The final presentation for Consumer Behavior at the Wharton School of the University of Pennsylvania. We explore various consumer behaviorial theories especially with regards to choice sets and consumers' subsequent actions.
4. Motivation
Some users hoard points.
Perhaps they derive some sort of
utility or satisfaction from the act
of accumulating points.
– Seth Tropper
Background
Company Motivation Theory Hypothesis
5. Choice Theory
Too much choice can:
Background
Company Motivation Theory Hypothesis
Decrease
Motivation
Impair
Decisions
Lower
Satisfaction
Increase
Choice
Complexity
Increase
Regret
Increase
Indecisions
_______________________________________
Thus, the more items within a
given choice set, the greater the
indecision and the potential for
regret from a wrong choice or
lack thereof.
_______________________________________
6. Hypothesis
Decreasing the number of items within
a choice set will decrease user’s
potential regret
This will lead to 4 results:
Increased likelihood of making a choice
Increased satisfaction
Increased motivation
Increased engagement
Background
Company Motivation Theory Hypothesis
7. Multi-Level Engagement
System
Creative solution to increase the number
of choice sets while decreasing the
number of items within each choice set
The Big Idea
Current Rewardsr
Foot
Locker
Wii
Amazon
Current Rewards
System
Bronze
Foot
Locker
Silver
Amazon
Gold
Wii
Bronze Level
(600-1,499 Points)
Silver Level
(1,500-2499 Points)
Gold Level
(2,500+ Points)
Value of Rewards
8. Structure
Structure: Experiment +
Survey
Background:
Simulate S2H
experience to achieve
external validity
Experimental Conditions:
Control Group (Single
Choice Set)
Experimental Group
(Multiple Choice Sets)
Structure Participants Variables
Experimental Design
Computer Game: Lint
9. Participants
Convenience Sample
(N = 32)
College Students
• Penn students
• Ages 18-22
Randomization
Used randomizer in JMP
to assign participants
into experimental
conditions
Experimental Design
Structure Participants Variables
53%
47%
Demographics:
Gender
Females Males
12%
37%38%
13%
Demographics:
Race
African
Asian
White
Other
10. Variables
Dependent Variables:
Satisfaction of Redemption Decision (Satisfaction)
Ease of Redemption Decision (Satisfaction)
Amount of Point Accumulation (Motivation)
Point Redemption (Likelihood of Making a Choice)
Intention to Play Again (Engagement)
Independent Variable:
Number of Choice Sets
• Increase number of choice sets to decrease the
number of items within choice sets
Experimental Design
Structure Participants Variables
11. Overview
78%
22%
Point Redemption
Yes No
Overview Hypothesis Testing
Results
Satisfaction Scores: 1 = Very Dissatisfied, 5.5 =
Neutral, 10 = Very Satisfied
Satisfaction Scores (Mean)
Rewards 5.03
Satisfaction Scores (Mean)
Redemption 6.2
Satisfaction Scores (Mean)
No Redemption 7.33
12. Hypothesis Testing: Part 1
Decreasing the number of items within a
choice set will reduce user’s potential
regret
Key Dependent Variable to Measure:
Satisfaction of Redemption Decision
Overview Hypothesis Testing
Results
Satisfaction Scores: 1 = Very Dissatisfied, 5.5 = Neutral, 10 = Very Satisfied
5.8 6.476.8 8
1
6
Without Levels With Levels
Satisfaction
Scores(Mean)
Satisfaction
Redemption
No Redemption
R2 ≈ 0.061 (r ≈ 0.247)
p-value ≈ 0.5952
R2 ≈ 0.310 (r ≈ 0.557)
p-value ≈ 0.0541
13. Hypothesis Testing: Part 2
Decreasing the number of items within a
choice set will increase the likelihood of
making a choice
