I once was on a bizarre Zoom call convened by a distinguished economics graduate who now ran a stall at an organic market in Austin Texas. He wanted to know what to do with the last courgette or the last aubergine in the box since these were difficult to sell – people assumed they were leftovers.
He was well connected since he had also persuaded Daniel Kahneman and Richard Thaler to join the call, along with some other economic luminaries.
The logical economic suggestion was to drop the price, which didn’t work. After all, Farmers’ Markets aren’t really about price, they’re more a form of performative street theatre combined with a bit of shopping.
My suggestion was to hide them under the counter, and then, with a flourish “I’ve been saving this back” – to give them away to his best customers. The logic being, the long term is more valuable than a single small sale in the short term.
Gifting and generosity are similar, where conventional economic logic does not, and should not apply.
Retailers, in their pursuit of customer insight, often find themselves in the dark about the altruistic act of buying for others. I have had the pleasure of working with Prsnt – a consumer app shining a light on gifting, which remains unbelievably complex and arduous, which in the mobile era is frankly ridiculous.
In solving this they offer retailers the ability to leverage generosity as a footfall driver—whether through tipping, a heartfelt thank you, or an expression of love. They showcase the profound ability to not just facilitate transactions but to sculpt enduring consumer relationships with meaningful moments.
Prsnt in partnership with Mando-Connect recently launched “The Gift Of Giving” campaign with O2 Priority, where the beauty lies not just in the act of receiving but in the joyous act of giving. Interestingly this creates a brand new marketing channel where retailers only pay when a happy customer is delivered to the till. What’s even more fascinating, it uses human connection, rather than social media algorithms to ensure each gift finds the perfect recipient – “Who, of all the people I know, would most enjoy this?”
It really is genius.
