldest tricks in the
books is for brands to get you to like
them, to build genuine affinity and
trust. And it all starts with branding.
Most people today are savvy enough to
know that branding isn't just a logo,
colors, or style guide. It's carefully
engineered storytelling. Because
advertising doesn't just [music] sell
products, it sells values. Martin
Lindström, marketing insider and author
of the New York Times bestselling book
Biology, says, "Brands that create an
emotional connection to consumers are
much stronger than those that don't.
It's as simple and complicated as that."
Luxury car commercials don't talk about
gas mileage or safety ratings. They show
you freedom, success, power. Even
everyday products like deodorant or
shampoo are pitched as the key to being
a better, more authentic, or morally
ethical version of yourself. And you
know what? It really works.
>> Brands invest millions into crafting
their image, refining their message, and
building an identity that speaks to you.
Because they know it's going to help
bypass rational evaluation. You don't
buy a new car because you compared every
spec. You buy it because you want it to
say something about who you are. Think
about it. If you remove the logos from
three popular running sneakers, most
people, aside from sneaker heads, would
struggle to tell them apart. When so
many sneakers use the same materials,
shapes, and manufacturing processes,
it's the brand that makes the
difference. This was made very clear in
a 2018 stunt by the budget footwear
company Payless. Amid dropping sales and
on the verge of bankruptcy, Payless took
a big swing. They secretly took over the
lease of an old Armani store in Santa
Monica and turned it into a fake luxury
boutique called Paylessi. The pop-up
shop was extravagant and next to some of
the most expensive retailers here on
Third Street Prominade,
>> they had the same 20 to $40 shoes on the
shelves, but with fancy lighting,
minimalist displays, and high-end tags
that went up to $600. They invited
fashion influencers to the launch party,
and [music] it worked. People raved
about the quality, the design, and how
premium it all felt. Within hours,
Payless sold thousands of dollars worth
of inventory, beautifully demonstrating
the power of branding and how emotional
storytelling can shift your perception
of a product. And no, the irony doesn't
fail me that this itself was a clever
marketing stunt by a company looking to
sell more shoes. Brands have smartened
up a lot over the years. They know it's
much easier to tap into your current
emotions and behaviors than to
fundamentally change your beliefs.
>> This is one of Ram's most recent
commercials. Americans, we can do
anything we want
except one thing. We just can't stop
being American. If you were to reverse
engineer this ad back to its origins,
you'd probably end up in a room with a
handful of brand and marketing experts.
[music]
This is where it all begins. It's their
job to figure out how to make people
want a Ram truck. And they don't just
come up with this stuff out [music] of
nowhere. It's not based on their own
intuition or feelings. They look at
their competitors, panalyze [music] the
cultural climate, and study their target
audience. Learning, among other things,
that conservative Americans see the US
as the greatest country [music] in the
world. Even though among high-income
nations, it ranks 33rd in infant
mortality, 20th in education, 40th in
life expectancy, and has one of the
worst healthare systems in the world.
But facts don't sell trucks, feelings
do. So these brand experts decide that
they want to harness the feeling of
America is number one. After months of
research, meetings, script revisions,
production schedules, and expensive
shoots, this is what you get.
>> Americans, we [music] can do anything we
want except one thing. Lower the [music]
rates of infant mortality.
>> If you're anything like me, you watch
this commercial and see it as completely
absurd, out of touch, and embarrassing.
Like one YouTube comment put [music] it,
"The ad feels like a Grand Theft Auto
parody commercial." But if that's the
case, if that's how you feel, it's just
because you aren't the target audience.
They're not talking [music] to you.
They're talking directly to the person
who wants to believe America is number
one, who wants to see themselves as
tough, rebellious, free, and proudly
patriotic. They're saying, "If you want
to feel like a real American, then buy a
Ram." It's not telling you what to
value. It's figuring out how you think,
feel, and behave, and selling your
values back to you. This commercial is
just one very small example of how
brands show up in the world. 15 to 30
second commercials or TVC's as the
industry calls them are starting to take
a backseat to even more subtle and
effective messaging in the form of
organic content, email marketing
campaigns, user generated content, and
my favorite, comment marketing.
