{"id":28486,"date":"2021-03-13T14:03:43","date_gmt":"2021-03-13T18:03:43","guid":{"rendered":"https:\/\/www.shortform.com\/blog\/?p=28486"},"modified":"2021-03-15T21:31:29","modified_gmt":"2021-03-16T01:31:29","slug":"cue-routine-reward","status":"publish","type":"post","link":"https:\/\/www.shortform.com\/blog\/cue-routine-reward\/","title":{"rendered":"Cue Routine Reward: How Companies Exploit You"},"content":{"rendered":"\n<p>What is the cue routine reward system? How do companies use our natural habit psychology to sell and market goods?<\/p>\n\n\n\n<p>The cue routine reward system is how we respond to stimulation, and is part of how we form habits. Companies know this and they use our natural habit-forming tendencies to get us to create buying habits.<\/p>\n\n\n\n<p>Read more about the cue routine reward system and how companies explot it.<\/p>\n\n\n\n<!--more-->\n\n\n\n<h2 class=\"wp-block-heading\"><strong>Cue Routine Reward System<\/strong><\/h2>\n\n\n\n<p>When you consume commercial products like groceries and music, you have habits, and those habits are predictable. (What a surprise.) People have favorite types of food and genres of music and regularly consume them. Again, the value of habits is conservation of <a href=\"https:\/\/www.shortform.com\/blog\/mental-energy\/\">mental energy<\/a> \u2013 you don\u2019t have to think hard about what what groceries to buy every trip or which radio station to listen to everyday. They use to cue routine reward system to force you to form habits, and take advantage of your existing habits. <\/p>\n\n\n\n<p>Supermarkets are well designed to play psychological tricks based on your habits:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Healthy, fresh food is put near the entrance of the store. The theory is that<strong>&nbsp;if you buy healthy food at the beginning of your shopping trip, you\u2019ll be able to justify buying Oreos placed at the end<\/strong>&nbsp;(additionally, you\u2019ve likely&nbsp;<strong>already depleted your willpower<\/strong>&nbsp;by this point after passing by loads of delicious looking food). This makes you spend more overall, and over time you develop a habit of loading up your cart with a full range of goods.<\/li><li>Most people turn to the right after entering a store, so higher margin items are placed to the right.<\/li><\/ul>\n\n\n\n<p><strong>People\u2019s habits do suddenly change, and most often after major life events.<\/strong>&nbsp;Even though your personal habits have changed, they change in a predictable way. For example, if you\u2019re expecting a baby, you\u2019re likely to suddenly start buying vitamins and unscented lotion. This is one example fo the cue routine reward system. <\/p>\n\n\n\n<p>Retailers track all your buying behavior through your credit cards and rewards cards. They can then detect your buying patterns and send you customized newsletters with deals unique to you, to get you back into the store. For instance, if Target thinks you\u2019re likely to be in your third trimester of pregnancy, it\u2019ll send you discounts on diapers and baby clothes. This will get you into the store and you\u2019re likely to buy food and housewares along the way.<\/p>\n\n\n\n<p>However, this can\u2019t be done too obviously. Because buying pregnancy items is new to you, it contradicts your previous habits, and pointing it out is especially salient. It\u2019d be creepy to get a coupon book full of baby formula coupons when you haven\u2019t even announced that you\u2019re pregnant.<\/p>\n\n\n\n<p>So retailers have figured out that these new customized deals need to be sandwiched in between familiar items, like dish soap and detergent. Then it doesn\u2019t look like you\u2019re being explicitly targeted, but you notice the customized deals anyway.<\/p>\n\n\n\n<p>This relates to the lesson from Chapter 3 \u2013 to adopt new habits, keep the same cue and the same reward, but change the routine.&nbsp;By sandwiching a new routine (baby formula) in between familiar cues (normal coupons), companies can inspire new habits using the cue routine reward system.<\/p>\n\n\n\n<p>(Shortform note: there are clear connections these ideas and how today\u2019s top companies like Facebook and Netflix build unshakeable habits of using their services.)<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><strong>Example: Listening Habits in Pop Music<\/strong><\/h3>\n\n\n\n<p>In popular music, there\u2019s a running joke that the top songs all sound the same. For example, many songs follow a familiar 4 chord progression.<\/p>\n\n\n\n<p>People crave familiarity, even if they consciously deny liking these songs. We subconsciously enjoy patterns so they ease the load on our cognition. For audio, patterns help us distinguish signal from the noise. In a busy intersection with hundreds of different noises happening at once, we can still pay attention to a conversation. Patterns in music work similarly.<\/p>\n\n\n\n<p>In 2003, hip-hop group Outkast created a song called \u201cHey Ya!\u201d. The studio executives felt it was catchy, fresh, and had the potential to be a big hit. But they noticed that listeners actively switched to a different station when it came on the radio. The theory \u2013 <strong>it sounded too dissimilar from other top 40 songs<\/strong>. People\u2019s listening habits couldn\u2019t immediately make sense of Hey Ya.<\/p>\n\n\n\n<p>To ease the transition, DJs sandwiched the song in between popular form-fitting songs by people like Maroon 5 and Justin Timberlake. This made Hey Ya sound relatively more familiar than if it were sandwiched between unfamiliar songs. <strong>As people listened to the song over and over again, their habits shifted<\/strong>, and they began to crave Hey Ya as a new, adjusted habit.<\/p>\n\n\n\n<p>Most companies use the cue routine reward system to help form habits and to get us to act on our habits. <\/p>\n","protected":false},"excerpt":{"rendered":"<p>What is the cue routine reward system? How do companies use our natural habit psychology to sell and market goods? The cue routine reward system is how we respond to stimulation, and is part of how we form habits. Companies know this and they use our natural habit-forming tendencies to get us to create buying habits. Read more about the cue routine reward system and how companies explot it.<\/p>\n","protected":false},"author":5,"featured_media":8626,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[45,42,9],"tags":[226],"class_list":["post-28486","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","category-motivation","category-psychology","tag-the-power-of-habit","","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>Cue Routine Reward: How Companies Exploit You - Shortform Books<\/title>\n<meta name=\"description\" content=\"Humans are habit-forming creatures. Companies exploit our natural cue routine reward system to create habits that lead to sales. Read more.\" \/>\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\/cue-routine-reward\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Cue Routine Reward: How Companies Exploit You\" \/>\n<meta property=\"og:description\" content=\"Humans are habit-forming creatures. Companies exploit our natural cue routine reward system to create habits that lead to sales. 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