The idea of the goal-gradient effect is that people tend to accelerate as they get closer to a goal.
During a study done in 1934 by Clark Hull, the goal-gradient effect was observed in rats and showed that they ran faster toward the end of a maze in order to complete their goal of finding food.
Consumers that are part of a rewards program are generally more happy than those who are not.
Being a member of a loyalty program makes them smile more, engage with employees more, and even tip more.
Many big companies use reward cards to keep customers coming back. However, in this digital age, Apps are replacing cards and are easily accessible on anyones smart phone.
Starbucks is a good example, every time you purchase a product or complete a goal, you are rewarded with stars. Once you reach a certain number of stars, you are rewarded with a free item.
Hurry, you're almost there!
Interestingly, a company is also most likely to lose the consumer right after the reward has been given, at least temporarily. Even the lure of a second reward is not always enough to get them back right away.
This is called the post-reward resetting phenomenon.
