Psychology of Consumerism 2013 Real World Brand Cases

APPLE IPHONE 5S RELEASE

On September 20, 2013, the new iPhone 5s was launched in retail stores. Retail locations saw queues winding around the block in the U.S, Australia and China to name a few. People stood, sat and camped on the streets, refusing to leave the line for fear of losing their spot. One customer was willing to wait 27 hours in line for phone. The target audience for this event includes other phone users who may be convinced of the iPhone 5s’ value after seeing others’ dedication. The media is also a target as Apple stands to gain free publicity by from the hype generated by the long lines.

As a result of the influences of social proofing, Apple is likely to receive benefits from publicity and buzz generated by the long lines outside their stores. Similar to situations where nightclubs deliberately form lines outside their doors, Apple is able to make the iPhone 5s appear more popular by creating the impression that the cause of the long lines is high demand. Therefore, this is a good example of social proofing. Because of people’s desire to behave consistently with the actions of others, the fostered perception of the iPhone’s high demand may establish ownership and usage of the phone as a social norm, which in turn generates sales and loyalty for Apple.

The customers’ willingness to wait in line for such a long time is a good example of self-perception and the theory that one deduces one’s preferences by observing actual behavior. This is because customers who wait in line may reason that since they are willing to wait and tolerate the cold and discomfort for such a long time, they must truly want new iPhone. In other words, once a customer commits publicly to waiting in line, they will self-justify their actions by reinforcing their perceived valuation of the product.

Another theory exemplified by this behavior is conspicuous consumption and the desire to define one’s identity using brands, logos and/or products. Positive brand...