Do you really know? What is the Ikea effect?
Oct 26, 2025
Discover the intriguing concept of the IKEA effect, where people value items more highly when they’ve had a hand in creating them. Explore fascinating research comparing people who assemble furniture versus those who simply observe pre-built items. Learn why we might overrate our own efforts due to cognitive biases like effort justification and the endowment effect. Hear relatable examples from workplace projects to parental pride, and get tips on mitigating biased valuations by seeking outside perspectives.
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Making Increases Perceived Value
- The IKEA effect describes how people value items more when they assemble them themselves.
- Norton, Mochon and Ariely found DIY assemblers valued furniture 63% higher than receivers.
Study: Assemblers Versus Observers
- In the study one group assembled IKEA items while another inspected pre-built items.
- The assemblers then assigned prices substantially higher than the non-assemblers.
Three Psychological Drivers
- Three cognitive principles explain the IKEA effect: competence, effort justification, and the endowment effect.
- These combine to make self-made items feel more valuable even without customization.