Why We Humans Feel the good less Intensely Than The Bad?
Description
Why We Humans Feel the good less Intensely Than The Bad?
Loss Aversion
I will build a wall on the border between Mexico and the US ,I will take all the jobs overseas and bring them back home.Does that ring a bell the promotor of these promises? Donald Trump .These disadvantages which are vastly consequential and powerful anchors to move people to action. (Obviously here in optionality profits.com we advocate that any offer muss be based on noble, ethical and full of integrity from our part- since we have skin in the game.)
Why are we wired to be moved by pain and act immediately to avoid it? Well base on our evolutionary past, one slight error would lead to exit the gene pool – meaning you were dead right away. So negligence could have lead on the hunt or a broken leg was sufficient to be excluded of the group, or left alone. The ones who were prudent and combine with good luck made it by surviving. We are the descendants of the ones who survive and transmitted their genes to us.
As vivid example, today No wonder why we feel more pain of losing Euro 10 000 than the joy of gaining Euros 10 000 here
And that asymmetry is just a fact of life. And it affects professionals much less than individuals, because professionals play a repeated game. So, you know, you win a few, you lose a few. Once you have that attitude, you’re okay, or you’re better off.
But individual feel losses very keenly, and they should be aware of that. And what happens is if you’re not aware of that, when things go bad, you’ll want to change what you’re doing, and that’s the disaster in running a business or investing, I think. That’s here, it’s quite obvious that loss illusion can kill you.
how much are you willing to put at risk? How much are you willing to lose, in fact? Because this is money you should be prepared to lose. And how much do you really want to protect? Now, this is something that people find very natural, that distinction. And then they find it very natural to be quite conservative with the amount they want to protect, and to be fairly bold with the amount they are willing to lose. But psychologically, people have mental accounts, and they want to feel safe on one big sum, and they’re willing to gamble on another.
From this reason, if you want convince your audience or a person, avoid to focus on the advantages of your proposal, instead highlight how it would help mitigate or eradicate the disadvantages. Here is a practical example. Let’s take the following example borrow from the world renowned novelist Rolf Dobeli; a campaign promoting Breast Self-Examination (BSE). Two different leaflets were handed out to women.
Pamphlet A urged women” Research shows that women who do BSE have an early increase chance of finding a tumour in the early, more treatable state of the disease.”
Pamphlet B said: “Research shows women who do not do BSE have a decrease chance of finding a tumour in the early, more treatable state of the decease.”
The study revealed that pamphlet B written in (loss frame) generated significant awareness and BSE behaviour than pamphlets A (written in gain-frame)
The direct conclusion is that, we human fear of losing something than to gain something of equal value. If for example, imagine your business is weigh loss. The most effective way to compelling customers to purchase your program or your products how much money they are losing without your program- as opposed to how much money they would save with it, even though the amount is exactly the same.