Margin Memory Decay
🧠Why Every Discount Trains the Brain to Expect Less, What Consumers Expect from Brands on Social in 2025, and more!
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In this newsletter, you’ll find:
🧠 Margin Memory Decay: Why Every Discount Trains the Brain to Expect Less
📱 What Consumers Expect from Brands on Social in 2025
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PPC costs keep rising. Affiliate marketing gives you another path.
If you sell on Amazon, you’ve seen it firsthand—PPC costs are up, and returns are getting harder to justify. But there’s a smarter way to scale without burning through budget.
More sellers are shifting to affiliate marketing—a model that brings in external traffic, boosts your organic rankings, and only costs money when it drives a sale.
How?
Amazon rewards sellers who drive traffic from outside platforms—like blogs, review sites, and social posts. That traffic helps your listing perform better and convert higher.
The result:
✅ Lower ad spend
✅ Higher rankings
✅ More sales
Levanta has put together a free guide that breaks it all down:
How to set up an affiliate program that works
Which networks are best for Amazon sellers
How to find quality affiliates
Common mistakes (and how to avoid them)
🧠 Margin Memory Decay: Why Every Discount Trains the Brain to Expect Less
Every time you run a discount, you’re not just cutting price — you’re training your customer’s brain to expect less from your brand. That’s the core of Margin Memory Decay: the slow erosion of perceived value caused by repeated, predictable price drops.
The danger isn’t in discounting itself. It’s in conditioning. When buyers consistently see 20% off, they don’t view it as a bonus — they start viewing full price as a penalty. Over time, your standard pricing feels inflated, and loyalty shifts from brand to bargain.
So how do you preserve pricing power without sacrificing conversion?
🔧 Enter: The MMD Matrix — Your 5-Part Playbook to Stop Eroding Value
1. Deliberate Rarity = Scarcity Without Dependence
Replace calendar-based sales with gated or earned offers. “Subscriber-only anniversary pricing” or “2-year customer appreciation drop” reinforces exclusivity, not discount reflex.
2. Value-Stacking Over Price-Slashing
Don’t lower price — increase perceived value. Free upgrades, luxe packaging, exclusive access. If it costs you little but feels big, you’ve won.
Ex: Instead of 15% off, offer “free 3-day travel case — while it lasts.”
3. Price Laddering for Ascension, Not Abandonment
Start with trial kits or mini bundles. Then graduate customers toward premium SKUs. Behavioral psychology shows people rationalize paying more after investment.
“Start small, scale with confidence” becomes your pricing philosophy.
4. Psychological Segmentation
Identify deal chasers vs. premium buyers using behaviors like promo email open rates and discount redemptions. Design separate flows so one group gets exclusivity, the other gets rotating urgency — but no one gets predictable price drops.
5. Break the Sale Calendar
Train customers to expect the unexpected. Surprise drops, co-branded launches, loyalty-only offers — anything that disrupts rhythm creates salience, and salience preserves perceived value.
You don’t lose brand equity overnight. You lose it in inches — every time a buyer waits for the next deal. Margin Memory Decay is real, but reversible.
The smartest brands in 2025 won’t just stop discounting. They’ll rewire how value is perceived — and engineer a customer base that sees full price as the normal, not the exception.
Start with the MMD Matrix. And make your margin unforgettable.
📱 What Consumers Expect from Brands on Social in 2025
Insights from Emplifi
Social media has become more than just a platform for updates and entertainment—it’s now central to how consumers interact with brands. The latest “Social Pulse” report by Emplifi uncovers what followers really want and how brands can stay relevant.
The Breakdown
1. Deals Drive Loyalty - 64% of consumers follow brand accounts for promotions and discounts, and 60% of purchases are driven by offers.
2. Engagement Is Everything - 58% say they buy from brands that engage. Quick, human responses are key—especially in DMs, where 32% expect replies within an hour. Even one bad experience can drive away nearly a quarter of customers for good.
3. Real Over Celebs - User-generated content outperforms celebrity influence, with 65% of users trusting UGC and only 14% swayed by celebs. Consumers want brands that feature real reviews, relatable people, and authentic voices.
4. Content and Consistency Matter - Consumers want frequent but not overwhelming posts—daily for most, especially Gen Z. Short videos work well for Boomers, while Gen Z enjoys longer, interactive live streams.
Every post, reply, or delay shapes your brand experience. With nearly half of users leaving after just two bad encounters, brands must focus on fast support, clear communication, and content tailored by audience preference.
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