Strategy Meets Psychology: The Paradox of Choice and Why Less Can Mean More

In business, it’s tempting to believe that more options equal more appeal. More products, more packages, more ways to say yes. (Take yourself back to the time you visited that popular cheesecake restaurant) But psychology tells a different story. The Paradox of Choice shows that while people like having options, too many can overwhelm them, leading to decision paralysis or regret after purchase.

This principle has sharp implications for both commercial and brand strategy. Imagine a software company offering ten different subscription packages. On paper, that seems customer-friendly. In practice, it slows sales, confuses buyers, and makes it harder for sales teams to guide decisions. Narrowing to three clear tiers not only simplifies the purchase process but often boosts conversions and customer satisfaction. Less friction equals more revenue.

On the brand side, the same principle can shape identity and messaging. A company that deliberately curates — whether through a simplified product lineup or a promise of ease — signals that it values clarity over clutter. Apple has long mastered this, with product launches that emphasize fewer, better choices. The brand becomes synonymous with simplicity, giving customers confidence that they won’t be lost in a maze of options.

This is why grounding strategy in validated behavioral principles matters. Commercial strategy asks, How do we capture value? Brand strategy asks, Why will people value us? Behavioral science adds a layer of reality (like a slice of cheesecake): humans don’t always want more; often, they want just enough. Recognizing that truth helps companies design offerings that feel both easier and smarter — which is exactly what strategy should do.