Three Nudges

Published: 2019-07-18 08:40:52
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A nudge represents ways meant to influence a persons choice with minimal interference on the available choice set. A nudge changes the behavior of an individual in a predictable way without changing their economic incentives. In most cases, a nudge should always be simple and cheap to circumvent. In every situation, a nudge is likely to result in either good or bad choices. Organizations invest in ways to nudge consumers through exploiting the flaws in the individuals decision-making process. Firms use defaults as a prime platform for nudging target customers or clients towards making favorable decisions.

The first nudge I experienced was in a local grocery store. The grocery stores floor had large green arrows pointing towards the left side of the main hallway. The arrows contained different images of fruits and vegetables available in the store. All the arrows were pointing towards one direction only, the right side of the store. I decided to follow the arrows that led me to the produce section. In this section, a large banner indicated that any purchases made saved 10% of the amount used in normal shopping. The banner also contained a message that indicated Eat healthy, Stay healthy. Purchasing the produce was not part of my budget. However, this nudge influenced me towards buying the produce that appeared cheaper than before.

I experienced the second nudge at the McDonalds fast food restaurant. The restaurant carried out a campaign to help their customers reduce the meal portions they took every day to watch the number of calories consumed. McDonalds introduced the downsizing option where customers were urged to reduce the amount of food they eat. Since I needed to watch my weight, I realized that the campaign influenced me towards purchasing the downsize offer. This offer did not come with any discount. The use of friendly and non-offending language to encourage people to eat less worked well with most customers. The campaign informed customers of the existence of the downsize option and giving them the opportunity to choose.

The third nudge involved strategically placed mirror fixed at the front of the shopping carts. The mirror captured my reflection perfectly as I continued shopping at the local supermarket. The mirror constantly reminded me of the need to retain my image by staying healthy. Maintaining my health depended on the choices I made when shopping at the supermarket. Looking at my reflection constantly influenced me towards making healthier choices during my shopping experience. I felt the need to maintain my healthy look and opted for more natural foods and vegetables as compared to the processed foods. This nudge was successful towards influencing my decision to buy healthy foods and drinks.

The above examples of nudges that influenced my decision-making process shows the impact that nudges have on people. Nudge marketing entails using simple and cheap tactics and strategies to change an individuals behavior. Firms use nudges as a means to market their products and encourage more sales. Additionally, nudges also help consumers to make better choices given many options in their daily lives. Any firms and businesses to help their customers make informed decisions can use the use of nudge tactics. The main advantage to the consumer is that nudges do not interfere with the available choices. Nudges are specifically used to present cheap alternatives for individuals without changing their economic incentives.

sheldon

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