In a recent dining experience, I found myself perusing the wine list in a state of confusion. Irouléguy, Harslevelü, Susumaniello—terms that I couldn’t help but feel were meant to make me look foolish in front of the sommelier. These obscure selections seemed to scream “worldly,” as if they were designed to impress rather than inform. Then, towards the back, I spotted something more familiar: Réserve du Patron, Bourgogne, $52. It wasn’t exotic, but it was comfortable. I ordered it without hesitation, confident it couldn’t be a bad choice.
This experience might seem trivial, but it perfectly illustrates what psychologists and economists call the “default effect.” It’s the human tendency to gravitate toward pre-set options that require no effort or decision-making. As I settled on the house wine or stuck with the factory settings on my phone, many of us consistently stuck with the default. Why? Because it’s easy. It’s familiar. And often, it’s precisely the choice that requires the least mental energy.
The Default Effect in Everyday Life
The default effect is a powerful, overlooked psychological phenomenon influencing our daily decisions. It is the tendency for individuals to choose the preset or default option because it requires the least effort or thought. The default effect plays out in countless everyday scenarios, from the technology we use to our purchases.
Take the example of owning an iPhone. Despite the overwhelming number of settings that allow users to personalize their devices, many people leave them untouched. The phone can be customized to sync apps automatically, adjust the sound of the camera, or even encrypt data. Yet, most users never bother to tweak these features. Why? Because the default settings work well enough, making adjustments feels unnecessary. The phone is designed to be usable out of the box, meaning users don’t need to do anything to make it functional. As a result, they default to using the phone as it was initially set up, even though they could improve the experience with a few simple tweaks.
This behavior is not limited to technology. It also plays out in simpler choices, like the wine list at a restaurant. As mentioned in the opening, many diners opt for the house wine when confronted with unfamiliar wine options like Irouléguy or Harslevelü. The Réserve du Patron, Bourgogne, may not be the most exciting or exotic option, but it is familiar, safe, and comforting. This tendency to choose the familiar—especially when confronted with overwhelming options—is precisely why the default effect works. It requires less cognitive energy to choose the standard option than to evaluate and decide on something new.
The default option serves as a mental shortcut. Making decisions requires energy, and humans naturally seek to conserve that energy. Thus, when faced with choices, we tend to select the option that requires the least cognitive load. This tendency can manifest in various aspects of our lives, from the settings on our phones to the wines we order at dinner and even larger, more significant choices like financial planning or health decisions.
The Default Effectonn Consumer Behavior
Whether we realize it or not, the default effect is a major driving force behind consumer choices. Companies often use the default option to nudge consumers toward certain decisions, capitalizing on the fact that most people will go with what they are given. This is especially evident in product marketing and sales.
Take a simple but ubiquitous example: car purchases. New cars are often prominently displayed in a particular color in advertisements, websites, and showrooms. This color is carefully chosen to appeal to a wide range of customers, and it becomes the “default” option in the minds of consumers. Even though a car may be available in various colors, the most visible and frequently advertised tends to become the most popular choice. Why? Once the default color is established, potential buyers will be less likely to consider other colors. The decision is already made for them; they simply follow the path.
This doesn’t just apply to cars. You can see the default effect in action everywhere. Consider a restaurant menu where one item is highlighted as the “chef’s special” or “signature dish.” Even if there are many other appealing options on the menu, the prominence of the default option makes it the easiest choice for diners. When a product, service, or food item is framed as the default, it becomes the choice most people make—often without any deeper consideration. The default is presented in a way that makes it feel like the obvious or “right” choice, nudging consumers toward it without exerting overt pressure.
The same principle applies to subscription services. When signing up for a new service, users are often presented with the default subscription plan, which is typically priced higher but offers more benefits. Without reading through all the options, many customers will simply choose the default plan because it requires the least effort. They may not even realize that a cheaper, more basic plan is available.
How Defaults Influence Our Decisions
The influence of default options is not limited to consumer goods—it extends into many aspects of society, particularly in areas like policy-making and social behaviors. Richard Thaler and Cass Sunstein’s book Nudge demonstrates that a key principle of behavioral economics is that people’s choices can be shaped by presenting certain options as the default. How choices are structured—“choice architecture”—can drastically impact decision-making.
One of the most striking examples of how defaults influence our decisions comes from insurance. In New Jersey and Pennsylvania, two states presented car insurance options with vastly different default options. In New Jersey, the default policy was cheaper and offered less comprehensive coverage. Most drivers chose this option because it was the standard presented to them. In contrast, the default option in Pennsylvania was a more expensive, comprehensive policy. As a result, more people chose this option despite the two states’ residents having similar needs and desires regarding car insurance.
