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Latest / Marketing Psychology with Fexingo: Behavioral Triggers, Persuasion, and Consumer Behavior

How Loss Aversion Makes You Keep Losing Money

Lucas and Luna dissect loss aversion — the behavioral bias where losses hurt twice as much as equivalent gains feel good. They explore Kahneman and Tversky's original 1979 study, how Amazon used free-return framing to dominate e-commerce, and why your brain treats a $20 loss differently than missing a $20 gain. Lucas explains why loss aversion explains the 'disposition effect' in investing — holding losers too long, selling winners too soon — and shows how marketers exploit it with 'limited-time' framing. Luna pushes back on whether loss aversion is hardwired or…

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