INCREASING THE NUMBER OF OPTIONS CAN AND OFTEN DOES REDUCE SALES One of the business myths I like most is the one that suggests that consumers and, indeed, people in general want as many options to choose from as they can get. It turns out that this suggestion could not be more wrong. It is […]

INCREASING THE NUMBER OF OPTIONS CAN AND OFTEN DOES REDUCE SALES One of the business myths I like most is the one that suggests that consumers and, indeed, people in general want as many options to choose from as they can get. It turns out that this suggestion could not be more wrong. It is a prime example of where common sense is not very helpful. Consider this experiment: Two stalls were set up in a supermarket on two different occasions. The offering was as follows: Stall 1 – 6 varieties of jam Stall 2 – 24 varieties of jam Patrons of the supermarket were encouraged to stop, taste, and ultimately, buy. The results were surprising: More people stopped at stall 2 than stall 1 – suggesting that choice attracts attention 30% of people who stopped at stall 1 purchased a jam 3% of people who stopped at stall 2…