Other Resources for Inside Nudging

These are other miscellaneous resources that may be of interest to readers of Inside Nudging.

  1. Video: Capuchin Monkeys and Fairness
  2. Loss Aversion Calculator
  3. Retirement Goal Planning System app
  4. Video: D-Light Club Card by Idmoo | Idomoo Website
  5. Video: Voya Financial Personalized Account Videos for Retirement Plan Customers
  6. Video: Personalized Pension Statement by Idomoo | Idomoo Website
  7. Video: Personalized Pension Statement by Mercer UK
  8. Video: Barclays Personalized Lending Video
  9. Video: Barclays Direct Marketing Award with Personalized Videos
  10. Video: The Aviva Reality Check | Shape My Future
  11. Video: Tobii Eye Tracking System
  12. Video: Wearable Eye Tracking, Tobii Pro Glasses 2
  13. iMotions: Biometric Research Platform (“plug and play”)
  14. Video: Orange FutureSelf Demo | Orange Future Self Site
  15. Whitepaper: Econs, Humans and the Perception of Risk
  16. Whitepaper: The Neglected Variable Affecting Portfolio Choices in the 21st Century
  17. Whitepaper: Using Decision Styles to Improve Financial Outcomes
  18. Whitepaper: Engaging Employees to Take Action in a Digital Age
  19. Working Paper: How Do Consumers Respond When Default Options Push the Envelope?
  20. Journal Article: Consumer Preferences for Annuity Attributes: Beyond Net Present Value
  21. Article: How Digital Tools and Behavioral Economics Will Save Retirement

Session Description for Nudge Units: Applying Behavioral Science

In this session we will explore the implementation of behavioral science initiatives and applications within commercial settings. Topics to be covered include frameworks and key takeaways in leading an organization that implements behavioral science. To make these frameworks concrete, we’ll also cover some detailed case examples of how companies have applied behavioral science to improve outcomes for constituents.

Downloadable Figures for Inside Nudging

These are downloadable figures for Inside Nudging.



Materials for Chapter 3 of The Consulting Apprenticeship

placeit 2Takeaway Exercise 2: If you have more time and want to spend more time on techniques, it is worthwhile to better understand how to establish the right problem-solving structure. Consider these resources:

  • McKinsey presentation on problem-solving and decision-making (covers core concepts like problem definition, issue trees, MECE, 80/20 rule): See here.
  • The McKinsey Way by Ethan Rasiel (especially Part 1, pages 1-45): This book also covers concepts like MECE, issue trees, 80/20 rule, and more. Visit Amazon here.
  • The McKinsey Approach to Problem Solving (McKinsey Staff Paper, No. 66, July 2007)

Consumer Choice and Self-Control, Part I

As promised last week by Steve, I’m going to be
guest-blogging a little this week on some topics that I’ve been thinking about
as part of my research efforts. My job description says that I’m a marketing
professor, so you’ll see that these musings are heavily oriented toward a
consumer behavior view of the world. But my training is in behavioral economics
and decision theory, so I’ll borrow heavily from those fields as well.

Ask any consumer about the amount of choice he or she would
like in their daily lives, and you are likely to hear a preference for
unlimited choice and complete control. So it is no surprise that consumer
trends have been toward increased choice, even to the point of completely
customized offerings. On the grocery shelves we’ve seen an explosion of variety
– you can now find dozens of types of toothbrushes (an item that used to be
considered more of a commodity), along with new varieties of pasta sauces, snack
crackers, and salsas. The old “cup of joe” has been replaced by a completely
individualized venti decaf triple shot
hazelnut nonfat latte
at your local Starbucks. Online, you can visit an
auto manufacturer’s website and customize a long list of options for your new
car, even down to the unique paint job. And in restaurants, perhaps nowhere is
unlimited choice better represented than the buffet line that seemingly
stretches for miles. We are also seeing the trend for increased choice and
control affect public policy, as it becomes part of the debate around
privatizing social security. Proponents of privatization point out the benefits
of allowing individuals control over their own investments, a sentiment many
find enticing.

But at the same time as the number of choices has increased,
dissenting voices have come forward to point out the downside of the trend.
Perhaps most vocal has been psychology Professor Barry Schwartz, author of the 2004
book The Paradox of Choice: Why More Is Less. Schwartz pulls together a long
list of academic research in psychology and marketing to demonstrate that too
much choice can leave consumers overwhelmed and overstressed. Consider, for
example, an often-cited study by Professor Sheena Iyengar of Columbia University and some of her colleagues. They set
up a jam-tasting table in a grocery store, stocked with either six flavors or
twenty-four flavors. With only six flavors, shoppers were able to choose a
favorite, and jam sales went up. With twenty-four flavors, shoppers felt
overwhelmed and often left without buying any jam. In other words, too much
choice ended up being a bad thing.

But is too much choice always a problem? Why does more choice work well at Starbucks, but not when buying jam? I’ll address this conundrum in the next installment, plus offer some prescriptive advice for dealing with increased choice. And then we’ll consider whether there’s another "dark side" of increased choice that we also need to pay attention to. Stay tuned!

Suzanne Shu