shopper research: the paradox of choice

by: Sarah Kneebone

victoriano-izquierdo-JG35CpZLfVs-unsplash

Today’s shoppers are overwhelmed by choice. In a world fixated on freedom of choice, we have ended up with a severe case of ‘analysis paralysis’.

Brands want to make shoppers happier but instead, are often creating a psychological burden which turns shoppers off and results in decreased sales.

So, why is too much choice a problem?

Our minds are constantly looking for shortcuts (less time, less effort) and ways to reduce the risk of regretting our decisions.

Having to choose between a barrage of similar options induces feelings of anxiety, stress and even fear. Due to this, in many cases we opt for what is familiar or we run away from making a choice at all.

The JAM Study

The Jam Study is one of the most referenced experiments in consumer psychology. The study found that shoppers were 10 times more likely to purchase jam on the shelf, when the number of jams displayed was reduced from 24 to 6.

The Jam Study findings have since been supported by research in the Journal of Consumer Psychology and are cited by Barry Schwartz in his influential publication, The Paradox of Choice (2004).

The book refers to the problem of ‘choice overload’; there are too many products to choose between to either maximise value or satisfy our needs.

Although it satisfies our desire for freedom of choice, essentially too much choice is inconvenient and risky.

Are you a maximiser?

This problem is particularly stifling for ‘maximisers’ (people are either ‘satisficers’ or ‘maximisers’). This type of shopper feels compelled to weigh up every option to make the best decision possible (rather than selecting the first option which satisfies their needs).

The fear of not making the right decision will often lead a maximiser to complete indecision or repeated dissatisfaction with each choice they make... not great for your brand.

Think about when you look at a restaurant menu with far too many options and you’re trying to make the right choice to avoid food envy... stressful, right (or is that just me?!)?

Feeling the FOMO

It’s been 13 years since the release of psychologist Barry Schwartz’s book and these principles are increasingly valid in today’s world.

Social media, online shopping and smart phones have only exacerbated the problem – cue self-doubt and comparison, nobody/nothing being good enough and serious bouts of FOMO!

Could reducing choices boost sales?

In follow-up research, psychologists have found the scenarios when reducing choices for your customers is most likely to boost sales:

  • When people want to make a quick and easy choice (effort-minimising goal)

  • When making the right choice matters or you are selling complex products (the decision task is difficult)

  • When you show options that are difficult to compare (greater choice set complexity)

  • When your customers are unclear about their preferences (higher preference uncertainty).

Things to consider

It’s not always as simple as reducing options to increase sales and customer satisfaction though.

In supermarkets, for example, proliferating your options means less shelf space for the competition.

Another consideration is the
pressure on brands to innovate constantly, to keep up with the pace of competition, technology and the ever-more demanding shopper.

This considered, should our focus be on making these choices easier, rather than cutting products out of a brand’s range?

Perhaps brands should invest in helping shoppers compare their options or create a product with a bundle of features, to reduce search time.

So, could brands do better for themselves and their customers if they offered fewer choices or worked on making those choices easier?

Over to you

Let us know what you think!

Our shopper research solutions help you create a complete view of the path to purchase; helping you understand shoppers’ pre-store influences, trip missions, planning process, impulses, triggers, switching behaviour and final conversion to purchase. Check out our solutions HERE.

P.S. Check out The paradox of choice | Barry Schwartz’ on the TED YouTube channel for more!The Paradox of Choice TED Talk.jpg


read it, love it, share it.

about the author

Sarah Kneebone

Sarah is PLAY’s go-to content writer with a passion for marrying creativity and communication with clever strategy. A former marketer with PLAY and for international brands such as QBE Insurance and General Motors, Sarah moved home to the UK to raise her little family and start a health coaching business. Luckily for us, she continues to share her talent for the written word with the team in Australia.

ask the author

related posts

smart choices in AI: how to evaluate consumer research AI tools

Arrow

the art of failing forward into successful NPD innovation

Arrow

beyond taste: 6 key sensory testing tips for FMCG product success

Arrow

the reduce, reuse, recycle of innovation

Arrow

PLAY’s 2023 product picks: innovation, indulgence and automation

Arrow

3 tips for turning NPD stage-gate into a benefit, not a burden

Arrow

create a triple win by trying NPD “yes, and” with retail buyers

Arrow

4 Overlooked Opportunities in a Recession

Arrow

recession proof: ramping up innovation during an economic downturn

Arrow

listen or lose! the consumer-led way to avoid new product disaster

Arrow

preventing a costly relaunch misstep

Arrow

“PLAY’s ability to simplify what is sometimes a complex innovation research process worked perfectly for us."

Arrow

"PLAY have shown a strong understanding of research approaches, consumer brands and the FMCG categories we operate in."

Arrow

an action plan for FMCG businesses to avoid the ACCC’s campaign against greenwashing

Arrow

wins & woes in online grocery shopping: the experts weigh in

Arrow

UK HFSS legislation: understanding the impact on FMCG

Arrow

How to rally stakeholders to create a real “portfolio” of innovations (not just 28 line-extensions)

Arrow

how to find actionable NPD innovation insights

Arrow

tips for effective (yet effortless) product concept testing

Arrow

to benchmark or not? that’s not quite the question.

Arrow

4 tested tips to supercharge your NPD success in FMCG innovation

Arrow

Consumer sensory testing: fail forward or innovate fast?

