Aug 30 2019
Can Behavioral Economics Increase Savings and Member Loyalty?
Why is it so hard for people to save money—and why do so many initiatives to encourage saving fail? Research in the field of behavioral economics suggests that in order to help members save, it is better to create programs that take into account how people actually behave rather than how we expect they should behave.
This brief introduces concepts from the field of behavioral economics, provides a case study for how to put these insights into use, and offers tips for credit unions to launch their own experiments for improving member savings and loyalty. These experiments can increase your understanding about what works in practice while also bringing greater value to your membership.
Filene’s Center for Consumer Decision Making is generously funded by: