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Attentional Bias: Focusing on Certain Information Over Others

Attentional Bias is a cognitive bias where individuals focus on specific pieces of information while ignoring others. This bias can significantly influence how customers perceive and interact with brands, as they may concentrate on certain aspects of products or services while overlooking others.

Motivated Disbelief: Disbelieving Information That Contradicts Desires

Motivated Disbelief is a cognitive bias where individuals disbelieve or dismiss information that contradicts their desires or preexisting beliefsThis bias can significantly impact how customers perceive and interact with brands, as they may ignore or reject information that does not align with their expectations.

Echo Chamber Effect: Reinforcement of Beliefs Through Homogeneous Information

The Echo Chamber Effect is a cognitive bias where individuals are exposed to information and opinions that reinforce their existing beliefs, often through homogeneous information sources. This bias can significantly impact how customers perceive and interact with brands, as they may become insulated from diverse perspectives.

Effort Minimization: Seeking the Path of Least Resistance

Effort Minimization is a cognitive bias where individuals prefer options that require the least amount of effort, often leading to choices based on convenience and ease. This bias can significantly impact customer behavior and decision-making, as customers gravitate towards solutions that simplify their experiences.

Brand Halo Effect: Overall Brand Perception Influencing Specific Judgments

The Brand Halo Effect is a cognitive bias where the overall perception of a brand influences specific judgments about its products or services. This bias can significantly impact how customers evaluate individual offerings, as their positive or negative views of the brand shape their opinions.

Intensity Matching: Comparing Different Aspects of Customer Experiences

Intensity Matching is a cognitive bias where individuals compare the intensity of different aspects of their experiences, often leading to skewed perceptions and judgments. This bias affects how customers evaluate products and services, as they may focus on the most intense experiences rather than a balanced assessment.

Empathy Bias: Overemphasizing Emotional Connections with Customers

Empathy Bias is a cognitive bias where individuals overemphasize emotional connections and empathy towards others, which can influence their decisions and actions. In the context of customer experience, this bias can lead to prioritizing customer feelings and emotions over objective data and facts.

Behavioral Anchoring: Fixation on Initial Behaviors

Behavioral Anchoring is a cognitive bias where individuals rely heavily on the first piece of information or initial behavior they encounter when making decisions. This initial "anchor" sets a reference point that influences subsequent judgments and actions.

Choice Overload: Difficulty in Making Decisions with Too Many Options

Choice Overload is a cognitive bias where individuals experience difficulty and stress when faced with too many options, leading to decision paralysis or dissatisfaction with their choice. This bias can significantly impact how customers interact with products and services, as an overwhelming number of choices can hinder decision-making and reduce satisfaction.

Equivocation Bias: Ambiguous Language Influencing Decisions

Equivocation Bias is a cognitive bias where individuals are influenced by ambiguous or vague language, leading to misinterpretation and potentially flawed decision-making. This bias can arise in various contexts, from marketing to customer service, where unclear communication affects customer perceptions and actions.

Congruence Heuristic: Preference for Consistent Information

The Congruence Heuristic is a cognitive bias where individuals prefer information that is consistent with their existing beliefs and knowledge. This bias influences how people process new information, often leading them to favor data that aligns with their preconceptions and dismiss contradictory information.

Incremental vs. Radical Change: Customer Preferences for Innovation

Incremental vs. Radical Change refers to the differences in customer preferences and reactions to gradual improvements versus revolutionary innovations. Incremental changes involve small, continuous improvements to existing products or services, while radical changes introduce completely new concepts that significantly alter the market.

Reference Group Effect: Evaluating Oneself Based on Comparison to a Group

The Reference Group Effect is a cognitive bias where individuals assess their own behaviors, attitudes, and achievements by comparing themselves to a group they identify with or aspire to join. This bias significantly impacts how people perceive themselves and make decisions, often leading to changes in behavior to align with the group norms.

False Balance: Giving Equal Weight to Unequal Evidence

False Balance is a cognitive bias where individuals or media present two sides of an argument as equally valid, even when one side has significantly more evidence supporting it. This bias often arises from a desire to appear neutral or fair, but it can lead to misinformation and skewed perceptions.

Compensatory Heuristic: Making Up for Shortcomings

The Compensatory Heuristic is a cognitive shortcut where individuals offset perceived weaknesses in one area by emphasizing strengths in another. This bias was first identified by Herbert A. Simon, a pioneer in cognitive psychology and Behavioral Economics, during his research on decision-making processes in the 1950s and 1960s.

