Marketing & Consumer Behavior

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Do Lab Studies Replicate in the Field? The Case of Simplified Nutrition Labels

There is a growing concern that the academic literature, because of publication biases and other limitations of single-shot, lab-based studies, overstates the power of nudges in real life. We examined this issue in a 10-week RCT in 60 supermarkets comparing 4 front-of-pack simplified nutrition labels. The good news is that the ordering of the nutrition labels was the same as in published lab-based studies. The bad news is that our effect sizes were, on average, 17 times smaller than in the published literature.

Charge for Use or Nudge to Reuse? Interventions to Discourage Plastic Consumption

Gauri Chandra discusses the negative implications of charging for single-use plastic bags and suggests alternative behavioural interventions.

Don’t Look at Me: Why We Dislike Being Observed in the Pre-Decisional Stage

Our decision making is subject to more pervasive observation than ever due to technologies that companies use to understand our offline and online activities — even before we make a purchase. Our research finds that consumers are particularly averse to being observed while they construct their preferences. Consumers feel that their sense of autonomy is threatened and distort their behaviors significantly in order to evade being observed.

My Savings Buffer Is More Than Yours

It is no secret that too few households save for a rainy day and this financial planning problem is a difficult habit to break. Would knowing your neighbours’ savings balance encourage you to save more?

Exerting Self-Control ≠ Sacrificing Pleasure

In the typical self-control experiment, participants are given a choice between a hedonic vice-food (e.g., chocolate) and a utilitarian virtue-food (e.g., fruit). Choosing the hedonic vice is interpreted as a self-control failure. We argue that self-control failures are better captured as choices that violate one’s long-term goals and induce regret. Accordingly, the consumption of hedonic food is not necessarily a self-control failure, and self-control does not necessarily entail a trade-off between pleasure and health. Our conceptualization has far-reaching consequences for consumers and policy-makers who try to help consumers exert self-control.

The Secrecy Effect

Advertisers often depict their products being consumed in a social setting, but increasingly they also depict people secretly consuming their products. Will consumers like a product more if they are prompted to consume it in secret? New research explores this question, finding that prompting women to think about consuming products in secret has an impact, not only on product evaluations, but also on behavior and willingness to pay for those products. The authors refer to this effect as the “secrecy effect.”

Rationality, Disclosure, and the “Privacy Paradox”

Many of us say we care about our privacy, but often disclose personal information. This asymmetry is called the “privacy paradox”. This phenomenon is only a paradox, however, if we assume people are rational or engage in rational disclosure decision-making. Taking into account our cognitive biases and the way online platforms are designed, it comes as no surprise that our disclosure behavior doesn’t always match our privacy preferences.

In Mobile We Trust: How Mobile Reviews Influence Consumer Decisions

Consumers often use online reviews as a source of information in their decisions to purchase products and services. In our research, we examine a novel cue that consumers use to infer whether a review is effortful and credible: an indication that the review was written on a mobile device. Implications of this research may impact how brands and online platforms choose to encourage and disseminate consumer-generated-content.

Why We Use Less Information Than We Think to Make Decisions

How much information do you need to make up your mind? Our research in various domains of decision making shows that we make decisions more quickly and based on less information than we think. This has important implications in an age in which information is plentiful.

The ‘Interpersonal Gambler’s Fallacy’: When Similarity Backfires

New research shows that being similar to a previous winner can have radically different effects on people’s participation likelihood in sweepstakes – it all depends on the attributions people make for the winning outcome.

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