Wednesday, November 3, 2010
The Economics of Shiny Objects
"People, as all creatures, are innately attracted to shiny objects. If you can make your brand, product, or service a shiny object to your customers and prospects, you'll be immensely successful." From the book Shiny Object Marketing
Any business that wants to attracts new customers has to convince customers to consider their product. Searching for new products takes time, but it seems from this book our time is more enjoyable if we are looking at a shiny object. So this book suggests that you lower the cost of searching for a new product if you make your good a shiny object. But if all businesses know this and can make their objects equally shiny, then the shine of objects will go to an equilibrium where the marginal cost of extra shine equals the marginal profit.