How 'the IKEA effect' impacts your decision-making

The IKEA Effect is a psychological phenomenon that makes people attach more value to things they build themselves.

👉 That means when you assemble your own IKEA furniture, your brain is tricked into thinking it's worth more than it actually is.

Studies show that people who built their own furniture derived more satisfaction from their purchases than those who didn't. The harder the furniture was to build, the more people valued it.

Researchers found that even when people made mistakes while building their IKEA furniture, they still felt more attached to it. That's because the process of building it was a personal investment of their time and effort. 🛠

The IKEA Effect can make people resistant to feedback. When someone criticizes the furniture you've built, it feels like a personal attack because you've invested so much of yourself into it.

Crucially, this phenomenon isn't limited to furniture. The more effort you put into creating something, the more likely you are to overvalue it. This can apply to anything from baking a cake to designing a website.

The IKEA Effect can make it hard for people to let go and be open to change. If you've invested a lot of time and effort into building something, it's harder to part with it. This is why you might have a hard time getting rid of that rickety bookshelf you built years ago.

The IKEA Effect can even apply to relationships. When people invest more of themselves into a relationship, they're more likely to overvalue it. That's why it's hard to break up with someone you've been with for a long time. 💔

There's a downside to the IKEA Effect, though. People who overvalue their own creations tend to undervalue the creations of others. This can lead to a lack of appreciation for the work of others, and a lack of willingness to pay for it.

The IKEA Effect is a powerful marketing tool. Companies can capitalize on it by giving customers the opportunity to customize their own products. When people feel like they've invested something of themselves into a product, they're more likely to buy it. 💰

Next time you're assembling your own IKEA furniture, remember that the sati you feel for it might be more about the process of building it than the actual product itself.

And when you're valuing your own creations, remember to appreciate the work of others, too...