The decoy effect: how you are influenced to choose without really knowing it - Deepstash
The Psychology Of The Ultimate Entrepreneur

Learn more about marketingandsales with this collection

The importance of perseverance

How to embrace failure as a learning opportunity

The power of innovation and creativity

The Psychology Of The Ultimate Entrepreneur

Discover 128 similar ideas in

It takes just

17 mins to read

The decoy effect: how you are influenced to choose without really knowing it

The decoy effect: how you are influenced to choose without really knowing it

Price is the most delicate element of the marketing mix, and much thought goes into setting prices to nudge us towards spending more.

There’s one particularly cunning style of pricing strategy that marketers use to urge you to change your choice from one choice to a costlier or more profitable one.

It is called the “Decoy Effect.”


315 reads

Relative value for money.

Relative value for money.

Imagine you are in a movie house and now are searching for a cola drink. You have got two options. The cheapest is at Rs 200/-for 200 ml.

The pricier at Rs 400 for 450 ml.

Which one you select will rely upon some assessment of their relative value for money.

It is not immediately apparent, though, that the costlier option is the best value. It does have over twice the amount, but what are they worth?

Now consider the above choice in light of the 3rd option of Rs 300 for 300 ml.


256 reads

Decoy Effect

Decoy Effect

The decoy effect is defined as the phenomenon whereby consumers change their preferences between two options when presented with a third option — the “decoy.”


274 reads

How do decoys work?

How do decoys work?

When consumers have many alternatives, they often experience “choice overload.” In an endeavour to cut back on this anxiety, consumers tend to simplify the method by selecting only a pair of criteria (say price and quantity) to see the simplest value for money.

Through manipulating these key choice attributes, the decoy steers you in a very particular direction while supplying you with the sensation that you are making a rational, informed choice.


197 reads

Individual effects

Individual effects

The decoy effect can cause us to spend and consume more than we’d like. When a decoy option is present, we tend to make decisions based less on which option will suit our purposes and more on what seems like the most advantageous choice.


178 reads

Systemic effects

Systemic effects

Decoys are a commonly used tool by businesses and corporations to “nudge” us into buying more quickly than we’d like.


177 reads

Decoys work subconsciously.

Decoys work subconsciously.

ven though we believe that we make all of our decisions consciously and deliberately, in reality, we are often unaware of things that have influenced our choices or how they need to affect us.

Decoys justify our choice.

When people make decisions, their goal isn’t to select the right option. Instead, the goal is to justify the result of a choice they’ve already made.

Decoys serve to de-stress the decision-making process in additional ways than simply providing a nice-sounding explanation — they also settle the anxiety of having too many options to decide on.


127 reads

Beware of sets of three.

Beware of sets of three.

The decoy effect is simplest when there are only three options in play: target, competitor, and decoy. Whether you’re out shopping, or you’re evaluating political candidates, try and notice when things take place in groups of three — there could also be a decoy within the mix.


167 reads

Don’t trust your gut.

Don’t trust your gut.

Your thinking style plays a role in how likely you’re to be laid low by the decoy effect. One study, which involved over 600 participants, found that the people most affected by a decoy were those who relied on intuitive reasoning.


166 reads

How Apple uses the decoy effect

How Apple uses the decoy effect

Apple unveiled its new iPod priced

16GB for $229. 32GB for $299. and 64GB for $399.

In other words, double the storage for a further $70; you also get more features.

However, if you choose to double the capacity (32GB to 64GB), you pay a further $100, but you don’t get extra features. Therefore, you may conclude that the 32GB version offers the most effective value for money.

So, only some would buy the 16GB version and even fewer would choose the 64GB version.

But, the very fact is, the 16GB and the 64GB versions are the decoys to make the 32GB version more appealing and also the best choice.


168 reads



Brand Consultant


Talks about the one of the most Important Marketing Weapon of the industry.


Explore the World’s

Best Ideas

200,000+ ideas on pretty much any topic. Created by the smartest people around & well-organized so you can explore at will.

An Idea for Everything

Explore the biggest library of insights. And we've infused it with powerful filtering tools so you can easily find what you need.

Knowledge Library

Powerful Saving & Organizational Tools

Save ideas for later reading, for personalized stashes, or for remembering it later.

# Personal Growth

Take Your Ideas


Organize your ideas & listen on the go. And with Pro, there are no limits.

Listen on the go

Just press play and we take care of the words.

Never worry about spotty connections

No Internet access? No problem. Within the mobile app, all your ideas are available, even when offline.

Get Organized with Stashes

Ideas for your next work project? Quotes that inspire you? Put them in the right place so you never lose them.


2 Million Stashers


5,740 Reviews

App Store


72,690 Reviews

Google Play

Ashley Anthony

This app is LOADED with RELEVANT, HELPFUL, AND EDUCATIONAL material. It is creatively intellectual, yet minimal enough to not overstimulate and create a learning block. I am exceptionally impressed with this app!

Shankul Varada

Best app ever! You heard it right. This app has helped me get back on my quest to get things done while equipping myself with knowledge everyday.


Don’t look further if you love learning new things. A refreshing concept that provides quick ideas for busy thought leaders.

Sean Green

Great interesting short snippets of informative articles. Highly recommended to anyone who loves information and lacks patience.

Jamyson Haug

Great for quick bits of information and interesting ideas around whatever topics you are interested in. Visually, it looks great as well.

Laetitia Berton

I have only been using it for a few days now, but I have found answers to questions I had never consciously formulated, or to problems I face everyday at work or at home. I wish I had found this earlier, highly recommended!

Giovanna Scalzone

Brilliant. It feels fresh and encouraging. So many interesting pieces of information that are just enough to absorb and apply. So happy I found this.

Ghazala Begum

Even five minutes a day will improve your thinking. I've come across new ideas and learnt to improve existing ways to become more motivated, confident and happier.

Read & Learn

20x Faster





Access to 200,000+ ideas

Access to the mobile app

Unlimited idea saving & library

Unlimited history

Unlimited listening to ideas

Downloading & offline access

Personalized recommendations

Supercharge your mind with one idea per day

Enter your email and spend 1 minute every day to learn something new.


I agree to receive email updates