Jonathan Levav

Seeking Freedom through Variety

This article examines the effect of spatial confinement on consumer choices. Building on reactance theory and the environmental psychology literature, we propose that spatially confined consumers react against an incursion to their personal space by making more varied and unique choices. We present four laboratory experiments and one field study to support our theorizing. Study 1 demonstrates that people in narrower aisles seek more variety than people in wider aisles. Study 2 indicates that this effect of confinement in narrow aisles also extends to more unique choices. Study 3 shows that perceptions of confinement exert their strongest influence on people who are chronically high in reactance. Study 4 suggests that influencing perceptions of confinement is sufficient to evoke variety seeking. Finally, the field study uses crowding as a proxy for confinement and finds a positive relationship between crowding and variety seeking in real grocery purchases.

Order in Product Customization Decisions: Evidence from Field Experiments

Differentiated product models are predicated on the belief that a product’s utility can be derived from the summation of utilities for its individual attributes. In one framed field experiment and two natural field experiments, we test this assumption by experimentally manipulating the order of attribute presentation in the product customization process of custom‐made suits and automobiles. We find that order affects the design of a suit that people configure and the design and price of a car that people purchase by influencing the likelihood that they will accept the default option suggested by the firm.

When Questions Change Behavior The Role of Ease of Representation

In three experiments, we examined the meremeasurement effect, wherein simply asking people about their intent to engage in a certain behavior increases the probability of their subsequently engaging in that behavior. The experiments demonstrate that manipulations that should affect the ease of mentally representing or simulating the behavior in question influence the extent of the mere-measurement phenomenon. Participants who were asked about their intention to engage in various behaviors were more likely to engage in those behaviors than participants not asked about their intentions in situations in which mentally simulating the behavior in the intention question was relatively easy. We tested this ease-of-representation hypothesis using both socially desirable and socially undesirable behaviors, and our dependent variables comprised both self-reports and actual behaviors. Our findings have implications for survey research in various social contexts, including assessments of risky behaviors by public health organizations.

Emotional Accounting: How Feelings About Money Influence Consumer Choice

Mental accounting posits that people track their expenditures using cognitive categories or “mental accounts.” The authors propose that this cognitive process can be complemented by an approach that examines how feelings about a sum of money, or the moneys “affective tag,” influence its consumption. When people receive money under negative circumstances, this tag can include a negative affect component, which people aim to reduce by engaging in strategic consumption. The authors investigate two such strategies, laundering and hedonic avoidance, and demonstrate their effect on consumption of windfalls. The authors find that people avoid spending their negatively tagged money on hedonic expenditures and prefer to make utilitarian or virtuous expenditures to reduce, or “launder,” their negative feelings about the windfall. The authors call this tagging process and strategic consumption “emotional accounting.”

Physical Contact and Financial Risk Taking

We show that minimal physical contact can increase people’s sense of security and consequently lead them to increased risk-taking behavior. In three experiments, with both hypothetical and real payoffs, a female experimenter’s light, comforting pat on the shoulder led participants to greater financial risk taking. Further, this effect was both mediated and moderated by feelings of security in both male and female participants. Finally, we established the boundary conditions for the impact of physical contact on risk-taking behaviors by demonstrating that the effect does not occur when the touching is performed by a male and is attenuated when the touch consists of a handshake. The results suggest that subtle physical contact can be strongly influential in decision making and the willingness to accept risk.

1995 Feels So Close Yet So Far The Effect of Event Markers on Subjective Feelings of Elapsed Time

Why does an event feel more or less distant than another event that occurred around the same time? Prior research suggests that characteristics of an event itself can affect the estimated date of its occurrence. Our work differs in that we focused on how characteristics of the time interval following an event affect people’s feelings of elapsed time (i.e., their feelings of how distant an event seems). We argue that a time interval that is punctuated by a greater number of accessible intervening events related to the target event (event markers) will make the target event feel more distant, but that unrelated intervening events will not have this effect. In three studies, we found support for the systematic effect of event markers. The effect of markers was independent of other characteristics of the event, such as its memorability, emotionality, importance, and estimated date, a result suggesting that this effect is distinct from established dating biases.

Why Don't We Learn to Accurately Forecast Feelings? How Misremembering Our Predictions Blinds Us to Past Forecasting Errors

Why do affective forecasting errors persist in the face of repeated disconfirming evidence? Five studies demonstrate that people misremember their forecasts as consistent with their experience and thus fail to perceive the extent of their forecasting error. As a result, people do not learn from past forecasting errors and fail to adjust subsequent forecasts. In the context of a Super Bowl loss (Study 1), a presidential election (Studies 2 and 3), an important purchase (Study 4), and the consumption of candies (Study 5), individuals mispredicted their affective reactions to these experiences and subsequently misremembered their predictions as more accurate than they actually had been. The findings indicate that this recall error results from peoples tendency to anchor on their current affective state when trying to recall their affective forecasts. Further, those who showed larger recall errors were less likely to learn to adjust their subsequent forecasts and reminding people of their actual forecasts enhanced learning. These results suggest that a failure to accurately recall ones past predictions contributes to the perpetuation of forecasting errors.

The Effect of Ordering Decisions by Choice-Set Size on Consumer Search

Consumers frequently engage in sequential decisions. This article explores whether the order of these decisions can influence the manner in which consumers search through the possible choice options. Results from five studies suggest that ordering decisions by increasing (vs. decreasing) choice-set size leads to greater search depth (measured by both sampling count and decision time). Initial, smaller choice sets in increasing sequences appear to initiate a maximizing mind-set, which then persists even as participants encounter later, larger choice sets. These participants report a greater desire to maximize and are less satisfied with their decisions, consistent with research on chronic maximizers. In addition, they continue to exhibit maximizing behavior in subsequent, unrelated tasks, supporting a mind-set account of the differences in search. In sum, decision makers are proposed to be “sticky adapters”: initial decision strategies seem to constrain the extent to which they adapt to new contexts.

The Asymmetric Impact of Context on Advantaged Versus Disadvantaged Options

Despite substantial prior research regarding the effect of context on choices, uncertainty remains regarding when particular context effects will be observed. In this article, the authors advance a new perspective on context-dependent choices, according to which context effects are a function of the relative advantage of one option over another and of the different strategies that decision makers evoke when making a choice. They propose that context effects resulting from the addition of a third option to a two-option set are more frequently observed when the added option is relatively similar (adjacent) to the “disadvantaged” alternative (i.e., the lower-share option) in the set. The authors conduct a series of studies to analyze the occurrence of context effects and find support for predictions related to asymmetric dominance and extremeness aversion.