Microsoft Burger King, Gatorade, and
others use the comment section as
another touch point in their marketing
[music] strategy. With speed, wit, and
originality, they drop into
conversations to show the world, hey,
[music] I'm a multinational corporation
just like you. I mean person. I'm a
person just like you.
>> Every component a brand is sending,
every signal it sends, any interaction
you have with a brand is a brand. The
most effective brands in the world are
masters at storytelling across every
medium. Wendy's reinvented itself from
just another fast food chain into the
internet's snarky [music] friend. Liquid
Death is literally just water in a can,
but its content makes you feel
rebellious and irreverent. And if you
feel the urge to jump to the defense of
any of your favorite brands, that's most
likely because their marketing worked on
you. Look, it would be pretty
one-dimensional to just sit here and
say, "Brands bad, marketing bad." Plenty
of companies out there offer products
and services that genuinely add value.
We need razors to shave and jackets to
stay warm. And even beyond the basics,
there's nothing wrong with wanting a new
pair of sunglasses or noise cancelling
headphones. But if you're someone who's
trying to make more intentional
decisions about how you spend your time
and your money, if you don't like being
deceived into wanting things you don't
need, or if you've felt buyer's remorse
more times than you'd like to admit, the
problem isn't you. At the end of the
day, people know that they're being sold
to all the time. But what most people
don't realize is just how calculated and
manipulative it's become. And at its
worst, it crosses a line to being
completely unethical. Out of all the
advancements in marketing, the
sophistication of tracking and targeting
has arguably made the biggest impact on
what you buy and why you buy it. And
Facebook propelled this to an entirely
new level. People started sharing
personal information in a way they never
had before. Suddenly, advertisers didn't
have to guess who you were or what you
cared about. They had it all in a neat
little profile volunteered by you.
Today, datadriven advertising has gotten
so good, it often knows what you want
before you do. As far back as 2015,
advertisers were implementing haptic
targeting, picking up on your phone
sensors and physical cues to understand
what you're doing and then using that
data to sell things to you. So, if your
phone detects that you're running, you
might start seeing ads for a sports
drink. Or perhaps you just dropped your
phone. What a perfect time to send you
an ad for a rugged phone case. One of
the most common forms of advanced
targeting is called microargeting, and
it's used by virtually every big brand
today. Instead of blasting everyone with
the same generic ad, microtargeting
allows brands to send specific messages
to different audience segments [music]
like new parents, anxious college
students, or luxury shoppers. These
narrow groups are defined by shared
behaviors, interests, demographics, and
even emotional triggers. Exactly how
messed up does this kind of targeting
get? In April 2016, a leaked internal
document revealed that Facebook was
offering advertisers the ability to
target 13 to 17 year olds on its
platforms, [music]
including Instagram, specifically during
moments of psychological vulnerability.
That meant serving ads when teenagers
felt quote unquote worthless, insecure,
anxious, or stupid. They even identified
moments when teens were worried about
body confidence, making them prime
targets for products promising a fix.
Sarah Win Williams spent years inside
Facebook as the director of global
public policy and revealed in her book
Careless People how manipulative and
destructive this kind of targeting got.
>> The company is is always trying to push
further and further in the tools it
develops to [music] meet what
advertisers want.
>> In one example, she describes how
Facebook would retarget teenagers who
had just deleted a selfie, serving them
beauty product ads at that exact moment.
In her book, she says, "There's a reason
why you erase something from existence,
why a teen girl feels that it can't be
shared, and surely Facebook shouldn't
then be using that moment to bombard
them with extreme weight loss ads or
beauty industry ads or whatever else
they push on teens feeling vulnerable."
The weird thing is that the rest of our
Facebook co-workers seemed unbothered
about this. It's very very hard to wrap
your mind around the amount of data
[music] that this company has on each
person who logs on to its service.
