Customers pay more for the products that they help build.
Let me explain…
Researchers wanted to know how effort relates to the perceived value.
They tested this with IKEA furniture.
The researchers had one group make IKEA furniture and another group look at pre-built furniture.
They found that people are willing to pay 63% more for furniture that they assemble themselves.
Even though it took more time and effort, the people loved the furniture more.
This is called the IKEA effect.
image: mannhowie.com
study source: The IKEA effect: When labor leads to love - ScienceDirect
And you can use this to increase the value of your own products.
Here’s how to do it…
1/ Create a half-built product
Your product should NOT be finished when you release it to your audience.
You need feedback (and a way to increase the value) for your product.
To do this, create a half-built product.
A half-built product has the idea and core structure of your product, but isn’t the full thing. It’s basically a minimum viable product (MVP).
After constructing your half-built product, the next step is to get public feedback on…
What to add or cut
What is the most useful
What else your customers want
This validates your idea and gets your audience invested in the product, increasing the perceived value.
Their feedback becomes part of the product you later give them.
Pro tip: Publicly show what you changed because of your customers’ feedback
This shows your commitment, increases your customers’ sense of contribution, and strengthens your superfan following.
2/ Let your customers choose your product
Choosing a product triggers a sense of ownership.
So, if you have different options, let your customers choose the best product.
You can do this…
Online: Quizzes that recommend a certain product or give a personalized guide/diagnosis.
In-person: Guidance on what your customer wants and what product fits best.
3/ Let your customers create the parts
Give your customers the pieces of your product.
These can be templates, workbooks, or any other physical or digital products that are valuable on their own.
Then, give instructions that guide your customers through the creation but allow them to make their own decisions.
Think of it as a choose-your-own-adventure for your customers.
Deconstructed: Warby Parker
Warby Parker is an online glasses store.
Before they show you any glasses, they ask you a series of questions.
Source: warbyparker.com
After you personalize the type of glasses you want, they suggest frames that match your preferences.
The quiz takes two minutes. But when the glasses are shown, the customer has already invested in the outcome.
You don’t need to use all three strategies. But make your customer build part of your product, and they’ll love the result.
- Warren
PS: Limit the unnecessary effort for your customer.
Your customer’s effort should change the outcome they get, not add friction to buying.