This case highlights the power of default settings in guiding behavior. While people technically had the freedom to choose a different option, the presentation of the default option strongly influenced their decision. It’s not just about what’s offered—it’s about how those options are presented. When something is framed as the default, it often becomes most people’s path. This insight has profound implications for public policy and business strategies, showing that even subtle changes in how options are framed can significantly shift people’s choices.
The Power of Defaults in Public Health
One of the most compelling demonstrations of the default effect comes from the world of public health. In a well-known experiment, researchers Eric Johnson and Dan Goldstein investigated the impact of default options on organ donation. In many countries, organ donation rates hover around 40%, as individuals must actively opt in to become organ donors. However, when the default option was changed—so that individuals were automatically registered as organ donors unless they chose to opt out—donation rates jumped to over 80%. This change in the default setting led to a massive increase in organ donors without forcing anyone to make a difficult decision.
This experiment shows the incredible power of defaults to influence behavior, particularly in areas critical to public health. By changing the default option from “opt-in” to “opt-out,” researchers effectively increased organ donation rates without infringing on anyone’s freedom. This shift was possible because the default setting had been changed to reflect what was ultimately in the best interest of society as a whole. Making the “correct” choice the default was enough to nudge people toward it without additional persuasion or coercion.
The default effect can also be seen in other public health initiatives, such as organ donation. For example, if governments were to automatically register individuals for preventive health programs like vaccination, the default effect could significantly increase participation rates. The key is not forcing individuals to decide but structuring the options so that the desired outcome becomes the default.
The Status-Quo Bias: Why We Fear Change
The default effect is often closely tied to a phenomenon known as the status quo bias, the psychological tendency to favor the current state of affairs over any potential change. This bias is a natural human instinct rooted in our fear of loss and the discomfort of change. Even when an alternative option may offer a better outcome, we often stick with what we know because it feels safer.
Consider the example of paying for paper bank statements. Although online statements are more convenient and cost-effective, many people continue to receive paper statements year after year. This is a classic case of the status quo bias at work. Even though switching to digital statements could save money and reduce waste, the inertia of the current situation prevents many individuals from making the change. The effort required to alter the status quo feels like a burden, and the comfort of familiarity outweighs the benefits of switching.
This tendency is further magnified by loss aversion—the idea that people feel the pain of losing something much more acutely than the pleasure of gaining something of equal value. When switching from paper to digital, losing the familiar paper statement may feel like a negative change, even though it is ultimately more efficient and cost-effective. This discomfort with loss makes it harder for people to embrace change, even with clear benefits.
Status-quo bias can also be seen in professional and personal relationships. People often stay in jobs, friendships, or living situations that no longer serve them simply because the idea of changing feels too overwhelming. The fear of the unknown and the desire to avoid loss often lead people to maintain the status quo, even if it means sacrificing long-term happiness or success.
Changing Defaults to Shape Behavior
Understanding the default effect and the status-quo bias reveals the key insight that we can change human behavior by altering default settings. By changing what is presented as the default option, we can subtly nudge people toward more desirable outcomes. This concept, often called “choice architecture,” has been successfully employed in various contexts to drive positive change.
For example, businesses can encourage sustainable practices by changing default settings, such as offering digital-only statements as the default option. Governments can increase participation in public health programs by making certain actions—like organ donation or vaccination—the default choice. The potential to use defaults as a tool for societal change is vast and their impact could be far-reaching.
In addition to its applications in business and public policy, the default effect can be a powerful tool in personal decision-making. Individuals can use the understanding of defaults to their advantage by consciously changing their default settings. Whether setting up automated savings plans, choosing healthier food options, or adopting a new exercise routine, changing the defaults in our daily lives can lead to improved outcomes and greater satisfaction. The key is to recognize the power of defaults and to actively shape the options we encounter in a way that nudges us toward better choices.
In sum, the default effect is not just a subtle quirk of human behavior—it is a powerful force that can be harnessed to shape our big and small decisions. By understanding how defaults work, we can make smarter choices in our personal lives and design systems that encourage beneficial behaviors on a larger scale.
Conclusion
In a light-hearted exchange over dinner, I proposed that perhaps we live according to some grand, hidden default idea. My dinner companion, clearly more practical than philosophical, simply nodded and said, “Maybe it just needs a little time to develop.” This might be true. But the power of defaults, whether in wine selection, car purchases, or even life choices, reveals something profound about human nature: we often stick with what we know without even realizing it. We can see a shift in our decisions, behaviors, and lives by changing the defaults.
This article is part of The Art of Thinking Clearly Series based on Rolf Dobelli’s book.