Imagine you're launching a new product but want to minimise cannibalisation of older models.
Should you compare it to your oldest (and cheapest model), or the one it’s actually improving on?
The answer might surprise you.
It’s tempting to showcase the biggest improvement by comparing the newest to the oldest. But when the gap is too wide, the old model looks so outdated that customers are likely to stop buying it.
That means you’re better to compare the newest product to the model it has slightly improved upon.
Which is exactly what Apple does.
Each year, the newest iPhone is compared to the previous one – not the entry-level SE. The changes are often incremental: a bit more battery life, a sharper camera, new colours.
By using this comparison, Apple ensures that the new phone looks like the best choice, but the older model still seems like good value.
Researchers call this positive contrast scope insensitivity.
In short:
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Big differences make the new product look great but the old product look really bad.
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Small differences make the new product look great but retain the older product’s appeal.
What this means for your business:
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Launching products with minor, rather than big improvements, can be enough to excite customers to choose your hero product (Apple proves it).
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A Good–Better–Best lineup can encourage upgrades without hurting entry-level sales.
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Customers don’t care how much better something is, only that it’s better. Position side-by-side comparisons to play up even small improvements.
Ref: Guy Voichek, Nathan Novemsky, Positive Contrast Scope Insensitivity, Journal of Consumer Research, Volume 52, Issue 1, June 2025, Pages 157–178.
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