Disconfirmation Bias: Critical Examination of Contradictory Evidence

Imagine a customer who dismisses negative reviews about a favored product despite credible evidence. This is Disconfirmation Bias—a cognitive bias where individuals critically examine evidence that contradicts their beliefs more than evidence that supports them.

Blind Spot Bias: Failing to Recognize One's Own Cognitive Biases

Imagine a manager who believes they are objective but consistently favors certain team members. This is Blind Spot Bias—a cognitive bias where individuals fail to recognize their own biases.

Simpson's Paradox: Interpreting Data Trends Differently When Combined

Imagine a company that sees an overall increase in sales but a decrease in each product category when looked at separately. This is Simpson's Paradox—a cognitive bias where data trends can appear differently when combined versus when they are separated.

Feature Positive Effect: Focusing on Presence Rather Than Absence of Features

Imagine a customer who focuses more on the features a product has rather than what it lacks. This is the Feature Positive Effect—a cognitive bias where individuals focus on the presence of features rather than their absence.

Tendency to Minimize Regret: Making Decisions to Avoid Regret

Imagine a customer choosing a product to avoid potential regret later. This is the Tendency to Minimize Regret—a cognitive bias where individuals make decisions aimed at avoiding future regret.

Social Loafing: Exerting Less Effort in a Group Than When Alone

Imagine a team project where some members put in less effort, assuming others will pick up the slack. This is Social Loafing—a cognitive bias where individuals exert less effort in a group than when working alone.

Scarcity Heuristic: Valuing Something More Because It Is Perceived as Scarce

Imagine a customer who rushes to buy a product because it's labeled as "limited edition." This is the Scarcity Heuristic—a cognitive bias where individuals value something more because it is perceived as scarce.

Restraint Bias: Overestimating Self-Control in the Face of Temptation

Imagine a customer who believes they can easily resist impulse purchases but ends up overspending during a sale. This is Restraint Bias—a cognitive bias where individuals overestimate their ability to control impulses.

Moral Credential Effect: Using Past Good Deeds to Justify Future Bad Ones

Imagine a customer who feels entitled to act selfishly after making a generous purchase. This is the Moral Credential Effect—a cognitive bias where individuals use past good deeds to justify future bad actions.

Less-Is-Better Effect: Preference for Smaller Sets of Better Items

Imagine a customer who prefers a small selection of high-quality products over a vast array of average ones. This is the Less-Is-Better Effect—a cognitive bias where individuals favor smaller sets of superior items.

Information Bias: Seeking Information Even When It Cannot Affect Action

Imagine a customer who continues to seek more information about a product even after they've made a purchase decision. This is Information Bias—a cognitive bias where individuals seek information even when it cannot affect their actions.

Groupthink: Conforming to Group Consensus Without Critical Analysis

Imagine a team of customers deciding on a product based on group consensus rather than individual evaluation. This is Groupthink—a cognitive bias where individuals prioritize group harmony over critical analysis.

G.I. Joe Fallacy: Knowing About a Bias Doesn't Eradicate Its Influence

Imagine a customer who is aware of the impact of advertising but still gets swayed by a well-crafted commercial. This is the G.I. Joe Fallacy—a cognitive bias where knowing about a bias doesn't necessarily prevent its influence.

Forer Effect: Believing General Statements as Highly Accurate for Oneself

Imagine a customer who reads a product description or a review and feels it speaks directly to them, even though the statements are quite general. This is the Forer Effect—a cognitive bias where individuals believe vague, general statements are highly accurate for themselves.

False Memory: Recollections of Events That Did Not Occur

Imagine a customer who vividly remembers a positive experience with a product that they never actually had. This is False Memory—a cognitive bias where individuals recall events or details that never occurred.

Conservatism Bias: Insufficient Adjustment of Beliefs When Presented With New Evidence

Imagine a customer who sticks to an outdated belief about a product despite new, compelling evidence that suggests otherwise. This is Conservatism Bias—a cognitive bias where individuals make insufficient adjustments to their beliefs when presented with new evidence.

Belief Perseverance: Maintaining Beliefs Despite Contradictory Evidence

Imagine a customer who continues to believe in a product’s effectiveness despite new evidence showing it has flaws. This is Belief Perseverance—a cognitive bias where individuals maintain their beliefs even when presented with contradictory evidence.

