The Applications of Anchoring Effect in The Marketing Field

This article discusses the application of the anchoring effect in marketing. The anchoring effect is a cognitive bias; people will tend to believe the information they were exposed to in the first place, and the information they were exposed to later makes it difficult to change people’s views on the information they were first exposed to. This will cause people’s decision-making to be affected because they will only judge from the information they are exposed to for the first time. Applying the anchoring effect in marketing, the article discusses three kinds: shopping, advertising, and negotiation skills. In shopping, discounts and multiple-unit pricing can use anchor information to influence consumers’ judgments. In advertisements, anchor information can also be used to make advertisements more credible. In negotiations, using anchor information can achieve the goals faster and better. This article will also discuss how to eliminate the anchoring effect; for example, before seeing the anchor information, people need to obtain more comprehensive information to keep their minds clear so they can make rational decisions.