From The Flatpack Furniture To The IKEA Effect
About a decade ago in the small Swedish town of Strömstad, police received a late-night domestic disturbance call. The caller reported hearing disconcerting noises, including loud banging and crying, coming from a neighbor's house. When officers arrived at the house, they found a gruesome scene: an exhausted young couple struggling to assemble a piece of IKEA furniture…The police quickly figured out what was happening and left the family to their flat-pack troubles.
IKEA is the largest retail furniture firm in the world.
I grew up in a country with no DIY culture, where manual labour has the reputation of being, well, the last resort for folks who did not quite make it to higher education. During my 20 years there, the thought of building my own bookshelf never crossed my mind. Nope, not once. Instead, we opted for a conveniently assembled, ready-to-roll piece of furniture. If something went wrong, we’d call a local man with a drill. For me back then, the sound of a drill was like a harbinger of doom. When I heard that thing whirring, I knew something was broken, something was amiss. Imagine living in an environment where the drill's sound wasn't a sign of creativity and accomplishment but a dreaded siren of impending trouble (LOL).
Anyway, research out of Harvard Business School suggests a surprising ending to the story of the Swedish young couple: Rather than a reminder of a stressful night, what they assembled likely became one of their most cherished pieces of furniture. The reason why is what researchers have coined "the IKEA Effect." Named after the Swedish furniture maker renowned for its DIY approach to home goods, the study showed that people value products in which they invest their own labour more than comparable products that require no effort on their part.
In the Harvard studies, this ‘Labour leads to Love’ principle was established by encouraging consumers to exert effort in the production of three different products: building IKEA boxes, folding origami, and constructing sets of Legos. For example, one group of participants was given a preassembled IKEA box; the other was given a box they had to assemble themselves. Participants who had to assemble their box were willing to pay a higher price for it than those who had been given an identical preassembled box. Similar for both other 2 products. The research indicated that the IKEA effect applies to both utilitarian (IKEA boxes) and hedonic products (LEGO sets). However, successful completion is crucial in linking labor to preference, as unfinished products were less valued.
Some more examples showcasing the IKEA Effect include Build-A-Bear, as they offer people the chance to construct their own teddy bears, charging customers a premium even as production costs are foisted upon them. Then there's the concept of "haycations" offered by farmers, where you pay to gather the food you consume during your farm stay. And here’s a throwback to the 1950s—Betty Crocker cake mixes were struggling until a psychologist suggested swapping out powdered eggs for fresh ones. All-instant cake mix makes baking too easy; it undervalues the labour and skill of the cake maker.
Now some Betty Crocker cake mixes even require adding oil and/or jam!
The "IKEA Effect" is a fascinating psychological concept that illustrates how our involvement and effort in creating something heighten our appreciation for the final product. This phenomenon highlights the unique bond we form with items we've invested our time and energy into, regardless of what they are.
However, in Vietnam, my home country, the embrace of the "flat-pack" concept is still in its infancy within the market. This is largely influenced by how we view consumer goods. See, we've got this thing with slow-moving stuff like furniture and appliances. The older generations here, they prefer things that stick around for the long haul rather than just following trends. They're all about that ebony wood sofa (go mun) or the cherry wood cabinet (go xoan dao) that has stood the test of time.
There's a shared humor among different Vietnamese generations about the dread before the Lunar New Year kicks in. What's the big fear? Being told by their parents to dust off and clean those beautifully adorned, timeless statement pieces of furniture in the living room, featuring lacquer and bone inlay. It's like an annual tradition to take care of these demanding, timeless, elegant pieces before the most important festive season kicks in.
These items aren't just functional; they're like status symbols in Asian households. For many, the appeal doesn't lie in the experience of assembling the furniture themselves. It's more about the value these pieces hold. People prefer calling a local handyman to help assemble or repair these items; it's faster and often more cost-effective than investing their own time doing it themselves. While the younger generation might eventually embrace the flat-pack trend over time, this shift may not happen until IKEA or similar brands make their mark in the local market.