>> Don't let Mark Zuckerberg's rebrand fool
you. Changing his wardrobe doesn't
change their business model. According
to Williams, nothing at the company
changed after these allegations were
brought forth. They simply put out a PR
statement to help repair their brand
image and proceeded on business as
usual. So, adding a brand sponsorship
into this video is a bold move. Let's
see how it plays out. So, one of the
main ways that I make an income and
invest back into my videos is through
sponsorships. And since I started over
10 years ago, I've been very selective
about the brands that I partner with. I
only recommend products and services
that I actually use myself and that I
can vouch for. That's why over the
years, I've only worked with about a
dozen or two brands, and I say no to 99%
of opportunities I get. But Surf Shark
is one of those rare companies that was
an easy yes for me. After years of being
lazy and giving away my data, I've
started to get more serious about
protecting it. Surf Shark is a VPN that
encrypts your internet traffic and hides
your IP address, making it much harder
for companies, trackers, and even
internet providers to watch what you're
doing. When everyone wants a piece of
your data, this is a very simple way to
put more control in your hands. Using
Surf Shark can help reduce the amount of
targeted ads you see and push back
against some of the psychological tricks
brands use. Additionally, Surf Shark
offers practical benefits that go beyond
basic privacy. It can help you avoid
price discrimination, a shady practice
where companies show higher prices based
upon your location. And it can also
protect you on public Wi-Fi by
encrypting your data, making it much
harder for hackers to intercept. Go to
surfark.com/mattavevela
or use code mattavela at checkout to get
an extra 4 months of Surf SharkVPN. And
remember, when you use my link, you're
not only getting access to a great
service, but you're also helping to
support this channel. So, thanks for
considering. Here's the thing. It's not
just about finding you at one vulnerable
moment. Sure, it helps, but to really
shape how you think about a brand or
product, they have to hit you again and
again and again and again and again. So,
marketers have long known that one
impression isn't enough. The classic
rule of thumb in advertising is seven
touch points. That's seven times to get
into your head and eventually into your
wallet. This number goes up or down
depending on a lot of factors, but what
brands know for certain is this. They
need to show up a lot to get [music] you
primed to buy. After all, you're a
respectable consumer. You're not going
to let Apple you on the first date. The
most effective companies in the world
have content creation engines, both
[music] paid and organic, that continue
to target you with brand messages
through their sales funnels. They are
trying to drive you from awareness,
hearing about the product for the first
time, to conversion, making the
purchase. This is what it might look
like. You learn about a new energy drink
in a viral stunt, then hear about it
from an influencer, spot [music] it in a
paid Instagram ad, catch it on a
billboard, and finally, you get a
special offer in an email that's not so
special at all. In fact, it's an offer
that they run 24/7 that really doesn't
make it much of a discount at all and
more of a strategy to change your
perception of value and make you feel
like you're getting a deal. You click
add to cart and get a sudden hit of
dopamine. You solved a problem. You're
trying something new. You're a consumer.
What a rush. The future of all these
marketing strategies is [music] getting
scary. Instead of generic messaging or
even microtargeted messaging based on
personality types, brands are going to
talk to you [music] directly at an
individual level with dynamic targeting.
Today, this marketing is still in its
early stages and [music] its
applications are most often used with
text and photo-based ads. An online
retailer can reserve the exact sweater
[music] that you added to your cart but
didn't buy. Or a travel site can show
you flights to a city you just Googled.
With AI, the future of dynamic targeting
is going to go even [music] further.
Imagine hyperpersonalized advertising
for every person connected to the
internet. 5 billion different
personality [music] profiles, 5 billion
different ad campaigns, 5 billion
different messages. Brands will shift
their messages subtly to speak directly
to you, your desires, your hopes, your
fears, and your dreams. [music] Instead
of just changing a headline or showing
you a product you looked at once, AI is
going to be able to generate completely
custom content [music] for you in real
time.
Hey Matt, as an American man with a
smaller than average penis, you deserve
more respect. That's why you need a new
Ram truck.
>> I mean, listen, I'm not a great
marketer, but you can imagine how they'd
use it. Just because these tactics are
widely used and highly effective does
not mean they are easy to implement.
Even the biggest brands in the world
make mistakes or go bust. But the ones
that succeed have the deepest pockets
and [music] the most experienced
marketers asking three main questions.
How can we turn this product or offering
into a feeling? How can we get as much
data about our audience as possible? And
what's the precise message our audience
needs to hear in what order to get a
sale with the least amount of money
possible? The winners answer these
questions, break through to cultlike
affection, and create affinity with
millions of people around the world.