Siddharth Somesh
@ZigZag · 3:16
The Decoy Effect - We have all experienced it
This is known as the decoy effect, which is a very popular thing taught in marketing schools and marketing colleges and courses, where the medium item, the item that is priced between the lower end option and the upper end option is there just to make you feel like the highest paid option is the best deal available. Nobody would want to buy the medium price for 175. That's 75% more than my current budget
Aishani Chatterjee
@Aishani · 2:00
Okay, so the other day, maybe a week ago, my friend and I, we had gone to a mall and I wanted to treat her to ice cream. So we went to the food court and we were browsing through what sort of ice cream we would like. And I was looking at the prices and the smallest serving, which was just one scoop, it was priced at maybe $150 or something. And for two scoops, they were charging 275 or something around that
Siddharth Somesh
@ZigZag · 0:32
See, we've all experienced it with that ice cream. You realize that three scoops are actually a better deal than paying 100 or 170 for, you know, the one scoop. Next time you're at a Starbucks or any coffee place. Notice how they price their coffee sizes. The medium one is never want to buy, and they'll always tell you to get the venture or whatever is the largest equivalent
Swell Team
@Swell · 0:15
Kavya N
@KavyaNagarajan · 0:25
Hi, Siddharth. First of all, I need to say that such a unique thing that you have noticed. These are things actually, it was the strategy of the company to grab the consumers. So we do as a testimony, we do think which is better and all we purchased. Right. So it's such a nice world. So happy to hear this. Thank you for posting
Yes, you are absolutely true. Most of the times, everyone we had this experience, but we never realized that we are being treated in this way. And decoy effect is something which is being which I think might be experienced by everyone. I also had this experience in many instances. Now, when I was listening to you, I was relating myself. I was relating it to the experiences that I had in the past and how I was made