The Key to Customer Loyalty & A Challenge for you 🦄

Hey unicorns! 👋

Surprise! It's Thursday, and we've got something special for you as promised!

We heard you loud and clear – our Saturday emails were getting a bit "enthusiastically lengthy." 😅 

You asked for snackable insights, so we're changing things up!

Starting now:

Thursdays: Psychology playbooks & brain-teasing quiz

Saturdays: Growth strategies, unicorn magic, and a surprise you requested!

Today?

The IKEA Effect and a SaaS marketing quiz.

Ready for bite-sized genius? Let's go!

Psst! Keep that feedback coming – YOU are crafting this newsletter one line at a time!

Marketing Psychology Playbook

🔨 The IKEA Effect: How DIY Can Boost Your Customer Loyalty

What is it?

Ever felt an irrational surge of pride after assembling a wobbly IKEA bookshelf?

That's the IKEA Effect – the tendency for people to place a disproportionately high value on products they've partly created themselves.

How does it work?

The IKE effect works by tapping into our deep-seated need for competence and autonomy.

When we complete a task, our brains release dopamine, creating a positive association with the product.

This psychological mechanism can turn customer involvement into a powerful tool for increasing perceived value and brand loyalty.

How to Use the IKEA Effect in Your Marketing

1. Offer customization options

2. Create build-your-own product bundles

3. Involve customers in product development

4. Provide some assembly-required products

5. Gamify the customization experience

Remember, balance is key – make it just challenging enough to create a sense of achievement, but not frustratingly difficult.

Who's doing it right?

Build-A-Bear Workshop

Their entire business model revolves around customers creating their own stuffed animals, fostering strong emotional attachments.

NikeID 

Nike's customization platform allows customers to design their own shoes, leading to premium-priced, personalized products.

Coca-Cola's "Share a Coke" Campaign

By allowing customers to find or create bottles with their names, Coca-Cola tapped into the personalization aspect of the IKEA Effect.

The IKEA Effect Takeaway

When applied effectively, the IKEA Effect can boost product valuations, increase brand loyalty, and turn customers into passionate brand advocates.

Invite your audience to co-create, and watch as they develop a deeper connection with your brand!

Check out more examples and our full article on the topic!👇

Brain Teaser Corner

📝 Test Your Marketing Smarts

Curious about the answer? You'll have to wait until Saturday! We'll reveal the correct choice and break down the 'why' behind it in our weekend newsletter.