The consumer attention deficit syndrome: Consumer choices in complex markets

Abstract

Consumers’ attention is a scarce resource. It is virtually impossible for a consumer to keep informed about all the markets he or she visits. This article describes a mechanism that is likely to evolve in sophisticated societies with multiple complex markets. Since the nature of consumer areas differs substantially and thus requires different kinds of consumer competences, such competences cannot be easily transferred from one consumer area to another. People therefore tend to give their limited attention to consumer areas of similar nature, while neglecting others. This phenomenon is conceptualised as the Consumer Attention Deficit Syndrome (CADS). Empirically, if such a mechanism exists, this will be reflected in consumers’ tendency to develop specialised consumer competence profiles. In three nationally representative data sets collected in Norway in 2005, 2007 and 2009, specialised consumer competence profiles were distinguished. The following analysis indicates that, on an individual level, CADS is quite widespread. While it cannot be claimed that some social groups are more vulnerable to the syndrome than others, different groups’ lack of attention is concentrated on different consumer areas. Leaning on choice and decision-making theories, the implications of CADS for the functioning of markets are discussed.