Blog #2

Chapter 2 of Loyalty 3.0 by Paharia is called “Whoever Figures out Motivation Wins” This chapter emphasizes that human motivation is one of the biggest fuels for figuring out loyalty. The author defines motivation as any external or internal factor that is pushing someone to continue to be interested in something. According to BusinessDictionary.com, the definition is “internal and external factors that stimulate desire and energy in people to be continually interested in and committed to a job, role, or subject and to exert persistent effort in achieving a goal.” The ways we stay interested can be a variety of factors such as wanting control over our lies, wanting to improve in an area, wanting a bigger purpose, wanting to achieve something, or to connect with others.

People have different levels of autonomy at different stages in their lives, and if someone loses autonomy in one area or environment, they tend to go looking for control and sense of self somewhere else. People want to feel In control of their life, and the work they do is a common outlet for this.

Finding purpose in work is another form of motivation which makes the worker feel as if they are making a difference. When they feel like they play an important role with the work at task, the results are better. The book mentions a study done with students. In the study, there was a set of students who built a Lego set and it got destroyed right after they built it. The second set of students built the Lego set and it was placed carefully in a container at the end. Both student groups were paid for their work, but the students who ultimately saw their work being destroyed gave up much quicker than the other group. This shows the motivation that takes place when someone can see the progress and purpose they serve.

Achievement is another great motivation for workers, small words of encouragement and recognition for milestones hit make immense differences in work ethic. In a survey recognition for good work was rated as one of the top motivators, however without progress and achievement this can be a dead end.

The last motivation is often social interaction, people want to interact with each other. People want to share things, they want to be understood, and want to be part of a community. It motivates people to show up day after day, work to their fullest potential, and collaborate with others. We also know that community is a motivation for how someone behaves. So knowing the connection between behavior and how that may effect customers or employees is helpful.

These are all ways to boost motivation in the work place and understand human motivation to better cultivate loyalty within a business. Using these methods companies can find ways to curate their loyalty programs, keep employees motivated and inspired, and keep strong connections between their business partners. With these principles in mind the next few chapters will be exploring what putting these into practice can do for the company and its shareholders.