(Something I mentioned at the first - or was it the second? - tutorial)
My dad was over for dinner and we ordered Domino's Pizza. I phoned the hotline, asked about the promotions and this was what I heard:
My dad was over for dinner and we ordered Domino's Pizza. I phoned the hotline, asked about the promotions and this was what I heard:
- Option A: 2 Large Pizzas, plus this-and-that ($64)
- Option B: 2 Large Pizzas ($50)
- Option C: 1 Large Pizza, 1 Regular Pizza($50)
Look carefully at options B and C - now, who in his right all-screws-in-place mind would ever take Option C? Assuming I didn't mis-hear him, was this a promo typo by Domino's? Were the Marketing folks out to (chicken?) lunch when they designed this?
Or were they exploiting behavioural economics? Did Domino's set it up to make it virtually impossible to refuse Option B, thus sealing the sale asap? Did they anticipate that clients would be swaying between Option A and B and so built in a no-brainer to push the customer to B and ensuring their (instant!) satisfaction in the selection?
When you think about it, the answer's pretty certain. Domino's is an international pizza chain. The chances of them offering bad Marketing options (in the form of Option C) are close to zilch. Instead they have:
Or were they exploiting behavioural economics? Did Domino's set it up to make it virtually impossible to refuse Option B, thus sealing the sale asap? Did they anticipate that clients would be swaying between Option A and B and so built in a no-brainer to push the customer to B and ensuring their (instant!) satisfaction in the selection?
When you think about it, the answer's pretty certain. Domino's is an international pizza chain. The chances of them offering bad Marketing options (in the form of Option C) are close to zilch. Instead they have:
- made a good and fast(!) sale ($50 for two flattened pieces of dough, tomato sauce, olives, cheese and some slices of salami and pepperoni is in a real sense a rip-off)
- made the customer believe he's paid for great value, and most importantly...
- made the customer believe he's a wise purchaser!
It was the Second Tutorial.
ReplyDeleteAnd I think they used that same principles of "Horny will say Yes to anything" experiment you told us about, albeit not as strong a push.
Dominos Pizza is a want rather than a need. The thought of it makes a person salivate and thus when the need becomes greater, it clouds a persons perception synapses, thus the first deal that sounds good and sounds like more value for less, is immediately grabbed.
Yes, they definitely will have repeat sales.
This is tactic is used to guide the customers to focus on the other two option (option A and B). It seems like a typo but it is intentional. Think about it, why would a successful pizza franchise make a typo mistake like that? It would ruin their reputation. People tend to avoid option C because:
ReplyDeletea) customers are not sure whether it is a typo,
b) customers do not see the worth of buying 1 large and 1 regular pizza for the same price as 2 large pizzas,
The “Horny will say Yes” experiment can be used but there are 2 large pizza franchise which is Pizza Hut and Domino’s, and people still can decide to choose between the two, but given the situation is it only involves Domino’s Pizza, then is no precise proof that there will not be repeat sales.
just a minute...
ReplyDeletelet me ask a question...
i just wonder to know...
if 1 pizza for RM12, 3 for RM30...
which would you choose?
haha..I have nothing much to add for I agree with what both Bob and Taufan have said. In regards to Chloe's question, I think I would pick the 3 pizza for RM30. The reason is simply because is cheaper that way if you divide it up it would be RM10 per pizza instead of RM12 per pizza and also you get more portion with that.
ReplyDeleteI honestly think there is isn't much to say as like Audrey, I too agree with what taufan and bob said,taufan wrote his explanation in depth, and I totally agree with him :) (usually I got to have a say for everything, but in this case, I'll agree with what taufan said as it makes perfect sense and the explanation is in detail).
ReplyDeleteI always means always get two regular pizza for rm30 for domino's pizza and I think i will continue purchasing this prize for the amount ( usually one needs the coupan to get this prize, but I guess I'm just lucky, without the coupan also, I get the same prize :)
and there will be no repeat sales in this case.