The decoy effect, a model of consumer behavior, hypothesizes that the introduction of a carefully constructed "decoy" into a choice set will result in a segment of consumers shifting their choice to a higher priced targeted item. The decoy is a high-price, low-value product compared to other items in the choice set. This study tested the decoy effect, using choices of tour packages to Las Vegas, Nevada, and Disney World, Florida. The introduc tion of decoy packages resulted in some consumers shifting their preferences to higher priced packages. Implications for travel marketers are suggested.
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