Backfire Effect: Strengthening of Beliefs When Challenged

Imagine a customer who, when presented with evidence contrary to their beliefs about a product, becomes even more convinced of their original stance. This is the Backfire Effect—a cognitive bias where attempts to change someone's mind with evidence can reinforce their preexisting beliefs.

Impact Bias: Overestimating the Duration of Emotional Reactions

Imagine a customer who believes that buying a new gadget will make them happy for a long time or that a poor service experience will ruin their mood for days. This is Impact Bias—a cognitive bias where people overestimate the duration and intensity of their emotional reactions to future events.

Frequency Illusion: Noticing Something More Often After Learning About It

Imagine a customer who starts noticing a specific brand or product everywhere after encountering it for the first time. This is the Frequency Illusion—a cognitive bias where people notice something more frequently after they have been exposed to it.

Effort Justification: Valuing Experiences More Due to Effort Invested

Imagine a customer who feels particularly satisfied with a product because they put in a lot of effort to obtain it. This is Effort Justification—a cognitive bias where people tend to value an outcome more if they have invested a lot of effort into achieving it.

Clustering Illusion: Seeing Patterns in Random Data

Imagine a customer who believes that because they had three bad experiences in a row with a brand, the brand must be inherently bad. This is Clustering Illusion—a cognitive bias where people see patterns in random data.

Counterfactual Thinking: Imagining Alternative Scenarios That Did Not Happen

Imagine a customer who regrets not choosing a different product, constantly thinking about "what if" scenarios. This is Counterfactual Thinking—a cognitive bias where people imagine alternative outcomes to events that have already occurred.

Money Illusion: Focusing on Nominal Rather Than Real Values

Picture a customer who is excited about a salary increase but doesn’t consider the rising cost of living. This is Money Illusion—a cognitive bias where people focus on nominal values (the face value of money) rather than real values (adjusted for inflation).

Cheerleader Effect: Objects Appearing More Attractive in Groups

Picture a group of products displayed together, making each item seem more appealing than if viewed alone. This is the Cheerleader Effect—a cognitive bias where items appear more attractive when they are part of a group.

Surrogate Outcome Bias: Focusing on Tangible Outcomes Rather Than True Goals

Picture a company that measures success solely by the number of sales rather than customer satisfaction or long-term loyalty. This is Surrogate Outcome Bias—a cognitive bias where individuals focus on tangible, often easier-to-measure outcomes instead of the true goals that drive long-term success.

Declinism: Belief That Society Is Generally Declining

Imagine someone constantly lamenting that things were better in the past and that society is on a downward spiral. This is Declinism—a cognitive bias where individuals believe that society or certain aspects of life are in decline.

Stereotyping: Overgeneralized Beliefs About a Group of People

Imagine assuming that all teenagers are tech-savvy or that all senior citizens struggle with technology. This is Stereotyping—a cognitive bias where individuals form overgeneralized beliefs about a group of people.

Zero-Risk Bias: Preference for Reducing Small Risks to Zero

Imagine being overly cautious, choosing the option with no risk at all even if it means missing out on greater benefits. This is Zero-Risk Bias—a cognitive bias where individuals prefer to eliminate small risks entirely rather than reducing larger risks.

Normalcy Bias: Underestimating the Possibility of a Disaster

Imagine dismissing warnings about an upcoming storm because it seems unlikely to hit your area. This is Normalcy Bias—a cognitive bias where individuals underestimate the possibility of a disaster and its potential impact.

Moral Licensing: Justifying Bad Behavior by Pointing to Good Behavior

Imagine feeling entitled to slack off at work because you put in extra effort the day before. This is Moral Licensing—a cognitive bias where individuals justify bad behavior by pointing to their prior good behavior.

In-Group Favoritism: Preference for Members of One's Own Group

Imagine feeling a stronger connection to people who share your background, interests, or experiences. This is In-Group Favoritism—a cognitive bias where individuals prefer and show favoritism towards members of their own group.

Egocentric Bias: Overestimating One’s Role in Past Events

Imagine believing that your contributions to a group project were more significant than they actually were. This is Egocentric Bias—a cognitive bias where individuals overestimate their own role and influence in past events.

Reactance: Resistance to Persuasion When Freedom Is Threatened

Imagine being told you can't do something, only to find yourself wanting to do it even more. This is Reactance—a cognitive bias where individuals resist persuasion when they feel their freedom is threatened.

