Behavioural interventions that advance financial inclusion
Behavioural interventions that advance financial inclusion6 March, 2018 •
“A behavioural intervention is any customer interaction that has been explicitly designed to influence the financial decision (or behaviour) of an existing or potential customer.”
Financial service providers (FSPs) are continually looking for innovative ways in which they can design and deliver financial services to reduce cost and increase the overall value of these services to customers.
In this context, FSPs are increasingly translating new insights from behavioural science – particularly on financial decisionmaking – into practical and implementable interventions. Such interventions have proven to effectively reduce the cost of acquiring new customers, improve the retention of existing customers and reduce the occurrence of customers that use financial services but that increase the cost of providing those services.
This report, identifies the benefits of the structure for transformation, as well as the risks inherent in the structure. It finds that, to unlock the transformation potential, an explicit industry commitment is required alongside clarity on core remaining areas of regulatory uncertainty.