- NeuroNotions
- Topics
- Behavioral Economics
"Treat yo'self" — The Lipstick Effect
Why does treating yourself to a small luxury—like unlocking a premium feature or an ad-free experience, after you were made to wait those horrible 5 seconds—feel so satisfying? Welcome to the world of little treat culture, a growing consumer trend where small indulgences in the digital space provide comfort, joy, and self-care.In this edition of NeuroNotions, we’ll explore how economic uncertainty, social media, and behavioural psychology have fueled this cultural shift. We’ll also break down the science behind why these small digital luxuries feel so satisfying and how brands have capitalized on this mindset.
Instant Gratification in the Digital Age: How Bias for Speed Shapes Consumer Behavior
We now live digitally, speed isn’t just a feature—it’s expected. We now live in the age of instant gratification, where users demand immediate access, fast solutions, and seamless experiences. This “bias for speed” is shaping consumer behaviour in fascinating ways, and companies are capitalizing on it to drive engagement and conversion. Let's break down how the costs of this speed bias are emerging in user experience and retention.
Behavioral Economics in Product Pricing: How to Influence Perceived Value
Pricing goes beyond simple numbers—it taps into the psychology of decision-making. Behavioral economics reveals that our perception of price is shaped by subtle cues that can make a product seem like an irresistible deal or an unjustified expense. Let’s dive into the principles tech companies and product managers can leverage to enhance perceived value through strategic pricing techniques.