engage or bust! 2015 - david halpern - the nudge unit

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© Behavioural Insights ltd David Halpern CEO, BIT National Advisor on What Works www.behaviouralinsights.co.uk

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Page 1: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

David Halpern

CEO, BITNational Advisor on What Workswww.behaviouralinsights.co.uk

Page 2: Engage or Bust! 2015 - David Halpern - The Nudge Unit
Page 3: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

“Our government will find intelligent ways to encourage, support and enable people to make better choices for themselves.”

Page 4: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

David CameronPrime Minister

Lord O’DonnellChair of Academic Advisory

Panel Sir Jeremy HeywoodCabinet Secretary and

Head of Steering Board

Behavioural Insights Team

Dr. David Halpern (Director)Owain Service (DD)

Dr. Rory Gallagher (International)

Academic Advisory PanelRichard Thaler (Chicago)Peter Tufano (Oxford)Theresa Marteau (Cambridge)Peter John (UCL) Maurice Birlotti (UCL)Nick Chater (Warwick)Dan Goldstein (LBS)

Page 5: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

Changing the world a nudge at a time…

Page 6: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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SOCIAL

TIMELYATTRACTIVE

EASY

Page 7: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Suicide – a mysterious reduction…

Hawton, 2007; Kreitman, 1976

Page 8: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Increasing the number of people with a workplace pension

Before auto-enrolment After auto-enrolment

61%83%

44%

77%

Large employers

Page 9: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

Control + Claimant Name

+ Advisor Name

+ Reciprocity

10%15% 18%

27%

Attract! – getting people back to work

Highest performing text (‘+Reciprocity’)

% of job seekers turning up to the Jobcentre

Total number of SMSs sent = 1,224

Page 10: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

Social - increasing tax payment rates within 23 days (1 month)

Control (8,558)

UK Norm (8,300)

Local Norm (8,403)

Debt Norm (8,779)

Local + Debt Norm (8,643)

33.6% 35.1% 35.9% 37.2% 39.0%

Page 11: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

Timely - increasing diversity in the Police

Non-BME BME

111.9

105.9

112.1110.5

ControlTreatment

Page 12: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

Engagement and productivity

Page 13: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Carol Dweck

Page 14: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Example: reducing quit rates of adult learners

• Important• I can succeed• Practice matters• Plan ahead• I belong

Page 15: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Increased attendance rates

Control Treatment

59%64%

Page 16: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Reduced dropouts

Control Treatment

25%16%

• Msgs cost 3.5p each

• Largely automated

• Across the year less than £5

Page 17: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Implementation intention - % off benefits at 13 weeks

Control Treatment Treatment Adjusted

51% 60%

4% Benefit history difference

5% Treatment effect

Now across the UK – and NSW

Page 18: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

People helping people – harnessing reciprocity and the ‘economy of regard’

The visiting

hours are between 2pm to

5pm

Page 19: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

Grant, Norton, Gino…

Page 20: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Informing choices may change the character of work itself

Page 21: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Where next?

Page 22: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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“David Cameron’s Vanity Project”

Page 23: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Press coverage

Page 24: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Australia

Singapore

Peru

USAIsrael

UK Government

MoldovaUkraine

Belarus

Montenegro

Guatemala

Canada

Oman

UAE

Germany

FinlandNetherlands

Pakistan

India

Mexico

Colombia

Jamaica

Page 25: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Tax compliance in Latin America: Guatemala case study

Control Original BIT letter BIT + National Pride

BIT + Social Norms

BIT + Deliberate Choice

$6.67 $6.82

$14.19 $16.16$20.64

$24.62

Page 26: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

Public gain (16,807) Public loss (17,159)1.6% 1.5%

12.1%

19.1%

Loss-frame

People with large debts react differentlySegmentation: which messages work for who…

Owe £30,000+

Page 27: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd

Productivity, trust, and better informed firms

Page 28: Engage or Bust! 2015 - David Halpern - The Nudge Unit

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Behavioural insights have proven highly impactful on several levels

PoliciesMidata; regulation; public health; php

ProcessesLetters; texts; scripts; web design etc

RCTs ‘What Works’ centres

Page 29: Engage or Bust! 2015 - David Halpern - The Nudge Unit

© Behavioural Insights ltd