Converting players to payers
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The hidden psychology that drives users to pay
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Converting players to payers
- 1. Converting players to payers … the hidden psychology that drives users to pay
- 2. Experiment no.1 Group Builders Non-builders Task 1. Create an origami crane or an origami frog 2. Bid on their product between 0 and 100 cents 3. Bid on the experts’ product 1. Bid on the builders’ product 2. Bid on the experts’ product Bids for builders’ creations $0.23 $0.05 2011 - Michael I. Norton, Daniel Mochon, Dan Ariely
- 3. The “IKEA Effect” Fig. 1 Bids on the origami creations
- 4. Participants truly believed in the value of their creations. We irrationally value our efforts
- 5. Involve users in the creation process as it can lead to higher willingness-to-pay Take away message:
- 6. Experiment no. 2 Group No. 1 No. 2 Control Task 1. Spend an hour on extremely boring tasks 2. Talk to another subject (actually an actor) and convince him that the tasks were interesting and engaging. Same as group no.1 1. Spend an hour on extremely boring tasks Reward $1 (equivalent to $8 in present day terms) $20 (equivalent to $162 in present day terms) - Rating Tasks: More + than group no. 2 and the control group - - 1959 - Festinger & Carlsmith
- 7. Cognitive Dissonance "I told someone that the task was interesting“ Vs. "I actually found it boring." • The $20 condition => an obvious external justification => less dissonance • The $1 group => no other justification. fun
- 8. "I’ve spent time on it!“ Vs. “It’s not worth kicking in $20"
- 9. “This must be worthwhile because I’ve spent time on it! And now that I’ve kicked in $20, it must be valuable because only an idiot would kick in $20 if it wasn’t!”
- 10. Take away message: • When making a purchase, players know it is unwise to spend money. • But, they justify their purchases to help convince themselves that they are not foolish. • The only solution is to keep paying to keep playing.
- 11. Experiment no.3 1997 Fogg, BJ, & Nass, C. Group No. 1 No. 2 Task 1 Answer a series of questions with the help of computers Computers Helpful when answering participants’ question Unhelpful, offering unclear answers Task 2 Switched roles and the machines began asking the people for assistance with their questions. Results Performed almost twice as much work for their machines
- 12. People vs. Machines • Mutual give and take is also observed when humans interact with machines. • We invest in products and services for the same reasons we put effort into our relationships.
- 13. Take away message: You have the opportunity to leverage this central trait of human behavior – reciprocity. Ask for an investment in your product after the reward.
- 14. Wrap-up 1. We Irrationally Value Our Efforts. 2. We Avoid Cognitive Dissonance. 3. We Give Back (Even To Machines).
- 15. Q & A