6 Nudges in Stores

Walking around Smith's today in Bozeman, I realized that there are many nudges in the store that I had never noticed before. After reading Nudge by Richard Thaler, many nudges stick out to me more than they had in the past. Below are 6 nudges that I recognized in the 20 minutes that I was in Smith's.

1. Putting dairy products in the back corner of the store

Ever wondered why the dairy section of a grocery store is always in the back corner and as far away from the main entrance possible? This is a very common nudge that all grocery stores use. Dairy is the most sought after product at the grocery store because most everyone buys milk and eggs. Customers are forced to travel all the way to the back of the store to ensure that they see the whole store and pass by products they might not have initially thought they needed. If grocery stores were to put the dairy section in the front, grocery shoppers might not walk the entire store and check out other products.

2. Security notices

Whether or not the store does have a 24 hour video surveillance system, signs like the one above make people think twice before doing something that they know they shouldn't. For example, if someone was thinking about stealing a product for the store knowing no one was watching them and there would be no camera evidence against them, they would be more likely to go through with it. However, just seeing a sign that states there is a 24 hour video surveillance nudges that same person to think about the consequences more clearly if they were to get caught. 

3. "Did you wash your hands?"

On the back of the women's bathroom door, there is a sign that says "Stop: Did you wash your Hands?". This sign is nudging people to take care of themselves. While this sign is not going to force people to wash their hands, it does help remind them that it is something they should be doing for their own personal health. There are also usually signs that say it is mandatory for employees to wash their hands. Again, even though nobody is probably watching you to make sure that you wash your hands, signs like these make you feel obligated to do so. 

4. Impulse purchases

While standing in the checkout line, I noticed all the gum, candy, snacks and drinks on either side of me. Without even thinking about it, I grabbed a pack of gum and a water bottle because I was thirsty. If these products had not be in the front of the store and visible while I was waiting in line, I would most likely not have purchased them. By putting them as eye level at the cash register, people can be reminded that they are hungry or thirsty, and then crave a candy bar or a soft drink because they are available. If they were in the middle or the back of the store, Smith's probably would not sell as many because people pass them looking for something else. 

5. Rounding up change for charity

At the cash register, I was asked if I would like to round up my total to the nearest dollar to support a charity. This is yet another subtle, but powerful nudge. While they are not forcing you to found up your change, you feel obligated to do so as it is less than a dollar, and you feel like the people around you will think you're a bad person if you do not. Plus, it gives you a good intrinsic feeling knowing that you donated, no matter how small the amount may be. This nudge also works because it targets people who are willing to donate, but aren't going to go out of their way to do so. Most everyone must go to the grocery store for food, which makes this a perfect place to implement this type of nudge.  

6. Shopping cart returns in parking lots

Finally, as I was leaving the store, I noticed the shopping cart return slots in the parking lot. Cart returns make it easier for the shopper to return their shopping cart without having to take it all the way back to the front door or just leaving it in the parking lot. Personally, I would not be as motivated to return my cart to the front of the store if there weren't cart returns, and would leave it by my car. But because of this simple nudge, an employee can gather most all of the carts grouped in a couple of areas rather than having to go collect them all around the parking lot. 

Most of these nudges are so obvious that we know they're there, but we don't consciously think about them. There are hundreds around us daily. Next time you're in a store, I challenge you to find as many nudges as possible. I found 6 in just 20 minutes...can you find more? 

5 Interesting and Effective Nudges From Around the World

I find the idea of nudging very interesting, and decided to do some research on how other countries use nudges to persuade people. Below are 5 different nudges that are used around the world.

1. Sydney, Australia: Recycle and Win Prizes

Machines like the one above are placed around Sydney in an effort to nudge people to recycle. When recyclables are placed in the machine, a reward or gift of some sort is given to the person in return. Gifts range from 10 cent donations to charities, to being entered into a drawing for two free tickets to Sydney New Year's Eve Dawes Point viewing area. Click here to learn more about Sydney's effort to increase recycling by its citizens.

