Ah, the elusive goal of any change programme: get people to do something, without them thinking they are being manipulated or coerced to do so! Enter the world of the: “nudge“. Defined as: “to push against gently, especially in order to gain attention or give a signal…“ Now enter the world of using nudges to subtly direct behaviour. This is emerging as theme in the world of collaborative design, industrial psychology and business & politics. The most recent update? Richard Thaler and Cass Sunstein’s latest book, aptly called: “Nudge: Improving Decisions About Health, Wealth & Happiness“.

And with the likes of Barack Obama, Steven Levitt and Michael Lewis all taking notice, maybe we all should…

Now nudges aren’t anything new. We’ve seen them for a while now… in all facets of life. One of the more humorous examples can be found at:

But humour aside, their [nudges] importance can’t be underestimated.

An April 2009 article in Time Magazine: “How Obama Is Using the Science of Change“, both references Thaler’s work but also uses Obama as a live example of the success of nudges. The jist of it?

“… [studies] found that the most powerful motivator… is the suggestion that everyone is doing it…”

Regardless of what activities you may wish to promote (or demote), and regardless of what arena you wish to do it in (eg. public sector or private sector), “when you know what makes people tick, it’s a lot easier to help them change“.

The article rightfully points out that most of us know we don’t always make the best choices. We choose to rely on gasoline and skip the gym, when a walk would reduce car emissions and better our health. We choose to eat poorly , stay up late, skip a meal and push- off retirement planning. Another political leader, talk-show host, evangelical guru telling us this behaviour isn’t right in the long run really won’t matter. For one, we already know it. And two, there’s enough of this already. In fact, it can be argued that mandates and incentives don’t really work because they do not create a psychological commitment to a desired behaviour- only a motivator as long as they remain. Better would be to establish the commitment at an intrinsic level. And this can only be achieved if the person makes the conscious, un- mandated decision to do so…

But a little nudge to think that way can’t hurt… In the words of Dean Karlan, co-founder of stickK.com, “We truly want to make better choices. But we need help to get us there…“

Of course, a good first step is information. Afterall, informed choices require the ‘informed’ part. Thaler ‘elloquently’ summarises this:

“If instead of the 30 pages of unintelligible crap that comes with a mortgage, you can upload it with one click to a website that will explain it and help you shop for alternatives, you make it as easy as shopping for a hotel.”

The point is not more data, but better information. In today’s distrust of corporations, lengthy legal documents or, my favourite, disclaimers in 0.5 font below an advert, send a message to the consumer to: (i) mistrust, and (ii) don’t bother.

So if information isn’t the only answer, what is? Well, incentives are a start. When gas goes up, we drive less. When sales occur we spend more. But the research suggests this is a temporary and unreliable motivator. One need only look at the continued drop in consumer spending, despite sales and incentives to buy.

Where does that leave us? Back at the nudge. And the best nudge comes from one simple, inalienably truth about humans: we want to belong. We do things because others are. In the case of retirement saving, “we assume the default is the accepted thing to do“, so if the default is to opt-IN to a retirement plan, we don’t. Not because we’re lazy, but because we assume this is what others have done.

The point? Well, consider, before bashing consumers, employees, vendors etc. over the head with draconian mandates and incentives, that are effectual only as long as enforced, trying to emulate and profie the desired behaviours. More importantly, ensure a critical mass of demonstrators of the desired behaviours is achieved and brought together. There’s power in numbers. And by harnessing the desired behaviours, you can lead the masses to almost anywhere…

… say. no. more.