BEHAVIORAL economists define the concept of “tyranny of choice.” Offering too many options to the consumer causes a mental block. Is there a way to unclog the mind and simplify the decision-making process?
In the latest model of a mobile phone, the capabilities of the gadget are given free rein. Add to this the app store offering even more choices. The user can be overwhelmed by the decisions he must make. Why not offer him a default option? This route requires no selection process and allows the user to simply go for the default setting — just one decision. This is expected to cover most of his requirements.
Rather than expecting the consumer to wade through multiple decisions and options, a small set of features are bundled together as a default option that gives convenience to the consumer.
The default approach has given rise to the “combo meals” offered by fast-food restaurants. The few combinations are numbered, laid out, and accompanied with pictures. This moves the line of customers faster, having only to choose among a few default packages rather than meditating on the infinite combinations of chicken thighs, drinks, noodles, soups, sauces, snacks, desserts, and sandwiches. The Japanese bento boxes serve the same default options, with a little of everything.
Another default approach involves offering only the features that 75% of users rely on and bringing down the price of the gadget — not an acceptable strategy for the profit-maximizing producer. (What are your bestsellers?)
Even online cash transfers and digital banking procedures periodically offer new and enhanced versions, of course with more choices. This often requires the user to migrate his banking app and learn a whole new process again with even more features. (Please change your password.) This move is accompanied by a warning that the present app will cease to function in one week. FOMO sets in and causes a quiet panic.
Offering default options indicate that not all the bells and whistles in an upgraded new model are necessary for the regular customer. Still, the price of the upgraded model is sure to be higher.
Choices are also encountered in corporate management. When the company is in the red, the choices for remedies and next steps are many. Usually, the default option is cost-cutting. This requires less imagination than redefining the mission statement or shifting the revenue stream to other businesses.
The first step always involves the expense side. When downsizing, companies identify the core skills needed to run the business and anything outside that definition is deemed dispensable. Thus, early retirement descends like a plague on people with unused or unusable skills. After all, if there are no fires, are fire extinguishers still needed?
Job descriptions are the default options. One can ignore the last item in this list — “And any other jobs that may be assigned from time to time.” The skills needed to cover routine tasks like taking charge of a unit, meeting budget targets, and showing up at the office, instead of always working from home.
Not factored into this default job description are such attributes as a sense of perspective, loyalty to the company, strategic thinking, the ability to build consensus, or the willingness to go the extra mile in crunch time.
Another version of the default option is the establishment of a routine. Why keep thinking of where to have lunch each time? Why not pick a place to go to every time and order the same thing without looking at the menu. (Sir, onion soup for you again today?)
Default options free us from having to confront the tyranny of choice. This simplified approach can also apply to personal relationships. The approach to handling disagreements and fault-finding are established. Why be stressed? Just listen to the music in your head — Tom Jones belting out “Delilah.”
A default mode of changing the topic when painful subjects like financial support of relatives or unexplained text messages should kick in. The conversation can switch to the default subjects of traffic, the constitutional amendment on political dynasties, and the state of the marital relationships of friends and distant relatives. Oops, that last one can open a can of worms… with the choices they offer.
Tony Samson is chairman and CEO of TOUCH xda
