8min chapter

Behavioral Science For Brands: Leveraging behavioral science in brand marketing. cover image

Costco: Loyalty Cards, Ski Trips, and the Sunk Cost Effect

Behavioral Science For Brands: Leveraging behavioral science in brand marketing.

CHAPTER

Utilizing Reciprocity and Loyalty in Brand Strategies

Exploring the psychological principle of reciprocity through Costco's free samples strategy and discussing innovative approaches to loyalty programs by brands like Pre-Morgen and premium hotel chains. The chapter also delves into key behavioral science experiments on the sunk cost effect, illusion of progress, and reciprocity, highlighting the importance of creatively applying behavioral insights for enhanced brand loyalty.

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