The Default Effect

The Default Effect refers to the tendency of people to stick with pre-set options or choices rather than opting for alternatives. For example, if you sign up for a service with a default option for monthly billing, you're more likely to continue with that than switch to annual billing. This phenomenon occurs because the default choice often requires less effort to maintain, and individuals may assume it’s the recommended or best choice. It highlights how the way choices are presented can significantly influence decision-making, even when people are free to choose differently.