Key Dependent Variable to Measure:
Point Redemption
Results
67%
88%
33%
12%
0%
50%
100%
Without Levels With Levels
Percentage of Point Redemption
No Redemption
Redemption
R2 ≈ 0.066 (r ≈ 0.256)
p-value ≈ 0.1371
Overview Hypothesis Testing
14. Hypothesis Testing: Part 3
Decreasing the number of items within a
choice set will increase satisfaction
Key Dependent Variables to Measure:
Satisfaction of Redemption Decision &
Ease of Redemption Decision
Results
Satisfaction Scores: 1 = Very Dissatisfied, 5.5 = Neutral, 10 = Very Satisfied
5.8 6.476.8 8
1
6
Without Levels With Levels
Satisfaction
Scores(Mean)
Satisfaction
Redemption
No Redemption
Ease of Decision Scores: 1 = Difficult, 5.5 = Neutral, 10 = Easy
4.8 5.13
8.56
4.5
1
6
Without Levels With Levels
EaseofDecision
Scores(Mean)
Ease of Decision
Redemption
No Redemption
R2 ≈ 0.061 (r ≈ 0.247)
p-value ≈ 0.5952
R2 ≈ 0.310 (r ≈ 0.557)
p-value ≈ 0.0541
R2 ≈ 0.237 (r ≈ 0.487)
p-value ≈ 0.0019
R2 ≈ 0.367 (r ≈ 0.605)
p-value ≈ 0.0430
Overview Hypothesis Testing
15. Hypothesis Testing: Part 4
Decreasing the number of items within a
choice set will increase motivation
Key Dependent Variables to Measure:
Average Points Accumulated & Average
Time Played
Results
1472
1827
0
500
1000
1500
2000
Without Levels With Levels
PointsAccumulated
Average Points Accumulated
12.27
15.22
0
5
10
15
20
Without Levels With Levels
TimePlayed
(Minutes)
Average Time Played
R2 ≈ 0.037 (r ≈ 0.192)
p-value ≈ 0.2932
Overview Hypothesis Testing
16. Hypothesis Testing: Part 5
Decreasing the number of items within a
choice set will increase engagement
Key Dependent Variables to Measure:
Intention to Play Again
Results
26.70%
58.80%
73.30%
41.20%
0.00%
20.00%
40.00%
60.00%
80.00%
100.00%
Without Levels With Levels
Intention to Play Again
No
Yes
R2 ≈ 0.0782 (r ≈ 0.279)
p-value ≈ 0.0641
Overview Hypothesis Testing
7.24
1
3
5
7
9
Leveling
Motivation
Motivation Scores: 1 = Unmotivated, 5.5 = Neutral, 10 = Motivated
6.9
1
3
5
7
9
Leveling
Satisfaction
Satisfaction Scores: 1 = Very Dissatisfied, 5.5 = Neutral, 10 = Very Satisfied
17. Implications
Increase the number of choice sets to
decrease the number of items within a given
choice set
Higher Satisfaction & Ease of Decision
Recommendations
Implications
Further
Research
Implementation
18. Areas of Improvement for
Further Research
Sampling
Increase sample size
Make it more representative of customers
Experimental Design
Increase number of experimental conditions
(within-participant designs)
Conduct field experiment with current users on
s2h.com platform
Better simulate S2H experience (duration of study,
length of experiment, game, and rewards)
Implications
Further
Research
Implementation
Recommendations
19. Implementation Suggestions
Organization beyond Engagement System
Segmenting Rewards by Gender
Product Advertisement by Physical Activities
Recommendations
Implications
Further
Research
Implementation
20. Put Your Hands Up For S2H!
Thank You!
Any Questions?
Q&A Session
Thus, Users will lose motivation and not continue S2H use b/c they are not getting rewarded for being active.
Convexity
Insert Snapshot of Lint
Talk about the two experimental conditions
Illustrate how we ran the experiment
Facebook
Add pie charts of the demographic information of participants (break down of females and males)
Put the second graph into a table.
The rewards were not attractive to our participants (some were irrelevant).
Hoarding is more appealing with levels.
Overall high levels of satisfaction with levels.