{"id":33281,"date":"2021-04-28T09:43:06","date_gmt":"2021-04-28T13:43:06","guid":{"rendered":"https:\/\/www.shortform.com\/blog\/?p=33281"},"modified":"2021-04-29T21:27:43","modified_gmt":"2021-04-30T01:27:43","slug":"self-herding","status":"publish","type":"post","link":"https:\/\/www.shortform.com\/blog\/self-herding\/","title":{"rendered":"Self-Herding: Stop Repeating Your Irrational Behaviors"},"content":{"rendered":"\n

What does self-herding mean? How can a good first impression lead you to make irrational choices? Is it possible to un-form your self-herding habits?<\/p>\n\n\n\n

Self-herding is when you decide if something is good or bad depending on your past experiences, then you continue to copy that behavior until it becomes a habit. This can lead you to justify your irrational decisions<\/a>. However, it is possible to recognize and change your self-herding habits.<\/p>\n\n\n\n

Continue on to learn more about self-herding and how to avoid it.<\/p>\n\n\n\n\n\n\n\n

Making Decisions Based on Self-Herding<\/strong><\/h2>\n\n\n\n

To understand how a price anchor<\/a> can translate into long-term habits, it\u2019s important to first understand the concept of herding<\/em>. Herding<\/em> is when you observe the behaviors of other people to decide if something is good or bad and copy the crowd\u2019s behavior. For example, if you see a line of people waiting to get into a restaurant, you\u2019ll determine that it\u2019s a good restaurant and might also hop in line.<\/p>\n\n\n\n

What\u2019s interesting is that you can also perform <\/strong>self-herding\u2014<\/em><\/strong>you decide if something is good or bad depending on your <\/strong>own<\/em><\/strong> past behavior, and you continue copying that behavior. <\/strong>In this way, a positive first impression (anchor) about a decision you\u2019ve made can result in a long pattern of copying your own behavior. Eventually, you believe this behavior is your preference and not just an echo of that first decision.<\/p>\n\n\n\n

Example: The Sandwich Shop<\/strong><\/h4>\n\n\n\n

On a whim, you decide to get a sandwich at the artisanal deli down the block from work, instead of going to Subway as usual. The sandwiches, while they\u2019re much more expensive, aren\u2019t much different. However, the deli has a nice perk\u2014comfortable couches and a fireplace to enjoy while you eat. Overall, you form a positive first impression about the deli\u2014which becomes the anchor underpinning your future lunchtime decisions.<\/p>\n\n\n\n

The next week, you\u2019re thinking about where to go for lunch. Rationally, you should think through your options while considering the cost of the food, the distance from work, and so on. Instead, you simply recall that you tried the deli and that you enjoyed the experience. Based on this positive first impression, you determine that the deli is a good choice and go again. So begins the process of self-herding<\/em>. <\/p>\n\n\n\n

The third week, you recall your two previous decisions to go to the deli and go again\u2014a bit like getting in line behind the people queuing outside a restaurant. Based on the fact that you keep going to the deli, you may believe that it\u2019s your preference. In fact, it\u2019s just your primary decision compounded into a habit. <\/em>Habits built from self-herding often aren\u2019t the most rational choice. <\/strong>You know, rationally, that Subway is closer to your office and offers a similar product for a lower cost. But, because you continue going to the deli, you irrationally believe that you\u2019re making a conscious decision about how you want to spend your money.<\/p>\n\n\n\n

The Circumstances That Can Set New Anchors <\/h3>\n\n\n\n

Since the products are similar, shouldn\u2019t you be anchored to Subway\u2019s prices, and realize that the cost of the artisanal sandwiches is too high? Rationally, yes.<\/em> However, because the artisanal place feels<\/em> so different, it becomes a first impression, instead of being comparable to the Subway. If the deli had a very similar aesthetic to Subway, you\u2019d likely realize that the high prices weren\u2019t the best use of your money. But the fact of the matter is, the food looks nice and there are nice window seats\u2014in your mind, it\u2019s a completely different type of place and the higher prices are justified.<\/p>\n\n\n\n

Making Better Decisions<\/strong><\/h3>\n\n\n\n

Thinking rationally about your self-herding behaviors can help you untangle habits from your true preferences\u2014allowing you to spend your money in more fulfilling ways. In examining your \u201cpreferences,\u201d ask yourself several questions:<\/p>\n\n\n\n