The Beginner’s Guide to Gamification (17 of 90): Loss & Avoidance

Loss and Avoidance

This is probably the funniest episode yet. You’ll meet my friend Sunk Cost guy, watch me laugh and cry, as well as do some stupid things.

Oh yes, and you will learn some stuff too….I hope.

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10 thoughts on “The Beginner’s Guide to Gamification (17 of 90): Loss & Avoidance”

  1. The sunk cost analogy is interesting. The literature says that a sunk cost is “not recoverable” and yet people persist in attempting to “turn losses” around.

    This is very strong driver and yet appears completely beyond rational thinking.

    How do we learn to use the loss avoidance in the most positive way possible?

  2. No sunk costs here. Just think about what I would have missed out on if I had not watched this video. 🙂

  3. Tons of marriages are examples of the Sunk Cost dilemma, with either or both parties too scared to lose all the effort & $$ they have put invested over years. Some have foregone brighter opportunities & now “settle” for being alone & poor for life, in their view.

  4. This episode is Epic =)) Your friend from India shows his actor’s talants very well, and, what is more important – this way of describing feels more, like, it could be you there… In other words, you more likely imagine yourself when you see this balck/white screen and a tragedy of someone =)
    So, for instance, If we, as Start-up search for new investors, on the same hand round A investors may react positive on hearing that team needs more money not to lose all the real-life milestones achieved.
    And when you are an investor – it is useful to think bigger – that there will be much more start-ups, and this one, that burned too much money could be “sunked” even despite all the results, team, previous success and etc…
    Ineteresting indeed.
    I start assuming that black hat techniques are very strong and powerful, as well as the dark side of the Force =))
    Should think of using this Core Drive in negotiations.

  5. The tragedyyyy.
    Sometimes the sunk cost tragedy can work against the game.
    What happens if all your friends leave facebook? You suddenly don’t want to be there anymore.
    What happens if your guild, in which you played since the beginning is dismantled?
    You suddenly leave World of Warcraft.
    Take also in consideration environments like gambling, losing too much (real money) especially after playing for so long, doesn’t motivate you to leave the table to never come back, or look for competition, thinking another Casino may be “more lucky”?

  6. With Scarcity in Impatience, we’ve seen that user are more likely to pay money if you show that paying saves you time/labor. Interestingly enough, I have seen people selling their high-leveled accounts in MMOGs for real money as a way to deal with the sunk cost tragedy. Time=value=money works both ways here.

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