Adding A Throwaway Option Can Solidify Decisions

Many arts organizations are seeing a drop in ticket sales and subscriptions this year which got me to thinking about a TED talk Dan Ariely did about how unwanted options helped helped people make a decisions, in some case spending more than the cheapest option.  I had done a post about it some years ago and thought about how it might be applicable to subscriptions.

Offer people options that don’t have value to nudge them toward purchasing more a bigger subscription package than they might have. I don’t know that it would transform a lot of single ticket buyers into subscription buyers unless we are wrong about flexibility being more important than price. A mini-subscription that offered flexibility and appeared to be a great value might have some success in getting single ticket purchasers to commit.

I also wonder if offering non-premium options with your show helps make them look more attractive than your competitors’. Ariely talks about another experiment where they offered people the option of an all-inclusive trip to Rome or Paris. In this case it is really apples and oranges since the two cities are in different countries have have so many different attributes to value. Once they add the option of going to Rome but having to pay for coffee in the morning, suddenly people preferred [all-inclusive] Rome over Paris by a larger degree due to the lesser option being available.

It doesn’t seem logical to me to think that given the option between the symphony and a free cocktail at intermission and the opera and a free cocktail at intermission, that people would flock to the orchestra if a no cocktail option for the same price was offered. But as Ariely points, out the decision being made are not entirely rational.

About Joe Patti

I have been writing Butts in the Seats (BitS) on topics of arts and cultural administration since 2004 (yikes!). Given the ever evolving concerns facing the sector, I have yet to exhaust the available subject matter. In addition to BitS, I am a founding contributor to the ArtsHacker (artshacker.com) website where I focus on topics related to boards, law, governance, policy and practice.

I am also an evangelist for the effort to Build Public Will For Arts and Culture being helmed by Arts Midwest and the Metropolitan Group. (http://www.creatingconnection.org/about/)

My most recent role was as Executive Director of the Grand Opera House in Macon, GA.

Among the things I am most proud are having produced an opera in the Hawaiian language and a dance drama about Hawaii's snow goddess Poli'ahu while working as a Theater Manager in Hawaii. Though there are many more highlights than there is space here to list.

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