Heuristics in Behavioral Economic: Differences in perception between Generation X and Y in price anchor in Product Bundle

Abstract

The objective of this research is to find out whether generational perception has any influence on the purchase decision making of Generation X and Y. The study focuses on finding out how the two generations thinking about product bundle where price anchoring bias is used to evaluate the bundle worthiness. Mixed method was chosen as the main research method because it can both present a large scale of responses and have a detailed data at the same time. Due many reasons, both online and offline survey method were used in this research. The survey collected 126 valid responses from people that represented either Generation X or Generation Y. Their responses show significant differences between the two generations. Based on the results of the survey and the interview, it can be stated that generation cohort have a noticeable impact on the purchasing behaviour of Generations X and Z and how they think about price anchoring bias. They care about different aspects in their purchasing process. Both generations have shown their typical preferences while they are choosing the product. However, they also share some similarity and both generations can be said to be equally persuaded by a good promotion.