{"id":16059,"date":"2020-10-11T16:59:00","date_gmt":"2020-10-11T20:59:00","guid":{"rendered":"https:\/\/www.shortform.com\/blog\/?p=16059"},"modified":"2020-10-13T12:43:24","modified_gmt":"2020-10-13T16:43:24","slug":"hooked-by-nir-eyal","status":"publish","type":"post","link":"https:\/\/www.shortform.com\/blog\/hooked-by-nir-eyal\/","title":{"rendered":"Hooked by Nir Eyal: How to Create Loyal Customers"},"content":{"rendered":"\n<p>What is <em>Hooked<\/em> by Nir Eyal about? How does <em>Hooked<\/em> by Nir Eyal explain <a href=\"https:\/\/www.shortform.com\/blog\/habit-forming-products\/\">habit-forming products<\/a>?<\/p>\n\n\n\n<p><em>Hooked<\/em> by Nir Eyal is a book that explains the use of a 4-step loop to build habit-forming products. The steps and their requirements are discussed in more detail in <em>Hooked<\/em> by Nir Eyal.<\/p>\n\n\n\n<p>Read more about the model at the heart of <em>Hooked <\/em>by Nir Eyal.<\/p>\n\n\n\n<!--more-->\n\n\n\n<h2 class=\"wp-block-heading\">Habits in <em>Hooked<\/em> by Nir Eyal<\/h2>\n\n\n\n<p>Habits are a shortcut for your brain &#8211; you execute automatic behaviors without having to think hard about it. Habits develop when the behavior has solved the problem continuously in the past.<\/p>\n\n\n\n<p>Habit-forming products use a 4-step loop to hook you:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>A <strong>trigger <\/strong>prompts the behavior.&nbsp;<ul><li>Triggers can be external or internal. <a href=\"https:\/\/www.shortform.com\/blog\/external-trigger-vs-internal-trigger\/\">External triggers<\/a> come from outside a person\u2019s thinking (e.g. phone notifications or seeing an advertisement). Internal triggers are internal drives (e.g. relieving boredom or loneliness).<\/li><li>For products, behaviors often begin with external triggers. Then, as the habit forms, the behavior becomes associated with internal triggers.<\/li><\/ul><\/li><li>The trigger prompts an <strong>action<\/strong>, which is a behavior done in anticipation of a reward.<ul><li>An action is more likely when there is motivation to do it, and when it is easier to do.<\/li><\/ul><\/li><li>The action delivers a <strong>variable reward<\/strong>.<ul><li>Predictable rewards don\u2019t cause cravings. You don\u2019t crave turning on your faucet since you know what happens every time.<\/li><li>In contrast, <a href=\"https:\/\/www.shortform.com\/blog\/variable-rewards\/\">variable rewards<\/a> prompt more intense dopamine hits and push the user to desire the next hit.<\/li><\/ul><\/li><li>In completing the action, the user <strong>invests <\/strong>in the product, improving her future experience and increasing the likelihood of completing another loop in the future.<ul><li>Investments include inviting friends, storing data, building a reputation, and learning to use features.<\/li><\/ul><\/li><\/ul>\n\n\n\n<p>According to <em>Hooked<\/em> by Nir Eyal, each successive loop makes the next loop more likely to occur, causing a <a href=\"https:\/\/www.shortform.com\/blog\/flywheel-effect-jim-collins\/\">flywheel effect<\/a>. To explain each in more detail:<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Trigger<\/strong><\/h3>\n\n\n\n<p><strong><em>External <\/em><\/strong><strong>triggers are delivered through the environment<\/strong>. They contain information on what the user should do next, like app notifications prompting users to return to see a photo.&nbsp;<\/p>\n\n\n\n<p>Over time, as a product becomes associated with a thought, emotion, or preexisting routine, users return based on <strong>internal triggers<\/strong>. <strong>Emotions <\/strong>&#8211; especially negative ones like boredom, loneliness, confusion, <a href=\"https:\/\/www.shortform.com\/blog\/find-purpose-in-your-life\/\">lack of purpose<\/a>, and indecisiveness &#8211; are powerful internal triggers. These triggers may be short and minor, possibly even subconscious.&nbsp;<\/p>\n\n\n\n<p><strong>To build a habit, you need to solve a user\u2019s pain so that the user associates your product with relief.<\/strong><\/p>\n\n\n\n<p><strong>To discover the root problem, the Nir Eyal book says you should ask \u201cWhy?\u201d as many times as it takes to get to an emotion.<\/strong>&nbsp;<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Action<\/strong> in <em>Hooked<\/em> by Nir Eyal<\/h3>\n\n\n\n<p><strong>To initiate action in a habit, doing must be easier than thinking<\/strong>. An action has three requirements:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Sufficient motivation<\/li><li>Sufficient ability<\/li><li>A trigger to activate the behavior<\/li><\/ul>\n\n\n\n<p>Make the process to use your product as simple as possible. Lay out the steps the customer takes to get the job done. Then <strong>remove steps until you reach the <\/strong><strong><em>simplest possible process<\/em><\/strong><strong>.<\/strong><\/p>\n\n\n\n<p>The Nir Eyal book says you need to <strong>identify which factor is most impeding your users. <\/strong>Is the mental effort needed to use your product too high? Is the user in a <a href=\"https:\/\/www.shortform.com\/blog\/social-context\/\">social context<\/a> where the behavior is inappropriate? Is the behavior so different from normal routine that it\u2019s offputting?