Arrow

ingredient substitution: how to deliver perceived value AND increase profit margins

Arrow

fuelling the pipeline

Arrow

getting to market faster with design sprints

Arrow

package testing: how to spot unmet opportunities

Arrow

why FMCG product development should adopt sensible sustainability

Arrow

product performance analysis and inflation

Arrow

supermarket product shelf testing like you've never seen it before

Arrow

3 tips for packaging research success

Arrow

how to prioritise your research: when to invest or spend less

Arrow

how to use design sprints for superior innovation outcomes

Arrow

how to free up your time and educate your team to create killer concepts

Arrow

get ROI on consumer insights: failsafe tips to prove that innovation research is worth it

Arrow

dairy ideas that deliver to future focussed consumer needs

Arrow

balancing brand recognition with SKU differentiation on shelf

Arrow

understanding shopper response to a new type of cold & flu product

Arrow

using segmentation to inform a better, more consumer-focused approach to innovation

Arrow

identifying matches made in heaven (or hell!)

Arrow

bringing stakeholders and consumers together to develop powerful messaging

Arrow

expedite launch into a new category with innovation sprints

Arrow

pressure testing our product post-launch

Arrow

why products succeed and why they fail

Arrow

FMCG trends: post-pandemic predictions for 2022

Arrow

The new way to market zero and low alcohol products

Arrow

how much does market research really cost in Australia?

Arrow

how to write a product concept that delivers

Arrow

protecting your core range: is anyone 'normal' anymore?

Arrow

video: how do we take the start-up spirit into big business?

Arrow

PLAY's product picks of 2021

Arrow

2021 Product of the Year Awards: why did they win?

Arrow

upfront research: save money now, secure your product's future

Arrow

pivoting in a pandemic: what we can learn

Arrow

is your innovation process agile or fragile?

Arrow

how Amazon is impacting FMCG in a post-pandemic world

Arrow

the biggest soft drink trends for 2021 and beyond

Arrow

the biggest alcohol trends for 2021

Arrow

reimagining convenience with David Jones and bp concept stores

Arrow

busted: what consumers really think about popular product claims

Arrow

retail trends 2020: a COVID-19 Christmas

Arrow

our top 4 tips for running a remote innovation sprint

Arrow

hey Google, how do I use a smart speaker to enrich consumer research?

Arrow

how to find your product's sweet spot with rapid sensory research

Arrow

top natural trends for 2020

Arrow

gen z to boomers: how to market to every age

Arrow

the future looks rosé: top alcohol trends in a pandemic

Arrow

video: all you need to know about in-home product testing in 3 minutes

Arrow

get to market faster with innovation sprints

Arrow

video: FMCG trends and tips to gain a competitive edge during a crisis

Arrow

how you can nail your online offering with digital shopper

Arrow

solved: how to build a powerful brand

Arrow

3 ways sensory research safeguards success

Arrow

the biggest alcohol trends for 2020

Arrow

reaching new highs: Australia’s cannabis industry

Arrow

innovating in a complex category

Arrow

5 ways to deliver effective sensory research (without blowing the budget)

Arrow

5 top tips for a successful seasonal pack promotion

Arrow

how to build a sensory story at the largest CLT facility in Australia

Arrow

optimise path to purchase and protect your margins

Arrow

how eye-tracking will transform your shopper research

Arrow

why mini in-home usage trackers should be in your budget

Arrow

stretching beyond a brand's heartland

Arrow

Gen Z vs. Millennials: 6 ways they’re different

Arrow

sustainability: getting the green light from consumers

Arrow

how to minimise risk for new product launches

Arrow

how to effectively present and share insights within your organisation

Arrow

achieving faster sensory analysis with product clinics

Arrow

5 ways to get your product into consumers' healthy routines

Arrow

getting into the online shopper's basket

Arrow

natural trends: connecting with these consumers

Arrow

FMCG trends: the future of soft drinks

Arrow

video: the benefits of making market research more human

Arrow

concept testing: the basics

Arrow

sensory research: back to basics

Arrow

alcohol trends: tapping into health conscious drinkers

Arrow

innovation research: consumer-led product design

Arrow

packaging research: back to basics

Arrow

FMCG trends: the rise of small, innovative wellness businesses

Arrow

FMCG trends: adapting to an older market

Arrow

FMCG trends: the snacking revolution

Arrow

shopper trends: the changing face of Australia

Arrow

retail trends: leveraging the Chinese 'daigou' shopper opportunity

Arrow

FMCG trends: adapting to plant-based consumer demand

Arrow

packaging research: the e-commerce difference

Arrow

shopper research: applying semiotics for packaging success

Arrow

shopper research: how fear influences purchase decisions

Arrow

product testing: start ABC testing your product

Arrow

shopper research: packaging - mind hack your shopper

Arrow

product testing: is an in-home usage test the solution?

Arrow

shopper research: the paradox of choice

Arrow

putting sydney’s paddy’s market on the map

Arrow

coffee: enabling a strategic product call at lightning speed

Arrow

wild turkey bourbon wins with new pack design

Arrow

market segmentation: the Millennial mishap

Arrow

the beginner's guide to: animated concept testing

Arrow

co-creation: the secret to better packaging design

Arrow

packaging matters: new 'country of origin' food labels

Arrow

naming research: is your product name a winner?

Arrow

food trends: the reduced sugar rush

Arrow

chocolate trends: a sweet or sticky situation?

Arrow

it's 'go time' for convenience retailers

Arrow

online qual research: context collapse

Arrow