Identifiable Victim Effect: Greater Empathy for Individuals Than for Groups

Imagine feeling a stronger emotional response to the plight of a single identifiable person than to a large, anonymous group. This is the Identifiable Victim Effect—a cognitive bias where individuals show greater empathy and willingness to help identifiable victims compared to statistical victims.

Introspection Illusion: Overestimating the Reliability of Introspective Thought

Imagine believing that your introspections and self-reflections are always accurate. This is Introspection Illusion—a cognitive bias where individuals overestimate the reliability of their own introspections and thoughts.

System Justification: Rationalizing the Status Quo as Just and Deserved

Imagine accepting an unfair system simply because it's the way things have always been. This is System Justification—a cognitive bias where individuals rationalize the status quo as just and deserved.

Hot-Cold Empathy Gap: Difficulty Predicting Actions in Different Emotional States

Imagine making decisions in a calm state and later finding those choices unwise when emotions run high. This is the Hot-Cold Empathy Gap—a cognitive bias where individuals struggle to predict their actions in emotional states different from their current one.

Shared Information Bias: Preference for Discussing Information That Is Already Known

Imagine a team meeting where everyone focuses on rehashing well-known facts rather than introducing new insights. This is Shared Information Bias—a cognitive bias where individuals prefer discussing information that is already known rather than exploring new data.

Contagion Heuristic: Belief That Objects Carry Essences That Affect Judgments

Imagine avoiding a perfectly good second-hand sweater because it belonged to someone you dislike. This is the Contagion Heuristic—a cognitive bias where individuals believe that objects carry the essences of their previous owners or creators, affecting their judgments.

Outcome Bias: Judging a Decision Based on Its Outcome Rather Than Its Quality

Imagine celebrating a risky investment solely because it paid off, ignoring the fact that the decision process was flawed. This is Outcome Bias—a cognitive bias where individuals judge decisions based on their outcomes rather than the quality of the decision-making process.

Spotlight Effect: Overestimating the Extent to Which Actions Are Noticed by Others

Imagine walking into a room and feeling like everyone is watching you, even though they probably aren't. This is the Spotlight Effect—a cognitive bias where individuals overestimate how much their actions are noticed by others.

Dread Risk: Overestimating the Likelihood of Rare but Dramatic Events

Imagine avoiding air travel because you fear a plane crash, even though it's statistically safer than driving. This is Dread Risk—a cognitive bias where individuals overestimate the likelihood of rare but dramatic events.

Triviality Effect: Giving Disproportionate Weight to Minor Issues

Imagine spending hours debating the color of a button on a website while ignoring major usability issues. This is the Triviality Effect—a cognitive bias where individuals give disproportionate weight to minor issues.

Risk Compensation: Taking Greater Risks When Perceived Safety Increases

Imagine driving faster because you're in a car with advanced safety features. This is Risk Compensation—a cognitive bias where individuals take greater risks when they feel safer.

Third-Person Effect: Belief That Others Are More Affected by Bias Than Self

Imagine thinking that advertisements influence everyone else but not yourself. This is the Third-Person Effect—a cognitive bias where individuals believe that others are more susceptible to media influences than they are.

Just-World Hypothesis: Belief That Outcomes Are Fair and Deserved

Imagine believing that good things happen to good people and bad things happen to bad people. This is the Just-World Hypothesis—a cognitive bias where individuals believe that outcomes are fair and deserved.

Hot Hand Fallacy: Belief in Continuing Success Based on Past Wins

Imagine betting heavily on a sports team just because they've won their last five games. This is the Hot Hand Fallacy—a cognitive bias where individuals believe that success will continue simply because it has occurred previously.

Empathy Gap: Underestimating the Influence of Emotional States on Decisions

Imagine trying to make a rational decision when you're extremely hungry or angry. The Empathy Gap is a cognitive bias where individuals underestimate the influence of emotional states on their decisions.

Pessimism Bias: Expecting Negative Outcomes and Its Effects on Decisions

Imagine always expecting the worst-case scenario. This is Pessimism Bias—a cognitive bias where people tend to overestimate the likelihood of negative outcomes. Understanding and leveraging Pessimism Bias can significantly impact customer experience by enhancing satisfaction, loyalty, and engagement.

Default Bias: Preference for Pre-Selected Options

Imagine being presented with a series of choices where one option is already selected for you. Most people will stick with this default option. This is Default Bias—a cognitive bias where people tend to go with pre-selected options.

