Business & Management

Is It Loyalty or Habit?

Marketing theories on loyalty mostly dismiss the idea that consumer's repeated usage of the brand may be a result of a habit, rather than any emotional commitment to the brand. As a result, loyalty marketing often misses one vital component of generating customer stickiness - trying to convert brand choice into a habit. Neuro-imaging suggests that as actions are repeated, the activity in areas of brain involved in decision making actually decreases. This calls for an additional perspective of looking at loyalty as creating a habit loop. It may not involve significant additional resources, but can substantially enhance the effectiveness of the loyalty programs or marketing.

Behavioral Science and Corporate Decision-Making: Potential for Improvement?

Applications of behavioural knowledge could play a crucial role in improving corporate decision-making

Trust, the Sharing Economy and Behavioral Economics

Getting trust right is critical to commerce and economic growth. Evidence from behavioral economics can help guide the way.

What Volkswagen Should Do Next

By Timothy Gohmann   Image Credit: Chad Kainz (flickr) Volkswagen Group AG has admitted to gaming U.S. Environmental Protection Agency diesel-emission control testing affecting some 2 million vehicles worldwide. As a result, Volkswagen has replaced its CEO, Martin Winterkorn, with former Porsche CEO, Matthias Mueller, continues to run TV ads for its non-diesel vehicles and [...]

Go to Top