What's New
Every week we publish new articles and add books to the library. Here's everything that landed this week.
The behavioural economics of pricing transparency — when honesty increases willingness to pay
Why opacity has a hidden cost Most pricing conversations focus on what to charge. The research suggests an equally important question is how much the consumer knows about why that number exists. Pricing transparency is…
The Trusted Advisor
David Maister
The Trusted Advisor by David Maister, Charles Green and Robert Galford is the most directly applicable treatment of how trust functions as a commercial mechanism. Their Trust Equation — credibility plus reliability plus intimacy, divided by self-orientation — maps precisely onto the conditions under which pricing transparency increases willingness to pay. Transparency increases credibility and reduces perceived self-orientation simultaneously, which are the two highest-leverage variables in the equation. For any entrepreneur making decisions about how much to reveal about their pricing, this book provides the most practically grounded framework for understanding what trust actually consists of and how it is built or destroyed.
The behavioural economics of pricing transparency — when honesty increases willingness to pay
Why revealing your cost structure can increase what customers are willing to pay — and when it backfires
The behavioural economics behind why loyalty programmes work (and when they stop working)
The three mechanisms that drive engagement — and the three conditions under which each one reverses
Why the 'identifiable victim effect' means one customer story drives more action than statistical analysis of thousands
The psychology of why one named person outperforms any number in decision-making
Why the endowment effect means your worst customers are the ones who got your product for free
Why psychological ownership without financial investment produces entitlement, not loyalty
The psychology behind why 'free' is not a price — it's an emotional trigger that bypasses rational evaluation
Why zero functions categorically differently from any other number in the brain's evaluation system
The behavioural economics of employee incentives — why most bonus structures backfire psychologically
Why the reward you designed to increase motivation is probably reducing it
How the "disposition effect" makes entrepreneurs sell winning strategies too early and hold losing ones too long
The behavioural finance mechanism that systematically inverts good decision-making
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