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NeuroTactic Overview

Lucky Loyalty Effect

We feel more entitled to random rewards when we invest more into a brand

SUMMARY:

The more someone spends with your brand, the more they feel entitled to a higher chance of receiving a random reward. If you have a loyalty program that gives away something for free every month, your most loyal customers, regardless of the fact that all of your customers are in the running to win, believe they have an advantage.

This behavior is called the Irrational Winner Effect. When we spend more time and money with a company, we believe we will get preferential treatment. This belief is further supported through loyalty programs and great customer service. But when we are entered into an uncertain situation in which we have an equal chance of winning something as every other customer, we will think that we have the upper hand.

This tactic can be used to increase the completion of otherwise mundane or boring tasks, such as training programs. By adding uncertain, or even random, rewards for those who have already demonstrated engagement and loyalty, the completion rate of a particular task will likely increase.

Primary Source:

Reczek, Haws, & Summers (2014) Lucky Loyalty: The Effect of Consumer Effort on Predictions of Randomly Determined Marketing Outcomes, Journal of Consumer Research

Dream Category:

Emotion

The DREAM framework, created by Vivid Labs, represents a research-backed framework for effective marketing messages. It stands for Desire, Routing, Emotion, Attention, and Memorability.

AIDA Category:

Interest
AIDA is a well-known framework for assembling a marketing message. It stands for the four steps of human decision-making: Attention, Interest, Decision, and Action.

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