logo

The Power of Habit

Charles Duhigg

The Power of Habit: Why We Do What We Do in Life and Business

Charles Duhigg

  • 36-page comprehensive Study Guide
  • Chapter-by-chapter summaries and multiple sections of expert analysis
  • Featured in our Challenging AuthorityPowerScience & Nature collections
  • The ultimate resource for assignments, engaging lessons, and lively book discussions

The Power of Habit Part 2, Chapter 7 Summary & Analysis

Part 2: “The Habits of Successful Organizations”

Part 2, Chapter 7 Summary: “How Target Knows What You Want Before You Do”

Chapter 7 opens with Andrew Pole, a statistician for Target whose job it was to track and predict consumers’ spending habits. Target’s leaders sought to increase its marketing to pregnant women, who represent a high-spending sector of the American population. Although Target already collected a significant amount of data on each individual customer, including address, marital status, age, and career, it was still difficult to determine just who among Target’s shoppers was pregnant. To address this gap, Pole and Target’s other researchers learned to track a woman’s spending habits to determine if she was pregnant. For example, Target learned that pregnant women buy higher amounts of vitamins, lotions, and cotton balls.

Alan Andreasen, a UCLA visiting professor in 1984, investigated why consumers alter their spending habits. His findings pointed to major life events, such as marriage, having a baby, divorce, a new job, or a recent move, as drivers for such chance: “What he discovered has become a pillar of modern marketing theory: People’s buying habits are more likely to change when they go through a major life event” (191).

Duhigg moves to the American music industry for his second case study. In 2003, OutKast released the song “Hey Ya!” Although the tune was catchy and promised to be a smash hit, both the record company and radio DJs across the country struggled to convince the American public to love the song.

blurred text

Unlock this
Study Guide!

Join SuperSummary to gain instant access to all 36 pages of this Study Guide and thousands of other learning resources.
Get Started
blurred text