Choice Overload: Consequences, Causes, and Remedies

Speaker
Sheena Iyengar
Columbia Business School, Columbia University

Abstract

The prevailing supposition in modern society is that people confronted with more choices will both make higher-quality decisions and be happier with their decision outcomes. This talk challenges the assumption that more choice is better by providing evidence for a phenomenon referred to as „choice overload“ – that when people face more choices they:

  • Are more likely to opt out of making a choice
  • And if they do make a choice
    • They tend to choose options that are simpler instead of ones that maximize their Utility.
    • They are less satisfied with their choices.

Next, this presentation reviews findings that examine three potential causes of choice overload:

  • Cognitive overload
  • Anticipated regret
  • Inability to perceive differences across options
Then, a remedy for choice overload is proposed that considers the potentially powerful effects of seemingly simple changes to the presentation of options. Future research directions will be discussed.
 
Contact information:
Dr. B. Donkers
Email

Information

Type
Research Seminar
Programme
Marketing
Date
Mon. 16 Apr. 2007
Time
12:30 - 14:00
Location
Mandeville Building T3-3

Coordinator

Bas Donkers
Bas Donkers
Professor of Marketing Research
Erasmus School of Economics (ESE), Erasmus University Rotterdam