Status
We constantly look for ways to improve how others see us
Research shows that we consume goods and services in part to increase status and gain social advantage, regardless of our income or social standing.
Sivanathan & Pettit (2010). Protecting the self through consumption: Status goods as affirmational commodities. Journal of Experimental Social Psychology.
The study
Setup
150 students completed a simple task and were split into two groups and given either positive or negative feedback on their performance. They were then shown either a one-off print or a mass-produced one and asked how much they’d pay for it.
Results
Those given negative feedback were willing to pay almost 4x more on average for the unique print than those with positive feedback, showing how we use consumption to heal our sense of status.
In detail
Key Takeaways
There are multiple ways to elevate brand status:
Form strategic alliances with successful others with whom you share compatible goals (Thorndike, 1920), e.g. Go-Pro and Red Bull.
Develop your core purpose to raise your products’ perceived value (Chernev & Blair, 2015), e.g. Patagonia who “use business to inspire and implement solutions to the environmental crisis.”
Create and control new ways of promoting industry excellence. Dribbble, a platform for design teams to show off their work provides paid-for "Pro Business" status badges to distinguish the best from the rest.
Invest in a tiered loyalty scheme to elevate consumers’ status & brand attachment (Nunes & Dréze, 2006), e.g. British Airways Executive Club.
Status
We constantly look for ways to improve how others see us
Research shows that we consume goods and services in part to increase status and gain social advantage, regardless of our income or social standing.
Sivanathan & Pettit (2010). Protecting the self through consumption: Status goods as affirmational commodities. Journal of Experimental Social Psychology.
The study
Setup
150 students completed a simple task and were split into two groups and given either positive or negative feedback on their performance. They were then shown either a one-off print or a mass-produced one and asked how much they’d pay for it.
Results
Those given negative feedback were willing to pay almost 4x more on average for the unique print than those with positive feedback, showing how we use consumption to heal our sense of status.
Key Takeaways
There are multiple ways to elevate brand status:
Form strategic alliances with successful others with whom you share compatible goals (Thorndike, 1920), e.g. Go-Pro and Red Bull.
Develop your core purpose to raise your products’ perceived value (Chernev & Blair, 2015), e.g. Patagonia who “use business to inspire and implement solutions to the environmental crisis.”
Create and control new ways of promoting industry excellence. Dribbble, a platform for design teams to show off their work provides paid-for "Pro Business" status badges to distinguish the best from the rest.
Invest in a tiered loyalty scheme to elevate consumers’ status & brand attachment (Nunes & Dréze, 2006), e.g. British Airways Executive Club.
Status
We constantly look for ways to improve how others see us
The study
Setup
150 students completed a simple task and were split into two groups and given either positive or negative feedback on their performance. They were then shown either a one-off print or a mass-produced one and asked how much they’d pay for it.
Results
Those given negative feedback were willing to pay almost 4x more on average for the unique print than those with positive feedback, showing how we use consumption to heal our sense of status.
In detail
Pairings
Allow leaders to tell their story
Whether you're Airbnb with many 5* Superhosts, or a crypto platform with a group of highly successful traders, knowledge shared with other users in the form of a story will create a win-win-win scenario. The high status user will be elevated further, other users will gain valuable insight on the correct action to emulate, and the platform will be seen as a place to be seen and grow, regardless of status.
Where can you harness prior success with your product to create compelling stories that elevate, educate and inspire?
Allow status to be collected in different ways
One's status is rarely amassed with a single task, instead dictated by many decisions in different areas over time.
How many different ways do you segment and measure status in your customers or employees? Which 2-3 are most important for the business, strategically?
How can you show the progress of status by progressing along a small number of these different task types?
Highlight new-found status to the group
Acknowledging a person’s position amongst a group can inject new-found confidence in the individual and act as a behavioural reference point for others.
Where can you use status to highlight successful acts that others should now surely follow? Be sure to provide positive feedback when other members of the group follow suit.
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Status
