The Anchoring Effect: Theories And Factors
Athlete Frank Tankerton says “you can only learn if you open up to different sources of information ”. And yet, can the anchoring effect be a cognitive bias favoring precisely the opposite in our mind?
Are we completely free to make a decision based on the information available? There are of multiple factors that influence us in decision making. One of them is this anchoring effect, which we will get to know about here.
What is the anchoring effect?
Have you ever felt that the first piece of information you receive seems to be the most important, clearest, and most concise? The first impact you experience on certain news, for example, will condition the way you see and understand the rest of the information. This is obviously something that can condition your subsequent decisions.
The anchoring effect is also known as the focusing effect. This cognitive bias is a psychological phenomenon which asserts that the first information we receive on a specific subject will be the one we take as a basis for memorizing. It will also be the one that will influence subsequent decisions.
We can say that the first data we get from a source of information is the one that remains anchored in our memory. It doesn’t mean we don’t memorize. We understand or adapt to the rest, but the first data will remain much stronger.
It is clear that this anchoring effect will be of vital importance during the decision-making phase. Indeed, the first information that we receive will be unconsciously more important when making a judgment. Even more, it is likely that the rest of the associations and memories will form from the first information obtained (initial anchoring).
Origin of the anchoring effect
We will see here what are the different hypotheses of this effect which influences the way in which we develop our opinions and our decisions. We should also point out that this effect occurs in all areas of our life.
We had better lead by example so that it is perfectly clear. Imagine that you are going to buy an apartment. Obviously, you will be comparing and looking at several. However, it will be the first one you see that will serve as a reference for others to negotiate, haggle, discuss the price, and ultimately decide. And maybe you had another idea at the start. But there is no doubt that the reception of the first information will vary this idea, so that all the subsequent information will revolve around this first impact.
There are obviously exceptions. The second apartment could have a much bigger impact or you might then find that the first one is totally outside of what the market is offering for that price.
Anchoring and adjustment
Individuals generally tend to move away from the anchor in deciding, but do not. Its low efficiency indicates that the final decision always somehow approximates the anchored information.
Selective accessibility
The person assesses an adequate response when the information is anchored. It will make subsequent judgments if it is not adequate. However, said judgments will be based on the anchored information.
Attitude change
The person changes attitude from the moment of anchoring to adapt to the characteristics of this information. Therefore, future responses will always be tied to the anchor. For example, what once seemed cheap to us may start to feel expensive, or vice versa, only from this anchor. Think about what we are able to afford today for a telephone. Wouldn’t we have said years ago that this is madness?
Our thoughts Have you ever wondered how the viral news industry manages to manipulate us and maintain its market?