Ambiguity Aversion: Avoidance of Unknown Options

Imagine being presented with two options: one that you know well and another that is unfamiliar. More often than not, people tend to choose the familiar option, even if the unfamiliar one might be better. This is Ambiguity Aversion—a cognitive bias where people prefer known risks over unknown ones.

Zeigarnik Effect: Customers' Tendency to Remember Incomplete Tasks

Have you ever found yourself thinking about an unfinished task more than a completed one? This is the Zeigarnik Effect—a cognitive bias where people tend to remember incomplete or interrupted tasks better than completed ones.

Temporal Discounting: Valuing Immediate Rewards Over Long-Term Gains

Imagine choosing a smaller reward today instead of a larger reward in the future. This is Temporal Discounting—a cognitive bias where people tend to prefer immediate rewards over long-term benefits.

Reciprocity Bias: Customers’ Inclination to Return Favors

Imagine receiving a free sample at a grocery store and feeling more inclined to purchase the product. This is Reciprocity Bias—a cognitive bias where people feel compelled to return favors or acts of kindness.

Context Effect: The Impact of Environmental Factors on Customer Perceptions

Imagine walking into a store with calming music, subtle lighting, and a pleasant aroma. These environmental factors significantly influence how you perceive the products and services offered. This is the Context Effect...

Affect Heuristic: Emotional Influences on Customer Decisions

Imagine being drawn to a product simply because it makes you feel good, even though you haven't fully evaluated its features. This is the Affect Heuristic—a cognitive bias where people rely on their emotions and feelings to make decisions.

Von Restorff Effect: Increased Recall of Unique Customer Experiences

Imagine visiting a theme park and vividly recalling the one ride that was completely different from the others. This is the Von Restorff Effect—a cognitive bias where people are more likely to remember unique or distinctive items compared to common ones.

Serial Position Effect: Importance of First and Last Impressions

Picture yourself browsing an online store, and you are most likely to remember the first and last products you see. This is the Serial Position Effect—a cognitive bias where people tend to remember the first (primacy effect) and last (recency effect) items in a series better than the middle ones.

Salience Bias: Focusing on the Most Noticeable Information in Decisions

Imagine walking into a store and being immediately drawn to a bright, prominently displayed item, even though it may not be what you came for. This is Salience Bias—a cognitive bias where people focus on the most noticeable or prominent information when making decisions.

Peak-End Rule: Judging Experiences Based on Peaks and Endings

Imagine attending a concert with a few unforgettable moments and a fantastic finale. Despite minor flaws during the event, you remember it fondly. This is the Peak-End Rule—a cognitive bias where people judge experiences largely based on how they felt at the peak moments and the end.

Overjustification Effect: Reduced Motivation from External Incentives

Imagine a child who loves drawing, but when they start receiving rewards for their drawings, their intrinsic motivation diminishes. This is the Overjustification Effect—a cognitive bias where external incentives diminish intrinsic motivation.

Impression Management: Customers Shaping Their Image Through Purchases

Imagine buying a high-end designer handbag not just for its functionality but for the image it projects to others. This is Impression Management—a cognitive bias where people purchase products or services to manage how they are perceived by others.

IKEA Effect: Overvaluing Products Customers Help Create

Imagine assembling a piece of furniture and feeling a greater sense of pride and attachment because you built it yourself. This is the IKEA Effect—a cognitive bias where people overvalue products they have helped to create.

Hyperbolic Discounting: Preference for Immediate Rewards Over Future Benefits

Imagine being offered a choice between receiving $100 today or $150 in a month. Many people would choose the immediate reward, despite the higher future value. This is Hyperbolic Discounting—a cognitive bias where people prefer smaller, immediate rewards over larger, delayed ones.

Effort Justification: Valuing Experiences More Due to Effort Invested

Imagine spending hours assembling a piece of furniture and feeling an increased sense of pride and satisfaction because of the effort you put into it. This is Effort Justification—a cognitive bias where people attribute greater value to outcomes that required significant effort.

Distinction Bias: Overemphasis on Differences in Comparative Choices

Imagine choosing between two seemingly identical products but focusing on minor differences that lead you to prefer one over the other. This is Distinction Bias—a cognitive bias where people overemphasize differences when comparing options side by side.

Contrast Effect: Enhancing Product Appeal Through Comparative Evaluation

Imagine choosing between two vacation packages and favoring one because it seems significantly better compared to the other, even if both options are objectively similar. This is the Contrast Effect—a cognitive bias where the perception of differences between two or more items is exaggerated when they are compared.

