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Brand names act like marketing placebos

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  • Moty Amar
  • Dan Ariely
  • Maya Bar-Hillel
  • Ziv Carmon
  • Chezy Ofir
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    Abstract

    This research illustrates the power of reputation, such as that embodied in brand names, demonstrating that names can enhance objective product efficacy. Study participants facing a glaring light were asked to read printed words as accurately and as quickly as they could, receiving compensation proportional to their performance. Those wearing sunglasses tagged Ray-Ban made fewer errors, yet read more quickly, than those wearing the identical pair of sunglasses when tagged Mango (a less prestigious brand). Similarly, ear-muffs blocked noise more effectively, and chamomile tea improved mental focus more, when otherwise identical target products carried more reputable names.

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    File URL: http://ratio.huji.ac.il/sites/default/files/publications/dp566.pdf
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    Bibliographic Info

    Paper provided by The Center for the Study of Rationality, Hebrew University, Jerusalem in its series Discussion Paper Series with number dp566.

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    Length: 8 pages
    Date of creation: Feb 2011
    Date of revision:
    Handle: RePEc:huj:dispap:dp566

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