2. Singapore: Bag-Down Benny

As a part of the "Thoughtfulness, bring it out" movement, the Singapore Land Transport Authority has placed "Bag-Down Benny" decals in cars of trains. The idea behind this campaign is to motivate public transport commuters to be nice and make room for others on the train. The decal says "With my bag down, there's more room for others". Other decal characters that have been created for trains include Stand-up Stacey, Move-In Martin, Give-Way Glenda, and Hush-Hush Hannah. Just seeing these signs and knowing others see them too has created a more pleasant public transportation experience for the citizens of Singapore. Click here to learn more about the "Thoughtfulness, bring it out" movement. 

3. London, England: Baby Faces on Store Fronts

Large baby faces were painted onto London storefronts in an effort to reduce crime. The baby faces were thought to promote a caring response in humans with their big eyes and round faces. It also represents innocence, making people think twice before committing a crime. Just one year after these murals were painted, anti-social crimes had decreased outside of these storefronts. This campaign was put on by Oglivychange, an organization that creates nudges to test social behaviors. They also put on a conference every year called Nudgestock that focuses solely on the concept of nudging. To learn more about Oglivychange, click here. 

4. Canada: 3-D Children in the Road

In an effort to nudge drivers to slow down while driving through school zones, a Canadian safety group has painted 3-D children in the streets. The safety group hoped that this would get drivers' attention and make them think twice before speeding through school zones. However, other people are concerned that this will actually have the opposite effect. Just as people become desensitized to ads after a certain amount of time, there is a chance that people could become desensitized to these 3-D road paintings as well, and accidentally hit an actual child instead. For more on this debate, click here. 

5. Essen, Germany: The Chocolate Machine

The Chocolate Machine was created at Folkwang University of the Arts in Essen, Germany to help improve people's willpower. The machine works by dispensing a ball of chocolate every hour, giving the person two choices: either to eat the chocolate now, or put it back in the machine to be dispensed in another hour. The machine also has a counter on it to show you how many times you successfully put the ball back into the machine. Studies show that after using the machine for two weeks, it is easier to resist the ball over time. To learn more about the reasoning for this machine, click here. 

The Secrets Behind IKEA

One of the main topics described in Nudge by Richard Thaler is the idea of choice architecture. Choice architecture describes how areas are designed to present products to consumers in a way that influences their decisions. When items are placed a certain way, consumers can be nudged to make decisions that they would not have made if the items were set up another way. 

When I think of the way choice architects organize shelves and stores, IKEA is the first example to pop into my mind. IKEA is an affordable furniture store that encourages its customers to walk through their showroom of products before purchasing items. When customers first walk into the store, they are taken up an escalator to the showroom. Upon entering the showroom, shoppers are exposed to calming music playing in the background. Kitchens, bedrooms, and living rooms are decorated in sets to show customers what their rooms could look like with IKEA products.There is a path everyone is strongly encouraged to follow, ensuring that they see all that IKEA has to offer. There are shortcuts to the warehouse, but they are advertised on much smaller signs and are tucked away in the corners. Once in the warehouse, it's go time. A large cart is given to you as you walk into the warehouse, and you pull out your list of all the products that you liked in the showroom. It's somewhat like a scavenger hunt; you must find the aisle and section that the product you are searching for is "hidden", adding a fun twist to the shopping experience.

This layout has been proven to be very effective for sales. Being in the same showroom with a lot of people wanting the same products should be stressful. However, IKEA plays relaxing music to help sooth customers are make them think they are in a peaceful environment. From personal experience, the staging of the room layouts in the staging rooms makes me think I need more than just the one item I am looking for. They stage the rooms to make consumers want the exact look, meaning they need all of the exact products. Never have I ever left IKEA with just the one product I was looking for. I'm pretty sure only buying one to two products at IKEA is extremely rare, and almost unheard of.

So no matter how smart we think we are, the people behind product placements and designing floor plans are usually one step ahead of us. So next time you're shopping, pay attention to how the shelves are organized, as well as the overall store. You might have a whole new perspective on what the employees want you to see and buy.