Loss Aversion

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Loss Aversion

A cognitive bias that describes why the pain of losing is psychologically twice as powerful as the pleasure of gaining.

Featured in 30 UX Bites

Similar psychology:

Hyperbolic Discounting

Likely impacts:

Discomfort & Frustration

Happiness & Enjoyment

Last updated: 26/09/2026

How to utilise this in your designs

During setup, you could remind users of the effort they'd lose by starting from scratch, using loss aversion to nudge them towards importing existing settings.

Split UI with black left panel titled "Get us up to speed" and a blue "Next" button; right panel with radio buttons for Edge, Safari, or manual password entry choices.

Example from

Arc

On a cancel screen, you could anchor users to a reasonable wait time, then trigger loss aversion by pointing out they'd have to start again.

Ride cancellation pop-up in black, white UI, with red underlined warning text: "within 10 minutes," "you'll have to start your request again." Buttons: "Cancel request" (red text, gray) and "Keep searching" (white text, black).

Example from

Uber

After a user cancels, you could dynamically list the features they actually use that will be removed, making the potential loss feel personal and concrete.

Subscription ends in 28 days alert in white box with blue border says renew to keep premium features on trail run and leaderboard apps; home tab active, icons for Maps, Record, Groups, You present.

Example from

Strava

When users go to delete the app, you could prompt them to back up their personal data first, easing their loss aversion even if they still choose to leave.

Example from

Happy Scale

If a voucher isn't valid for an order, you could try automatically saving it to the user's wallet, so they don't feel the loss of a discount they thought they had.

Example from

Food Panda

Possible impacts

Reminding users of the features they'd lose when cancelling could reduce churn, as the pain of losing access may outweigh the savings of leaving.

As seen in:

Uber Creating loss aversion

Strava Here's what you'll lose

Loss aversion may make users hesitant to commit to annual plans, but reminding them how easy it is to cancel could increase conversion rates by de-risking it.

As seen in:

Arc Leveraging loss aversion

Being clear on the consequences of 'risky' actions, e.g., pressing back mid-form, could reduce users' anxiety about losing the progress they've made.

As seen in:

Strava Here's what you'll lose

Protecting things users value, like saved data or unused vouchers, might reduce frustration, as they avoid the sting of losing something they felt they owned.

As seen in:

Uber Creating loss aversion

Happy Scale Make a backup of this data

Even the possibility of losing can dampen users' enjoyment, so minimising perceived losses at key moments may help protect how much users enjoy the experience.

As seen in:

Sentry An interactive hero H1

ConjuGato Bursting with joy

Written by Peter Ramsey

Consultant to 100+ companies

Published: 01/09/2023

How to utilise this in your designs

During setup, you could remind users of the effort they'd lose by starting from scratch, using loss aversion to nudge them towards importing existing settings.

Example from

Arc

On a cancel screen, you could anchor users to a reasonable wait time, then trigger loss aversion by pointing out they'd have to start again.

Example from

Uber

After a user cancels, you could dynamically list the features they actually use that will be removed, making the potential loss feel personal and concrete.

Example from

Strava

When users go to delete the app, you could prompt them to back up their personal data first, easing their loss aversion even if they still choose to leave.

Example from

Happy Scale

If a voucher isn't valid for an order, you could try automatically saving it to the user's wallet, so they don't feel the loss of a discount they thought they had.

Example from

Food Panda

Possible impacts

Reminding users of the features they'd lose when cancelling could reduce churn, as the pain of losing access may outweigh the savings of leaving.

As seen in:

Uber Creating loss aversion

Strava Here's what you'll lose

Loss aversion may make users hesitant to commit to annual plans, but reminding them how easy it is to cancel could increase conversion rates by de-risking it.

As seen in:

Arc Leveraging loss aversion

Being clear on the consequences of 'risky' actions, e.g., pressing back mid-form, could reduce users' anxiety about losing the progress they've made.

As seen in:

Strava Here's what you'll lose

Protecting things users value, like saved data or unused vouchers, might reduce frustration, as they avoid the sting of losing something they felt they owned.

As seen in:

Uber Creating loss aversion

Happy Scale Make a backup of this data

Even the possibility of losing can dampen users' enjoyment, so minimising perceived losses at key moments may help protect how much users enjoy the experience.

As seen in:

Sentry An interactive hero H1

ConjuGato Bursting with joy