How to Improve Conversion Rate on Your Digital Product using Hick’s Law

Imagine strolling through a grocery store, searching for that perfect jelly jar to complement your morning toast. You turn a corner and face two enticing jelly-tasting stands. One boasts a staggering array of 24 delectable flavors, while the other offers a more modest selection of just 6. Which stand do you think attracted more attention from curious shoppers?

The booth featuring an extensive assortment of 24 flavors undeniably drew more people. However, the real surprise lay in the numbers of those who made a choice and purchased the product. Here's a breakdown of the conversions:

Twenty-four flavors: A mere 3% of visitors converted into buyers.

Six flavors: A staggering 30% of visitors made a purchase.

Two psychologists carried out this experiment to unravel the intricate relationship between the number of choices presented to customers and their purchasing decisions. The conclusion was clear: customers exposed to a limited set of options were significantly more likely to make a purchase compared to those overwhelmed by a plethora of choices. This cognitive phenomenon is known as Hick's Law.

The Essence of Hick's Law

According to this principle, as the number of choices increases, so does the time it takes for a person to decide, leading to what is commonly referred to as "choice overload" or "decision paralysis," which consequently affects the conversion rate. When faced with numerous options, people may take longer to make a decision, make less informed choices, or even abandon the decision-making process altogether.

Practical Applications for Your Product

1. Progressive Product Information:

Suppose you have a comprehensive software application with many features and functionalities. Instead of bombarding users with many options right from the start, consider a progressive approach. During onboarding, introduce users to the core features that align with their immediate needs or objectives. As they become more comfortable with the basics, we gradually expose them to advanced features through tooltips, in-app tutorials, or guided product tours. This gradual approach helps users build confidence in using your product without feeling overwhelmed by choices.

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2. Recommended Product Features:

Imagine you run a subscription-based SaaS platform with multiple pricing tiers and feature sets. Highlight a recommended pricing plan or feature package based on user preferences or everyday use cases. Prominently showcasing this option simplifies the decision-making process for potential customers. Amazon's "Frequently Bought Together" and "Customers Who Bought This Also Bought" sections recommend products based on user behavior and guide customers toward informed choices.

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3. Simplified Navigation Menus:

Let's say you operate a website offering various content categories or products. Opt for a clean and concise navigation menu. Reduce the number of menu items by grouping related sections. Implement clear labels and, if necessary, use dropdown menus to provide access to subcategories or additional options. Cluttered or confusing navigation can lead to user frustration and abandonment, so keeping it simple and intuitive is essential.

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4. Curated Product Listings:

If you manage an e-commerce website with an extensive product catalog, display a manageable number of products per page, and include filtering and sorting options like price range, product type, or customer ratings. Implement predictive search functionality that offers real-time suggestions as users type their queries, allowing them to refine their choices effortlessly. Additionally, feature sections like "Top Picks" or "Editor's Choices" to direct users towards popular or highly-rated products, reducing the cognitive load associated with browsing a vast selection.

Balancing Choice and Simplicity

While Hick's Law emphasizes the importance of simplicity, it doesn't advocate for limiting choices to the point of frustration. Finding the proper equilibrium between choice and simplicity is akin to the Goldilocks principle: not too much, not too little, but just right. Achieving this balance is crucial for your business if you aim to create a user-friendly and effective product experience. Here are 2 ways to create that balance:

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1. Provide Meaningful Options Through Research:

Offering too few options can be equally detrimental. Customers may feel constrained and believe that none of the available choices align with their needs or preferences. In this scenario, they might abandon the product, seeking alternatives that better cater to their requirements. By conducting good customer research, you can understand their needs and preferences and provide them with the best options

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2. Highlight Recommendations:

One effective strategy for achieving balance is to emphasize recommended options or top picks. These selections serve as a starting point for users, providing a sense of direction amidst a sea of choices. Recommendations can be based on user behavior, popular selections, or best-sellers, offering customers a curated starting point.

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