Whatβs more important to customers, time or money?
That was the central question posed in new research on a European ride-sharing platform. Unlike many ride-sharing systems, Liftago auctions its rides, meaning drivers bid for each job. Their offer includes both time and cost to pick up, so customers can trade off what is most important.
Across 1.9 million ride requests and 5.2 million bids, the researchers found that people:
-
Are generally more responsive to prices than to wait times;
- Value of time varies by things such as age and reason for travel (tourists pay more); and
-
Pay more to save time during the workday.
Prices are possibly THE most salient piece of information we ever communicate. Talk all you want about benefits and features, but itβs how you communicate prices that can make or break your sale.
Ref: Buchholz, Doval, Kastl, Matejka & Salz (2024) Read more here: https://news.mit.edu/2025/if-time-money-heres-one-way-consumers-value-it-0506
π If you found this interesting, let me know! Buy me a virtual coffee β or forward this email βοΈ to someone who also might like it. Your occasional support means I can keep sharing ideas about behavioural science for free.
π§ Learn the science of Influencing Action
π Be shown exactly what to do to get better results for your small business
Hey, are we connected yet?
