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The Motivating-Uncertainty Effect: Uncertainty Increases Resource Investment in the Process of Reward Pursuit

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  • Luxi Shen
  • Ayelet Fishbach
  • Christopher K. Hsee

Abstract

Can a reward of an uncertain magnitude be more motivating than a reward of a certain magnitude? This research documents the motivating-uncertainty effect and specifies when this effect occurs. People invest more effort, time, and money to qualify for an uncertain reward (e.g., a 50% chance at $2 and a 50% chance at $1) than a certain reward of a higher expected value (e.g., a 100% chance at $2). This effect arises only when people focus on the process of pursuing a reward, not when they focus on the outcome (the reward itself). When the focus is on the process of reward pursuit, uncertainty generates positive experience such as excitement and hence increases motivation. Four studies involving real rewards lend support to the motivating-uncertainty effect. This research carries theoretical implications for research on risk preference and motivation and practical implications for how to devise cost-efficient consumer incentive systems.

Suggested Citation

  • Luxi Shen & Ayelet Fishbach & Christopher K. Hsee, 2015. "The Motivating-Uncertainty Effect: Uncertainty Increases Resource Investment in the Process of Reward Pursuit," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 41(5), pages 1301-1315.
  • Handle: RePEc:oup:jconrs:doi:10.1086/679418
    DOI: 10.1086/679418
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    Cited by:

    1. Kanfer, Ruth & Chen, Gilad, 2016. "Motivation in organizational behavior: History, advances and prospects," Organizational Behavior and Human Decision Processes, Elsevier, vol. 136(C), pages 6-19.
    2. Kelly, Khim & Valtchanov, Deltcho & Webb, Alan, 2021. "Behavioral implications of using an online slot machine game to motivate employees: A cautionary tale," Accounting, Organizations and Society, Elsevier, vol. 89(C).
    3. Martin Reimann & Deborah MacInnis & Antoine Bechara, 2016. "Can Smaller Meals Make You Happy? Behavioral, Neurophysiological, and Psychological Insights into Motivating Smaller Portion Choice," Journal of the Association for Consumer Research, University of Chicago Press, vol. 1(1), pages 71-91.
    4. Alice Moon & Leif D. Nelson, 2020. "The Uncertain Value of Uncertainty: When Consumers Are Unwilling to Pay for What They Like," Management Science, INFORMS, vol. 66(10), pages 4686-4702, October.
    5. Iñigo Gallo & Chadwick J Miller & Nasir Haghighi & Thomas D. Gilovich, 2024. "The differential impact of uncertainty on the evaluation of material and experiential purchases," Marketing Letters, Springer, vol. 35(2), pages 187-203, June.
    6. Bach Nguyen & Nhung Vu, 2024. "Does intrinsic motivation or extrinsic pressure matter more? An exploratory study of small businesses going green and innovation," Business Strategy and the Environment, Wiley Blackwell, vol. 33(5), pages 3855-3886, July.
    7. Huck, Steffen & Szech, Nora & Wenner, Lukas M., 2015. "More effort with less pay: On information avoidance, belief design and performance," Discussion Papers, Research Unit: Economics of Change SP II 2015-304, WZB Berlin Social Science Center.
    8. Shi, Haijiao & Chen, Rong & Xu, Xiaobing, 2021. "How reward uncertainty influences subsequent donations: The role of mental accounting," Journal of Business Research, Elsevier, vol. 132(C), pages 383-391.
    9. Aleksandra Kovacheva & Hristina Nikolova, 2024. "Uncertainty marketing tactics: An overview and a unifying framework," Journal of the Academy of Marketing Science, Springer, vol. 52(1), pages 1-22, January.
    10. Frédéric Loss & Antoine Renucci, 2021. "Promotions, managerial project choice, and implementation effort," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 30(4), pages 799-819, November.
    11. Pham, Michel Tuan & Sun, Jennifer J., 2020. "On the Experience and Engineering of Consumer Pride, Consumer Excitement, and Consumer Relaxation in the Marketplace," Journal of Retailing, Elsevier, vol. 96(1), pages 101-127.
    12. Huck, Steffen & Szech, Nora & Wenner, Lukas M., 2017. "More effort with less pay: On information avoidance, optimistic beliefs, and performance," Discussion Papers, Research Unit: Economics of Change SP II 2015-304r2, WZB Berlin Social Science Center, revised 2017.
    13. Tang, Jiansheng & Zhou, Jiamin & Zheng, Chundong & Jiao, Sijing, 2022. "More expectations, more disappointments: Ego depletion in uncertain promotion," Journal of Retailing and Consumer Services, Elsevier, vol. 66(C).
    14. Aliev, Timur (Алиев, Тимур) & Flegontova, Tatiana (Флегонтова, Татьяна) & Kuznetsova, A (Кузнецова, А.) & Pyzhikov, Nikita (Пыжиков, Никита) & Ivashentsov, G (Ивашенцов, Г.) & Ponomareva, Olga (Понома, 2018. "Activation of the Integration Agenda of the Eaec in the Context of Changing the Regional Architecture in the Apr [Активизация Интеграционной Повестки Еаэс В Условиях Изменения Региональной Архитект," Working Papers 031834, Russian Presidential Academy of National Economy and Public Administration.
    15. Jisu J. Kim & Lena Steinhoff & Robert W. Palmatier, 2021. "An emerging theory of loyalty program dynamics," Journal of the Academy of Marketing Science, Springer, vol. 49(1), pages 71-95, January.
    16. Brice Corgnet & Roberto Hernán González, 2023. "You Will not Regret it: On the Practice of Randomized Incentives," Working Papers 2314, Groupe d'Analyse et de Théorie Economique Lyon St-Étienne (GATE Lyon St-Étienne), Université de Lyon.
    17. Tobias Thomas Prietzel, 2020. "The effect of emotion on risky decision making in the context of prospect theory: a comprehensive literature review," Management Review Quarterly, Springer, vol. 70(3), pages 313-353, August.
    18. Nicole Koschate-Fischer & Katharina Wüllner, 2017. "New developments in behavioral pricing research," Journal of Business Economics, Springer, vol. 87(6), pages 809-875, August.
    19. Polman, Evan & Ruttan, Rachel L. & Peck, Joann, 2022. "Using curiosity to incentivize the choice of “should” options," Organizational Behavior and Human Decision Processes, Elsevier, vol. 173(C).
    20. Kovacheva, Aleksandra & Nikolova, Hristina & Lamberton, Cait, 2022. "Will he buy a surprise? Gender differences in the purchase of surprise offerings," Journal of Retailing, Elsevier, vol. 98(4), pages 667-684.
    21. Yael Steinhart & Michael Kamins & David Mazursky, 2019. "Influence of the “benefit of the doubt” in online auctions," Marketing Letters, Springer, vol. 30(3), pages 245-260, December.
    22. Karl Akbari & Udo Wagner, 2021. "Playing When Paying and What Happens Next: Customer Satisfaction and Word-of-Mouth Intention in Gambled Price Promotions," Schmalenbach Journal of Business Research, Springer, vol. 73(2), pages 243-271, June.
    23. Hofacker, Charles F. & de Ruyter, Ko & Lurie, Nicholas H. & Manchanda, Puneet & Donaldson, Jeff, 2016. "Gamification and Mobile Marketing Effectiveness," Journal of Interactive Marketing, Elsevier, vol. 34(C), pages 25-36.

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