Bolstering and restoring feelings of competence via the IKEA effect - Mochon et al. (2012) - Article

Why is co-creation important for consumers?

Consumers are increasingly acting as co-creators of products, rather than just passive recipients. A few reasons for this preference can be identified:

• Functional fit. By customizing a product it is more likely to meet the needs of the consumer.
• People like having products that are unique to them.
• People enjoy being part of the design process.

What is the IKEA-effect?

The IKEA-effect refers to people´s willingness to pay more for self-made products than for identical ones made by others. Research has shown that people tend to overvalue their own creations, even for products that are not customized, unique, or fun to build.

How does self-assembly or products contribute to the consumers´ identity?

People have a desire to signal a competent identity to themselves and others. Assisting in the production of products fulfill that need, by letting people control and shape their environments and displaying those creations to demonstrate competence. Especially when people´s feelings of competence have been threatened will they derive utility from self-assembly. Humans also have a fundamental need for effectance. Effectance refers to the ability to successfully produce desired outcomes in one´s environment. One way of accomplishing effectance is by affecting and controlling objects and possessions. In this way, consumers actively use products to signal their identities to others.

What is the self-affirmation theory and how does it relate to the IKEA-effect?

Self-affirmation theory focuses on how people adapt to information or experiences that threaten their self-concept. It argues that people strive to keep a positive view of the self, and that when they affirm one important value to the self they temporarily reduce the weight of another value. If the IKEA-effect is driven by the ability of self-made products to signal a valued identity, this effect should be reduced/eliminated if people are first allowed to affirm the self. On the other hand, if people´s sense of competence are threatened, it should increase the value they derive from self-creation and increase their motivation to participate in self-assembly.

What is the importance of the type of product being self-assembled?

With regards to competence, a distinction needs to be made between personal feelings of pride and the desire to show off a creation to others. The type of product created can say a lot about which component of competence is at work. Some products are meant to be displayed (like watches, or clothes), whereas others can be for personal use and won´t be seen by others (like a cupboard in the bedroom).

What are the main conclusions with regards to feelings of competence and self-assembly of products?

• The competence associated with self-created products mediates the increase in value for such products relative to products created by others. This plays a critical part in the IKEA-effect.
• Affirming consumers´ sense of self caused self-assembly of products to be less rewarding, whereas threatening consumers´ feelings of competence increased their motivation to self-assemble products in order to restore their feelings of competence.
• Competence is both a mediator and a moderator in creating consumer interest in self-assembly and also for those efforts to be rewarding.

What are the implications of this new information?

These results can be used by marketers to maximize customer satisfaction, but also by individuals to manage their life satisfaction. For marketers, it can be good to try and involve customers in the assembly of the products because it makes the customers feel competent and happy. The risk is that customers may attribute successful assembly to their own efforts, but assembly failures to the company. With regards to individuals´ life satisfaction, feelings of productivity serve as an important goal for many people.