Loss Aversion teaches us that people like to gain things, but that they like hanging on to what they have even more and feel losses much more profoundly than gains. So, you would think that effective policy to reduce disposable bag usage by charging a surcharge for a grocery bag would tap into these feelings.
Not so fast. New research reveals that Loss Aversion is not the reason for the grocery bag surcharge’s success.
In this episode of The Intuitive Customer, our guest host Alicea “Allie” Lieberman, a Ph.D. candidate from the University of California, San Diego, shares her findings with us regarding why incentives work. The Harvard Business Review also published an article about her results, “WhyWe’re Incentivized by Discounts and Surcharges” in February of this year. She and her research partner Kristen Duke also published their study in a peer-reviewed journal that shows how Social Norms help drive the effectiveness of incentives to change customer behavior.
What You Should Learn from Apple’s Outstanding Experience
I am a huge fan of Apple products. If there were already a waiting list for the next iPhone, I would be on it. For me, buying Apple products is emotional, intuitive, and automatic—all the things a brands needs to foster customer-driven growth.
Apple is excellent at incorporating principles of behavioral economics and psychology that are hugely influential on customer behavior in all the right ways. This episode of The Intuitive Customer explores how Apple does it and what you should do, too.
A global pandemic wasn’t in your plans this quarter. However, we see an opportunity to enhance your relationships with customers in this global crisis.
In this episode of The Intuitive Customer, we share ten strategies for managing the uncertainty surrounding COVID-19. Our practical tips help you manage the stress and anxiety at your front lines to the best possible outcome. Our approach will bring you closer to your customers at a time when world leaders are calling for social distancing as the norm.
Shark attacks have overblown importance compared to how often they occur. But since TV and movies have made so much of these rare, and rarely fatal events, we are sure we will be the next victim. These unlikely worries are the result of a psychological phenomenon called the Availability Heuristic.
This episode of the Intuitive Customer explores the Availability Heuristic and how it can help your brand promote customer-driven growth. Turns out, being available is a more significant influence than you think.
You all want growth, don’t know what to prioritize to get it, and aren’t nearly worried enough about the disruption AI will have on your industry. At least, that’s what our research late last year told us.
This episode of The Intuitive Customer reveals the trends we identified in our research late last year. While some of it was what we expected to hear, a few trends left us gobsmacked. Hear what we learned. We also share advice for understanding customer behavior to drive customer-driven growth from here.
We all misjudge other people’s motivations at times. The academic term for it is a Fundamental Attribution Error (FAE). An FAE describes how we misinterpret our limitations and the motivations of others and how we mistakenly attribute successes and failures for ourselves and others.
This episode of The Intuitive Customer explores FAEs’ effects on customer-driven growth. Understanding customer behavior avoids FAEs so you can manage the Customer Experience to a profitable place.