A parable about customer loyalty and the power of cross-selling and upselling
In 1772, Diderot wrote a short essay entitled “Reasons to Mourn My Old House Coat”.
Once upon a time in the 18th century, the famous French philosopher Denis Diderot received an extremely noble gift: a magnificent, deep red (some sources even speak of a scarlet red) bathrobe.
It was a robe of such elegance and grace that it would not only change the philosopher, but soon his whole life as well.
Why are we talking about customer loyalty and the power of cross-selling and upselling here?
Until then, Diderot had lived in modest circumstances. His old study was functional, but by no means extravagant: a worn desk, a rickety chair, a stack of books here and there, waiting to be organized.
But as soon as he put on the new coat, he felt… inadequate. The beautiful new coat was much too noble for this environment! And so it all began.
The beginning of a unique customer journey or customer experience, as we would call it today: the scarlet coat as an entry-level product – or entry-level drug?
At first, Diderot only thought of a small thing:
A new, elegant chair would go better with the coat. And so he invested in a chair. But the chair made the old desk look even shabbier, so a new one had to be bought.
And as Diderot noted, the “scarlet master” gradually managed to “assert his style”. One by one, Diderot replaced his familiar things with new luxury items.
The desk was followed by a new carpet. This in turn sparked a desire for more stylish tapestries. And before Diderot knew it, he had redecorated his entire room – and spent all his money.
So the coat was not just a piece of clothing.
It was a door opener, a trigger like the flap of a butterfly’s wings that can cause a whole hurricane.
The original gift was therefore extremely well chosen: it was exactly to Diderot’s taste and awakened in him the desire for more – a lesson in successful cross-selling.
Looking back at his old furniture, Diderot was amazed to realize that “all the junk I had furnished myself with” went very well together. This is simply about customer loyalty and the power of cross-selling and upselling.
Cross-selling and upselling: the art of keeping the customer
Diderot, who actually just wanted to live a simple life, suddenly found himself in a spiral of upgrading. Each new piece he bought perfectly matched his coat, and it seemed only logical to buy the next product to complete the picture.
If a clever retailer had been behind this story, this is exactly how they would have planned the process:
- Entry-level product (the coat): a high-quality product that attracts attention and arouses desire.
- Cross-selling (the chair, the desk): products that complement the initial experience.
- Up-selling (even more elegant carpets, wall decorations): products that give the customer the feeling of creating the best version of their environment.
Customer loyalty: from philosopher to brand to loyalty
In the end, Diderot was broke, but one thing remained: a deep connection to the new lifestyle. If customer loyalty programs had existed back then, he would probably have become a loyal subscriber, ordering exclusive accessories for his home every month. The coat wasn’t just a gift – it was the beginning of a relationship in which the customer always felt that the products would help him become a better, more stylish version of himself.
The Diderot effect simply describes a phenomenon: that people “constantly, more or less unconsciously, follow the desire of things to conform,” according to Jürgen von Rutenberg (Die Zeit, 8.4.09, No. 16, The Diderot Effect – unfortunately currently behind the paywall).
Diderot’s luxury problem is the primal scene of consumer society
This theory was put forward by the American anthropologist Grant McCracken in 1988. In his book “Culture and Consumption”, McCracken interprets Diderot’s luxury problem as the primal scene of consumer society. The theory of the Diderot effect is based on the assumption that consumption is always culturally influenced and that every product has a readable “meaning”. “And because, according to the anthropologist, man always strives for consistency with himself, he selects the things in life in such a way that they form a meaningful whole – a “Diderot unit”, as Jürgen von Rutenberg summarizes his contribution.
The moral of the story
The story of Diderot and his coat is not only an amusing example of the temptations of luxury, but also a parable for modern customer management.
After the gift, according to Diderot, his life is “out of joint. Harmony has disappeared and with it the right measure of beauty.” What an insight – and that in the 18th century!
A cleverly chosen entry-level product can be the beginning of a long relationship
A cleverly chosen entry-level product that appeals to the customer emotionally can be the beginning of a long journey (customer journey). Through clever cross-selling and upselling, the customer is drawn deeper and deeper into the world of the brand. And when the customer finally sees himself as part of this world, long-term customer loyalty is almost guaranteed.
And so, in the end, good old Denis Diderot taught us a valuable lesson: it is not the coat that changes your life, but the desires it awakens in you.
PS: Caution – risk when shopping
And if you can’t decide whether to buy something new or to stick with the old, then you know what risk you are taking and why your life looks so different afterwards – namely, the Diderot effect.
Incidentally, Diderot is now considered one of the most original minds of the European Enlightenment. Now you know why!
PPS: And if you want to throw someone off track, give them a scarlet bathrobe.