Monday, March 13, 2006

More choices can lead to lower sales

Michael Kanellos over at CNet has a good post on the negative effects of our glut of choices.

Killing me softly with salad dressing choices

"Studies back this up. In a grocery store experiment, a table loaded with 24 types of jams got many visitors, but sales were ten times higher when only six jams were offered. In a study of the 401K plans at 1,500 companies, participation in retirement plans dropped 2 percent every time ten more investment choices were added to the mix. In speed dating, participants had a greater chance of hooking up if they met six, rather than twelve, people in a session."

They think that intelligent filters may help people narrow their choices, but how do you put an intelligent filter on a grocery store isle?

It's curious that I saw this today because I thin there is a lot of opportunity in the filtering business.

2 comments:

Anonymous said...

Nice!

So, I'm thinking that I should "filter" future suggestions involving the installation of technological innovations on your Mac :)

Hans Christian Schmid said...

Exactly.

For those on the outside looking in, Adam suggested I try installing some open source software on my Mac that almost got me into trouble.