Tuesday, March 07, 2017

so close

There are essentially two grocery store chains Switzerland, Migros and Coop.  Both are organized as cooperatives and don't compete all that fiercely.  Their selections are meager and their prices high.  They also pay their employees exceptionally well.  This is how Switzerland works in a nutshell.

As do grocers in other countries, Migros and Coop organize periodic competitions to get customers to spend yet more money.  One just ended.  For every twenty Francs spent, Migros handed customers a little booklet that held, out of sight, two stickers.  Fill the card with stickers and you'd win a pantry.  Look at the ticket.  We were so close to securing our grocery budget for at least a year.  Just one sticker missing.


Almost winning

Halfway through the excitement of the game, I first realized the postmodern self-reflectivity of the game and then the simple point behind it.  That excitement I felt was supposed to cloud my vision and make my shop at Migros even though what I wanted to buy was slightly cheaper elsewhere, or it would have if there had been an alternative.  With two grocers comfortably sharing a customer base suffused with affluence, competition is not part of the strategy and price not a selling point.  The game seemed to be more about giving something back to generous customers than to entice spending.

To build excitement, the game was exceedingly well designed.  Look at the picture again.  The card on the left promises 25,000 Franc to those who fill all twelve spots with stickers.  A few weeks into the competition, we were two thirds done.  Then only two stickers were missing, then only one.  At this point, I realized what was going on.

The point of the game is of course to get the winning sticker.  It's a game that's played in infinite varieties, with more or less fluff around the main objective.  The simplest version is to raffle off the prizes directly, printing a line on the receipt that would say, "Big loser!  So sad.", most of the time and announce the big win when it happens.  So far, so boring.

Not much better in terms of customer engagement is providing a code and a web address.  Barclay's Bank in the UK used to do that on receipts from their ATMs.  There's a bit of excitement while you navigate to the site and a light buildup of tension while you wait to have your code verified.  There's also an element of play to it, but it's still bad.  I never even looked at the codes.

A step up is handing out tokens of some sort that need to be opened or unwrapped.  The activity will draw people in.  But if all tokens are losers and only three win the big prize, participants will soon tire of the game.  Who wants to be a loser every day?

Migros doesn't call its customers losers.  With every colorful sticker one gets for shopping, one fills the card and feels like getting closer to the big win.  But these stickers are only padding.  Reduced to its essentials, the game is nothing more than three winners and a million losers.  The brilliant thing is that the losers aren't called such.  Quite the contrary, the losers are steps one needs to take on the way to the win.  Instead of spreading frustration about losing, the game keeps building hope.  Only three stickers matter, but this fact is cleverly hidden in the design of the game.

I am reminded of a book I've been reading on and off for a good two years now.  Among many other amazing and thought-provoking things, Daniel Kahneman's Thinking, Fast and Slow describes how the brain reacts to observations and triggers, and how different ways of presenting the same information can get drastically different reactions.

For example, when a patient is asked to consent to risky surgery, the response will be much more positive when the risk is framed as a survival rate of 90 percent.  Alerted to the mathematically identical mortality rate of 10 percent, the patient is much more likely to decline.  By collecting stickers, I had fallen into the same trap.  But what fun it was!

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