Cognitive Dissonance: Discomfort from Conflicting Beliefs in Customer Loyalty

Imagine feeling uneasy after purchasing a product that doesn’t align with your previous beliefs about its brand. This is Cognitive Dissonance—a psychological phenomenon where people experience discomfort due to conflicting beliefs, attitudes, or behaviors.

Belief Bias: Judging Arguments Based on Believability of Conclusions

Imagine hearing an argument about the benefits of a new technology that aligns with your existing beliefs, and instantly accepting it as true without evaluating the evidence. This is Belief Bias—a cognitive bias where people judge the strength of arguments based on the believability of their conclusions.

Authority Bias: Influence of Expert Recommendations on Customer Choices

Imagine choosing a medical treatment because a renowned doctor endorses it, even though you haven't compared it with other options. This is Authority Bias—a cognitive bias where people attribute greater accuracy to the opinion of an authority figure.

Unit Bias: Perception of Product Quantity and Its Effect on Consumption

Imagine always finishing your meal because you believe that one serving is the right amount, regardless of your hunger level. This is Unit Bias—a cognitive bias where people perceive a single unit of anything as the appropriate and optimal amount.

Rhyme-as-Reason Effect: Persuasive Power of Rhyming Phrases in Marketing

Imagine hearing a catchy slogan like "An apple a day keeps the doctor away" and feeling compelled to eat more apples. This is the Rhyme-as-Reason Effect—a cognitive bias where people perceive rhyming statements as more truthful and persuasive.

Pseudocertainty Effect: Making Risky Decisions Based on Assured Outcomes

Imagine choosing a financial investment that promises guaranteed returns but involves hidden risks. This is the Pseudocertainty Effect—a cognitive bias where people make risky decisions based on the belief that certain outcomes are assured.

Placebo Effect: Customer Belief in Product Efficacy Based on Perception

Imagine using a skincare product that promises to reduce wrinkles, and you start to notice smoother skin even though the product contains no active ingredients. This is the Placebo Effect—a cognitive bias where people experience perceived improvements due to their belief in the efficacy of a treatment or product.

Pro-Innovation Bias: Overvaluing New Features in Customer Experience

Imagine buying the latest smartphone solely because it has a new feature, only to realize that you rarely use it. This is Pro-Innovation Bias—a cognitive bias where people overvalue innovations and new features.

Survivorship Bias: Focusing on Successful Outcomes While Ignoring Failures

Imagine hearing the success stories of entrepreneurs who made millions with their start-ups, while forgetting the numerous businesses that failed along the way. This is Survivorship Bias—a cognitive bias where people focus on successful outcomes and overlook failures.

Curse of Knowledge: Miscommunication Between Experts and Customers

Imagine asking a tech support representative for help with a computer issue, only to be bombarded with jargon and technical terms that leave you more confused than before. This is the Curse of Knowledge...

Planning Fallacy: Underestimating Time and Effort in Customer Journeys

Imagine starting a home renovation project with the expectation that it will be completed in just two months. Six months later, the project is still ongoing, and the initial timeline seems laughable. This is the Planning Fallacy...

Base Rate Fallacy: Ignoring General Information in Favor of Specifics

Imagine you are deciding whether to invest in a start-up. Despite knowing that only a small percentage of start-ups succeed, you focus on a compelling success story you heard recently and decide to invest. This is the Base Rate Fallacy...

Optimism Bias: Overestimating Positive Outcomes in Customer Decisions

Imagine booking a vacation and picturing perfect weather, seamless travel, and unforgettable experiences. You overlook potential delays, bad weather, and other disruptions. This is Optimism Bias...

Attribution Bias: How Customers Attribute Success or Failure in Experiences

Imagine a customer receiving exceptional service at a restaurant and attributing it to their own charm rather than the staff’s training. Conversely, if the service was poor, they might blame the staff’s incompetence. This is Attribution Bias...

Choice-Supportive Bias: Post-Purchase Rationalization in Customer Loyalty

Imagine buying a new car and immediately noticing a few minor issues. Instead of regretting the purchase, you convince yourself that the car is perfect and the issues are negligible. This is Choice-Supportive Bias...

Ambiguity Effect: Customer Preference for Known Options Over Ambiguous Ones

Imagine you are choosing between two vacation packages. One is to a well-known destination with clear details about the itinerary, while the other is to a less familiar place with vague descriptions. Most people would lean towards the more familiar option, even if the less familiar one might be more exciting.
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