Loss aversion, as a behavioral economics principles, was not observed in any health and fitness applications (among the Top 50 health/fitness mobile apps in 2019).

Loss Aversion in Health/Fitness Applications

Prospect theory is a behavioral economic theory describing how individuals evaluate gains and losses relative to a reference point under risk or uncertainty. It posits that people are loss-averse, finding losses psychologically more painful than equivalent gains. In psychological pricing, a consumer purchasing an item for \$19.95 may perceive the \$0.05 difference from a \$20.00 reference point as a gain, demonstrating how purchasing decisions are framed relative to reference points.

Prospect Theory

If given the option, people tend to try to avoid losses more than achieve gains. This is a factor that contributes to how humans are not perfectly rational economic agents.

University of Michigan - Ann Arbor

Humans have a tendency to focus on the negative. For example, we focus more on potential threats than benefits.

Negativity bias

Aronson, Elliot, and Joshua Aronson. The Social Animal. Worth Publishers, Macmillan Learning, 2018.

The Social Animal

People tend to share bad news with others more than good news.

Negativity bias and news

People have stronger emotional responses to negative feedback than to positive feedback.

Negativity bias and feedback

Animals have heightened perception when it comes to feeling effects such as pain, danger, or failure. The avoidance of these threats, increases the chances of suvival and thus that the animal passes on its genes. 

Bad is felt more than good

Risk aversion

Loss aversion

Humans are more likely to think that a negatively phrased statement is true than a positively phrased one when the content is the same. 

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