Nudge Theory

53
NUDGE THEORY KELLY BARON

Transcript of Nudge Theory

NUDGE THEORY

KELLY BARON

@KELLYGANCAS

TABLE OF CONTENTS

1. What’s a Nudge?

2. Brains are Weird

3. Empathetic Defaults

4. Applied Nudges & Digital Product Creation

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TO NUDGE IS TO “ALERT, REMIND, OR MILDLY WARN.”

DEFINITION

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FAMOUS NUDGES

Schiphol Airport, Amsterdam

This little fly reduced “spillage” by 80%.

SXSW | NUDGE THEORY

STAT

6

92%of Americans believe

it’s important to always wash your hands,

Source: “Overconfidence among physicians and nurses: The ‘micro-certainty, macro-uncertainty’ phenomenon,” Social Science & Medicine, 1991

66%actually do.

BUT only

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APPLIED NUDGES

• Inexperienced

• Poorly Informed

• Tired/Hungry

PEOPLE DON’T MAKE GOOD DECISIONS WHEN THEY ARE:

When common sense fails, common sensors bridge the gap.

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NUDGE OR NOT?

• Influences behavior

• Preserves choice

A WELL-DESIGNED PRISON CELL

NUDGES EXIST BECAUSE WE DON’T ACT IN OUR OWN BEST INTEREST.

BRAINS ARE WEIRD

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KNOW THYSELF

WHAT MOVIE WILL YOU SEE NEXT WEEK?

WHAT MOVIE WILL YOU SEE TONIGHT?

LONG-TERM ESTIMATES ARE MORE DIFFICULT.

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OPTICAL ILLUSIONSFALLACIES

7

8

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IT’S ALL RELATIVE

Ebbinghaus Illusion

IMAGE: KEVIN WISBITH

RICHARD H. THALER & CASS R. SUNSTEIN, NUDGE

There’s no such thing as neutral design.

WHY DEFAULT SETTINGS RULE THE WORLD

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OPT-IN VS. OPT-OUT

Organ Donation

In opt-out countries, over 90% of people donate their organs.

In opt-in countries, fewer than 15% do.

Source: Davidai, S., Gilovich, T., & Ross, L. (2012). The meaning of default options for potential organ donors.

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MEETING PEOPLE WHERE THEY ARE

• Normally, 10

hours of fasting

• During Ramadan

DIABETES SCREENINGS

UNDERSTANDING CULTURAL CONTEXTS HELPS YOU REDUCE FRICTION.

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MIND THE (EMPATHY) GAP

FALLACIES

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FRENCH FRY FALLACYFALLACIES

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PEOPLE DESIGNING PRODUCTS

PEOPLE BUYING

PRODUCTS

1. Fast Company, “The Innovation Economy Is Terrible At Designing For Women,” 2016. 2. Bloomberg, “Women Make Up 85% of All Consumer Purchases,” 2016.

85%WOMEN

85%MEN

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TECHNIQUE

• Cause the least harm

& most good

• As determined by

the user, not by you

GOOD DEFAULT

EXAMPLE: AUTO-RENEW

30-DAYTRIAL

AUTO-RENEW

INDIVIDUAL CHOICES

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HIDDEN CHOICES

SOMETIMES, CHOICES ARE DECOYS.

$41 STEAKS make you order the$36 LAMB CHOPS.

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HIDDEN CHOICES

SOMETIMES, CHOICES ARE DECOYS.

THE INVISIBLE CHOICE: THROWING THE CIGARETTE ON THE GROUND.

LADDERING UP TO BEHAVIOR

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EACH INSTANCE OF HAND WASHING IS A BINARY CHOICE.

TO WASH OR NOT TO WASH?

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92%of Americans believe

it’s important to always wash your hands,

Source: “Overconfidence among physicians and nurses: The ‘micro-certainty, macro-uncertainty’ phenomenon,” Social Science & Medicine, 1991

STAT

66%actually do.

BUT only

MEDICAL ERRORPREVENTION

REAL-TIMENOTIFICATIONS

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AMERICAN MEDICAL ASSOCIATION, EFFECTS OF COMPUTERIZED CLINICAL DECISION SUPPORT SYSTEMS ON PRACTITIONER PERFORMANCE AND PATIENT OUTCOMES

Improved practitioner performance was associated with [systems] that automatically prompted users compared with requiring users to activate the system (success in 73% of trials vs 47%).

SXSW | NUDGE THEORY

STAT

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$11-12Kper error prevented.

Source: “The Economic Measurement of Medical Errors,” Society of Actuaries, 2010

Estimated hospital savings of

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Anywhere human nature contradicts business goals, regular real-time

intervention is needed to keep people from acting too much like people.

KEY INSIGHT

HOW TO NUDGE DIGITALLY

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MAKE THE INTANGIBLE, TANGIBLE.

PRINCIPLES FOR APPLIED NUDGES

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MAKE THE UNFAMILIAR, RELATABLE.

PRINCIPLES FOR APPLIED NUDGES

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MAKE THE DISTANT, IMMEDIATE.

PRINCIPLES FOR APPLIED NUDGES

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WHY:

HOW:

BELIEFS & BEHAVIOR DON’T MATCH.

WITH COMMON SENSE & COMMON SENSORS.

BY: TAKING THINGS OFF THE THINKING LIST.

QUESTIONS?

THANK YOU.

KELLY BARON [email protected]

linkedin.com/in/kellybaron

APPENDIX

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HOW TO

Types of Nudges

• Anchoring

• Priming

• Comparison

• Context/Framing

• Real-time

• Reminder

• Good Default

• Social

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STIMULUS-RESPONSE COMPATIBILITY

Nudging Natively

• Hybrid v. Native • Push & Pull

JASON JOB,VP OF DEVELOPMENT EVANGELISM AT FJORD

With hybrid, you’re always going to be compromising. It’ll either be more like Android or like iOS or like neither. One of them is going to suffer.

NUDGING TO SEE HERE

SAVINGS ACCOUNTS

LOTTERY

COLLEGECOUNSELING

TEXTING

MANIPULATE YOUR COWORKERS

WHAT NUMBER DO I KNOW?

IS THE NUMBER I NEED

TO KNOW BIGGER OR SMALLER?

ADJUST

ADJUST

ANCHORING