aaron forth - "engaging consumers in finance: the mint.com example"

American’s don’t score well on financial capability…

Making Ends Meet

Almost half of Americans reported having trouble keeping up with monthly expenses and bills.

Only 49% have set aside emergency or rainy day funds that would cover expenses for 3 months.

Planning Ahead

Choosing Financial Products

68% of Americans have credit cards, 25% have more than 4. The average credit card debt is $15,799 / household @ ~15% APR.

US credit card 30 day delinquency = 3.3%.

America’s Financial Capability, National Bureau of Economic Research, June 2011

‘Life mechanics’ are a big part of why we are not financially healthy.

apathy

financial illiteracy

Too hard to keep track

More responsibility on individuals

Hard to get good financial advice

Complexity is intimidating

inertia

Can gamifying money management help?

(Deck courtesy of Seth Priebatsch @ SCVNGR, via Techcrunch 8/2010)

First, what are game mechanics anyway?

The game mechanics that have been applied to personal finances are not designed to help!

• Sign up rewards• Loyalty programs• Low introductory APR• Balance Transfer Rates

20.5 Billion in fees

(Source: New York Times, September 2009)

7 Achievement

Problem: Personal Finance = Work• Most want to be organized, few have time• Complexity is intimidating• Trial is event driven• Impossible to set up

Answer: Setup in 5 minutes or less• All accounts in one place• Automatically categorizes• Makes insightful observations

Mint’s primary job is to get you organized

8

Definition: A virtual or physical representation of having accomplished something. These are often viewed as rewards in and of themselves.

Achievement

10

Definition: a dynamic in which success is granularly displayed and measured through the process of completing itemized tasks.

Progressive dynamics

11

Which of these alerts drives more of a response?

Why is comparison effective at changing behavior?1. Nobody wants to be an outlier2. Comparing to ‘other like you’ is hyper relevant without being creepy3. Advice is data driven in a space where visibility is difficult

Vs.

12 Game Mechanic #9: Behavior contrast

Definition:The theory defining how behavior can shift greatly based on changed expectations [or new insights].

Behavioral Contrast

Drop Your Debt challenge

The Idea:“American consumers have $2.42 trillion in debt and Mint.com would like to help change that”• Create something that encourages and

rewards people for being fiscally responsible

• Make it easy for people to connect and share money-savings tips

14

Definition: The game dynamic wherein the entire community is rallied to work together to solve a riddle, a problem or a challenge.

Communal Discovery

Good design drives engagement.

Could Mint be more like a game?

Our first stab at gamifying Mint launched in 2009

Based on good financial principles:• Spend less than you earn• Make your money work for you• Use debt wisely• Be prepared for the unexpected

How you win:• Earn points for accomplishing specific tasks• Earn trophies for consecutive success

Modeled from popular gaming platforms

Status: offline for the moment.

Things you can hopefully use…

• Game mechanics drive engagement, even in personal finance

• Well designed ‘games’ can change behavior and inspire action