In “Predictably Irrational,” Dan Ariely speaks about the different effects expectations can have on individual experiences, whatever it may be. Marketers want to create products and/or services that enhance customer experience and they know that expectations and beliefs, pre-existing or new, can either positively or negatively impact their experience. As stated in “A Framework for Managing Customer Experiences,” experiences are “private events that occur in response to some stimulation (e.g., as provided by marketing efforts before and after purchase),” “involve the entire living being,” “often result from direct observation and/or participation in events—whether they are real, dreamlike, or virtual,” and “are usually not self-generated but induced.” One cause of expectations that can affect experience is knowledge which has the power to change our expectations and beliefs. Marketing is all about “providing information that will heighten someone's anticipated and real pleasure,” but the timing of that information, or knowledge, is key. Knowledge does not just inform (as the term may suggest), but also changes the physiology of the experience itself. Recently, my sister and I went shopping for a couch. My sister picked out two couches she liked and then asked me for my opinion, one was new and the other was used (but also looked new). I preferred a couch that was new and comfortable. My sister told me which one was new and which was used, and I immediately liked the way the new one looked and felt better. Later, we went to a different store, and my sister, knowing I am biased towards new things even though the used one looks and functions exactly the same, chose to not tell me which couches were new and used. This time, I ended up liking a used couch the best. When I was informed prior to making my decision the first time, I was biased towards the new couch. But when I was informed after I tried out the couches, although I was a little disappointed at myself for choosing the used couch, I admitted that the used and new couches at the store were pretty much the same, and was content with my choice the second time around. In addition to knowledge, expectations can also enhance experience through in-depth descriptions and eye-catching presentations. For instance, if a product, in this case food, has a rich description and has a gourmet presentation, it is more likely to be considered better than a different dish with the same exact ingredients. People simply have or form expectations based on previous knowledge and current information (the description and presentation of the food). Overall, I believe the primary lesson from this chapter is to not let expectations get in the way of the true experience. Or, because it is impossible to not have preconceptions or previous knowledge most of the time, we should be able to acknowledge that we are biased, so that we can try to have a more open mind and accept the facts and experience products and situations for the way they truly are. Knowing that expectations exist and are hard to get rid of, marketers can use this to gain valuable insights. By manipulating situations and experiments based on the biases, marketers can discover what consumers expect as a result of pre-existing knowledge, stereotypes, product description and presentation, etc. We can then use this data to continuously design valuable holistic experiences for the consumer with the sensory, emotional, intellectual/cognitive, physical/behavioral, and relational aspects combined. One way to create a lasting valuable experience is through strong branding. Knowing that expectations exist and cannot easily be thrown away, a strong brand can be extremely helpful when trying to persuade consumers to purchase your product over another. Take the case of Coke versus Pepsi. As studies have shown, the expectations, or brand, of Coke created by marketing gave Coke an advantage over Pepsi, even if the taste was not necessarily better.
The primary example Ariely gives to explain the effects of expectations is between Busweiser (later Sam Adams)-beer A versus MIT Brew (Budweiser plus balsamic vinegar)-beer B. Two students were offered both of the beers, but in a different manner. Jeffrey did not know that beer B was mixed with balsamic vinegar and ended up choosing beer B as his choice of beer, but Mina was offered information that beer B was laced with vinegar, so she chose beer A. This study demonstrates that people choose what they expect to be good based on prior knowledge of what vinegar tastes like. “When we believe beforehand that something will be good, therefore, it generally will be good-and when we think it will be bad, it will bad.” Another study was conducted with the two beers to demonstrate that beliefs can also change the physiology of the experience itself. This time, students were not informed that beer B was mixed with vinegar until after the beers were tasted. If knowledge merely informed people, then the students who were informed after tasting the vinegar-laced beer should have the same reaction as those who were informed before. This was not the case. The students informed after tasting actually “reshaped their sensory perceptions to align with the knowledge” and instead, enjoyed the vinegar-laced beer. A similar experience that I frequently encounter is when I go eat out at restaurants that serve authentic food. For example, I prefer authentic Mexican food and expect it to taste better than Tex-Mex. Because I have this expectation, even if the restaurant looks more run-down, I still think the food tastes good and better than it would at a nice restaurant that did not serve authentic Mexican food. In fact, I associate the run-down looking style as more “authentic.” If somebody told me that a particular dish was authentic when it really was not, but presented it in such a way that it was, I would believe them and probably still enjoy the food thinking it was authentic. Knowing that I can be very biased, I try not to hold preconceptions in mind when trying to make choices where I know expectations obviously exist, but it is admittedly very hard to let go of those biases.
Monday, September 28, 2009
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Jenny - You should break down your thoughts into more paragraphs, each centered on a single thought. Using headings and bullet points are also good ways to organize. Having certain key-terms in bold font (esp that relate to concepts and readings) also help highlight your though process.
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