IKEA, Subway, and Spotify.
3 revolutionary brands. 1 common marketing tactic: The IKEA effect.
Here's how it started and what it could mean for you (and your business):
3 revolutionary brands. 1 common marketing tactic: The IKEA effect.
Here's how it started and what it could mean for you (and your business):
In the 1950s, Betty Crocker, an instant cake mix company, was about to fail.
To help turn things around, they partnered with Ernest Dichter.
aka the father of motivational research
To help turn things around, they partnered with Ernest Dichter.
aka the father of motivational research
After analyzing the situation, Dichter suggested something unconventional.
He asked Betty Crocker to remove the powdered egg from the packet.
And replace it with the instruction to add fresh eggs instead.
He asked Betty Crocker to remove the powdered egg from the packet.
And replace it with the instruction to add fresh eggs instead.
Essentially, he had told the company to put more burden on the consumers.
But why?
But why?
He felt that by increasing the bakers' workload, he could make them feel:
a heightened sense of ownership
a higher level of perceived value
And that's exactly what happened.
a heightened sense of ownership
a higher level of perceived value
And that's exactly what happened.
Betty Crocker's sales skyrocketed.
Making them the leaders of their time.
All because they asked the customers' to put in some more effort.
Making them the leaders of their time.
All because they asked the customers' to put in some more effort.
tl;dr
The IKEA effect:
The customer puts in more effort
Your employees save their time
You save on production costs
Your profit margin increases
And your business soars
The IKEA effect:
The customer puts in more effort
Your employees save their time
You save on production costs
Your profit margin increases
And your business soars
But that's just how it works in general.
Want to make it work for you?
Here's an in-depth breakdown with 3 tactics to help you apply the IKEA effect to scale your business: psychologyofmarketing.beehiiv.com
Want to make it work for you?
Here's an in-depth breakdown with 3 tactics to help you apply the IKEA effect to scale your business: psychologyofmarketing.beehiiv.com
Loading suggestions...