The Complex Psychology and Economics of Gifting

Posted on

  • email
  • twitter
  • facebook
  • share this

share this

advertisement

Online gifting technology provider Smartgift has released a report (PDF) that sheds light on how online retailers can use behavioral science to boost revenue.

A few of Smartgift's recommended best practices, along with a nice supported quote, include:

- QUOTE: “Presents are made for the pleasures of who gives them, not the merits of who receives them.”
- BEST PRACTICE: Offer the gift sender more merchandising options at the point of checkout

- QUOTE: “The paradox of gifts: I know what I have given you. I don’t know what you have received.”
- BEST PRACTICE: Let gift recipients choose what they want

- QUOTE: “The first lesson of economics is scarcity: There is never enough of anything to satisfy all those who want it.”
- BEST PRACTICE: Leverage ratings, reviews, exclusive sales and limited edition products

"Exchanging gifts is the most powerful way of building alliances and stronger bonds. The essence of gifting is based on the self-perpetuating system of balanced reciprocity,” said Monika Kochhar, CEO and co-founder of Smartgift. “Smartgift is rooted in ‘the science of gifting’. The gift economy creates an enormous demand and market for consumer goods throughout the year. In this highly competitive market, retailers that understand gifting behavior are best positioned to maximize their online gift revenue.”


 SUBSCRIBE FREE to Website Magazine - 12 Issues 


 

Custom WordPress Design Themes at 99designs.com. Get the most designs for your buck when you start a design project!


Login To Comment

forget your login information?

Become a Member

Not already a part of our community? Sign up to participate in the discussion. It’s free and quick.

Sign Up

Be the first to comment on this article

advertisement

999 E Touhy Ave
Des Plaines, IL 60018

Toll Free: 1.800.817.1518
International: 1.773.628.2779
Fax: 1.773.272.0920
Email: info@websitemagazine.com

Facebook


Twitter