<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Variable Reward<\/strong><\/h3>\n\n\n\n<p>To build a habit, <em>Hooked<\/em> by Nir Eyal explains that your product must <em>actually solve the user\u2019s problem <\/em>so that the user depends on your product as a reliable solution. The benefit the user receives is the reward.<\/p>\n\n\n\n<p><strong>Variable rewards are more effective than fixed rewards<\/strong>. Fixed rewards don\u2019t change at all, delivering the same reward at unchanging intervals. <strong>Variable rewards are more like slot machines<\/strong>, delivering unknown amounts at an unknown frequency. Unpredictable reward sizes and novelty spike dopamine levels, which in turn strengthen the development of the habit. Imagine a slot machine that merely paid you $0.99 every time you wagered $1.00 &#8211; how fun would that be?<\/p>\n\n\n\n<p>There are three types of variable rewards:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Rewards of the Tribe<\/strong><ul><li>We generally want to feel accepted, attractive important, and included. When other people give us <a href=\"https:\/\/www.shortform.com\/blog\/social-proof-bias\/\">social validation<\/a>, this is a powerful reward.<\/li><\/ul><\/li><li><strong>Rewards of the Hunt<\/strong><ul><li>Before inventing tools, humans hunted animals through persistence hunting, out-enduring larger animals that couldn\u2019t effectively cool themselves over hours of chase.<\/li><li>This selected for the dogged determination to <strong>acquire rewards that aid our survival, including food, cash, and information. <\/strong>We are even conditioned to enjoy the pursuit itself, on top of the material rewards.<\/li><\/ul><\/li><li><strong>Rewards of the Self<\/strong><ul><li>We seek <strong>mastery and completion<\/strong>. We are driven to conquer obstacles and complete obstacles, becoming more capable than we were before.<\/li><\/ul><\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Investment<\/strong><\/h3>\n\n\n\n<p><strong>The more effort we put into something, the more we value it, and the more likely we are to return. <\/strong>Thus, to encourage a user to return and build a habit, the Nir Eyal book says you need to prompt them to put <strong>something of value into the system<\/strong> so that they value the app more highly and pave the way for longer-term rewards.<\/p>\n\n\n\n<p><strong>Often the user\u2019s investment increases the value of future rewards, building a <a href=\"https:\/\/www.shortform.com\/blog\/virtuous-cycle-john-malone\/\">virtuous cycle<\/a> of usage that becomes ever more valuable<\/strong>.&nbsp;<\/p>\n\n\n\n<p>Here are examples of types of user investments, with explanations of how they improve future rewards and enable triggers:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Content Curation<\/strong>: when users curate content they like, the product can surface more content the user is likely to enjoy through customization.<\/li><li><strong>Data<\/strong>: when users contribute personal data, the product can issue useful recommendations by analyzing the data.<\/li><li><strong>Social Connections<\/strong>: when a user connects to other users, the contributions of other users provide more value and are compelling triggers to return.<\/li><li><strong>Reputation<\/strong>: when users build reputations on a site, their influence increases, and their desire to leave decreases.<\/li><\/ul>\n","protected":false},"excerpt":{"rendered":"<p>What is Hooked by Nir Eyal about? How does Hooked by Nir Eyal explain habit-forming products? Hooked by Nir Eyal is a book that explains the use of a 4-step loop to build habit-forming products. The steps and their requirements are discussed in more detail in Hooked by Nir Eyal. Read more about the model at the heart of Hooked by Nir Eyal.<\/p>\n","protected":false},"author":6,"featured_media":15978,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[104,9,103],"tags":[136],"class_list":["post-16059","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-marketing","category-psychology","category-sales","tag-hooked","","tg-column-two"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v24.3 (Yoast SEO v24.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Hooked by Nir Eyal: How to Create Loyal Customers - Shortform Books<\/title>\n<meta name=\"description\" content=\"Hooked by Nir Eyal shows product developers how to create customer habits with triggers, actions, rewards, and investments. Read more here.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.shortform.com\/blog\/hooked-by-nir-eyal\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Hooked by Nir Eyal: How to Create Loyal Customers\" \/>\n<meta property=\"og:description\" content=\"Hooked by Nir Eyal shows product developers how to create customer habits with triggers, actions, rewards, and investments. 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