The IKEA Effect

The IKEA effect: As leaders, we’re constantly searching for ways to deepen engagement. That’s where the IKEA effect comes in. People value things more when they build it. Harvard researchers found that people who built their own IKEA storage unit valued it 63% more than those who received it pre‑built. The same principle rapplied with Betty Crocker cakes in the 1950s. At first, the “just add water” cake mix flopped. Too easy. No ‘I did it’ bragging rights. A psychologist then advised removing the powdered egg and making customers crack and mix their own. Sales sky-rocketed. The lesson? As leaders, let your team add their own eggs. When people contribute, codesign, get involved early, they have skin in the game and take ownership and engagement rises. How can you apply the IKEA effect with your team, your peers, clients, community and industry?