Reciprocity

Chapter 6 of PSYCHOMarketing by Roger Nichols

The principle of reciprocity speaks to the human tendency and desire to give something back after something is received. The idea of “do me, I do you” is a basic part of human nature; it’s the essence of being human. Let’s say a friend invites you to his or her wedding; you are likely to ask them to yours as well. If a colleague has once filled in for you for a weekend, you will want to fill in for some other time later requested. Simply put, the principle of reciprocity implies that individuals feel obliged to give back to others a gift, service, or form of behavior, which they have received.

In 1971, Professor Dennis Regan conducted a study referred to as an “art appreciation experiment.” He requested that subjects rate paintings with a partner who, in reality, was a research assistant. Halfway through the experiment, the partner left the room and returned later with soft drinks for some subjects and nothing for others. After the exercise, the research assistant asked the subjects if they were willing to do him a favor by buying raffle tickets from him. Subjects who were given the gift of a soft drink were more willing to buy the tickets than those who were not, even though they cost more than the soft drink.

This principle of reciprocity has also been confirmed in a series of studies done in restaurants. Ordinarily, most people will think that giving a mint does not have any significant effect on the tips that will be given by diners. However, the result of the study revealed that providing guests a single mint when they are done with their meal increased tips by about 3%; giving two mints increased the tips by about 14%. Surprisingly, when the waiter gave one mint and began to walk away from the diners, then turned back and said, “here’s an extra mint for you pleasant people,” the tips increased by about 23%. This next increase was influenced more by how the mint was given than the number of mints that were offered. Therefore, fundamental to reciprocity is providing a personalized and unexpected content at the outset.

Time Out: The 15-minute chair

Our conversation about restaurants would be incomplete without the examples of things like “table rotations,” so let’s take this sidecar-look at other new techniques that are being served up by our favorite restaurants. We’ll return to “reciprocity” in just a few, but meaningful, paragraphs.

So, the 15-minute chair: these carefully designed chairs are to have a limited comfort factor and rush for the customers. That is, the old “turn and burn.” Although they are mostly found in low-level restaurants, which need quick turnover, this is a growing issue all around. Simply put, these chairs are designed to be comfortable for only about 15 minutes. After that, time is up and it’s time to move on.

What’s worse than a 15-minute chair? No chair at all! Have you gone to the newest trendy gourmet deli only to discover there are no chairs? No seating whatsoever. THERE ARE NO CHAIRS! If you feel you have been duped, you’re not alone. After paying $15 for that gourmet sandwich (hopefully, you got a pickle), you quickly discover there are only obnoxious standing tables.

But chairs are not the only tactic restaurants cunningly engage in, thereby making you dine and dash while spending your cold hard cash. There is the music. In the mid-1980s, researchers at Fairfield University demonstrated that people increased their rate of chewing by almost a third when listening to faster, louder music—they actually accelerated from

3.83 bites per minute to 4.4 bites per minute. Studies also show people drink more, eat faster, and leave sooner when the bass is thumping. A 2008 study in France found that, when music decibels were amped up, men not only consumed more drinks but consumed them in less time. Additionally, there is the fact that guests seated at tables in the middle of the restaurant floor—which is exposed to the hustle and bustle of waiters and guests alike—will be less comfortable and will also eat faster.

In 2010, Regina Baraban and Joseph Durocher wrote in their book, “Successful Restaurant Design,” that bold, primary colors and bright lighting encourage turnover and are appropriated for quick-service and casual restaurants that depend on fast turnover. This is why McDonald’s chose the colors yellow and red. They not only facilitate the turnover of customers, which in turn increases profits, their color selection also increases appetites for all those unhealthy foods.

So, I am here to tell you that all these things you are annoyed with are intentional, and have been carefully studied by marketing professionals to get the most dollar from you in the least amount of time. For better and worse, there’s still more to come. Let’s return to reciprocity.

The marketing implications of reciprocity. These studies show that reciprocity can significantly affect the effectiveness of any marketing strategy. When implemented correctly, reciprocity can be a colossal aid for businesses in increasing revenue and referrals.

For those who do online business, the principle of reciprocity applies when they provide something of value to you (information on health, technology, etc.).

In that case, you will find their site valuable and be more enthusiastic about doing business with them; you might even do your own word-of-mouth advertising in their behalf. Reciprocity is relevant for building links and relationships, and that works both ways. In our modern parlance, we are familiar with the concept of “if you re-tweet me, I’ll be more inclined to re-tweet you.” Simply put, effective marketing is all about exchange.

Using Reciprocity In Marketing

It has been established that reciprocity can have both significant positive and negative effects on businesses. If it is executed poorly—say if the rewards, offers, and gifts a company gives to consumers are perceived as a payoff for a specific reaction—the company can be considered inferior. Marketers must be authentic in their use of the principle of reciprocity. It is, therefore, necessary for marketers to know how to apply reciprocity correctly if they want to boost their sales.

Being the first to give

It is essential for the marketer to provide something first, without an apparent expectation of receiving anything in return. Gifts, discounts, and bonus points, among other awards, must be perceived as personal; this can be realized by offering gifts that are connected to your demographic or psychographic characteristics, which are a classification according to psychological marketing variables. Alternatively, marketers can provide a self-selection process that allows you to select the offer that pleases you most. They may give you incentives even after a sale, to encourage you to buy from them again.

Give valuable things

Marketers want to give you something that is beneficial beyond the product or service you just purchased. They know if they attempt to present anything that forces you to buy more products without adding value, their actions may only drive a short-term benefit, and you may totally reject them altogether later. As with a first date, marketers want you to feel they are not only after your money, but your total well-being. This way true and lasting relationships can be built which will ultimately be beneficial to both of you by building brand loyalty.

Marketers let you know how you can reciprocate to them

For instance, they will tell you that you can help them

become a better provider, or make a better product, if only you fill out a brief survey on your experience with their product, re-tweet a post, or follow them on social media, among other things. The key here is to provide several ways you can give back to them aside from buying their product or service. They’re being truthful here; you do help them create a better product…so they can sell more in the future.

Keeping the relationship going is the marketer’s ultimate goal. If you respond in kind to their offer, they may offer you yet another gift, value-added material, or simply acknowledgment. They may even include a personalized thank-you note for doing business with them, making you feel more special by adding your first name or writing specifically what you purchased. They may offer you their business card, brochure, or even something simple like a sticker wanting you to recommend them to your family and friends.

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