The Halo effect is the tendency for positive impressions of a person, company, brand, or product in one area to positively influence opinions or feelings in other areas.
It was originally identified in 1907 by American psychologist Frederick L. Wells (1884-1964). However, it gained prominence in 1920 when it was empirically demonstrated by the psychologist Edward Thorndike. He said, "It is a specific cognitive bias in which one aspect of a person, brand, product, or institution influences one's thoughts or judgments about the other aspects or dimensions of the entity."
He gave the phenomenon its name in his 1920 article "A Constant Error in Psychological Ratings".
The Halo effect is classified as a cognitive bias because it is defined as a perceptual error of the individual or society.
On the other hand, it is also good for business growth. It is not a false image but a perceived image due to the success of previous products of the company.
This is also a result of stronger brand equity of the company.
All companies should try to generate this effect in the market. The following steps will help -
1) Focus on an area or demographic where your potential customers are located.
2) Market your product well, go to the extramile for your customers in the area.
3) Be consistent in your service, solve problems
4) Update your product and service for the needs of the market.
5) Engage with your customers on social media.
6) Give them the opportunity to be proud of using your product.
Slowly, customers in this area will begin to promote your product. This word of mouth will be the beginning of the Halo effect for your business.
There may be other ways to bring it but the proven method is through constant word of mouth.
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- Halo Effect | Definition of Halo Effect by Lexico".
- ^ Al Ries (17 Apr 2006). "Understanding Marketing Psychology and the Halo Effect". Advertising Age. Crain Publications. Retrieved 2017-07-31