Anchor bias: The anchor effect

Definition: anchor bias (anchor effect)

‍The Anchor Bias — also known as anchor effect — describes the tendency to rely excessively on the first information received (the “anchor”) and to base later assessments on it. This makes it difficult to objectively evaluate new information.

Examples of anchor bias

Do you know that?‍

You want to be fairly compensated for your internship. In your first job interview, it is revealed to you that you never actually get paid a salary during internships. In the second interview, you will be offered a minimum wage. You gratefully accept this even though the salary is actually below your idea of fair compensation.

What is the reason for that?

This is due to the anchor effect

The anchor bias (also: anchor effect) results in We rely too much on initial information, which we receive about a topic.

Wir interpret information from our anchor's reference point rather than looking at it objectively. You now rate the salary of the second job interview higher because the first interview has set the anchor “Internships are actually never paid.”

The anchoring bias is one of the strongest effects in psychology. Many studies have confirmed its effects and shown that we are often guided by values that are not even relevant to the task at hand. And yet it is regardless of whether we came up with the anchor ourselves or whether it was given to us.

For example, HR managers are looking for a new person for the vacant position in marketing. Since Dora worked there before, they are now creating a requirement profile based on Dora's skills, experience and other characteristics. Now they judge all talents on the basis of anchor Dora. So you're actually looking for a second Dora, not a talent with individual strengths for the vacant marketing position.

Sources

• Furnham, A., & Boo, H.C. (2011). A literature review of anchoring bias. The Journal of Socio-Economics, 40 (1), 35-42.