The Potential of One-to-One Marketing: Applying Behavioral Economics to Inspire Behavior Change
Getting Americans to curb their electricity usage is one of the best things we can do for the environment. But it's hard. Our energy consumption is an automatic behavior, we don't experience the immediate 'pain of paying,' and each of us is motivated by slightly different reasons to conserve. At the same time, most energy efficiency marketing talks to us as if we're all the same. There is no one-size-fits-all approach to nudging Americans to use less energy — it takes a segmented, prescriptive approach. Suzanne Shelton will share her firm's solution and initial results — leveraging consumer segmentation to craft one-to-one marketing that taps into the right motivations for each consumer type and recommends the right actions. The model applies beyond energy efficiency and could easily work for water conservation, recycling and waste reduction.
Recommended
Recommended
More Related Content
What's hot
What's hot (20)
Similar to The Potential of One-to-One Marketing: Applying Behavioral Economics to Inspire Behavior Change
Similar to The Potential of One-to-One Marketing: Applying Behavioral Economics to Inspire Behavior Change (20)
More from Sustainable Brands
More from Sustainable Brands (20)
Recently uploaded
Recently uploaded (20)
The Potential of One-to-One Marketing: Applying Behavioral Economics to Inspire Behavior Change
- 1. The Potential of One-to-One Marketing: Applying Behavioral Economics to Inspire Behavior Change Suzanne Shelton, Shelton Group @sheltongrp
- 2. The potential of one-to-one marketing: applying behavioral economics to motivate behavior change Sustainable Brands New Metrics September 26, 2014
- 4. We help companies define and leverage their energy and environmental commitments to gain a market advantage.
- 5. Let’s talk about energy efficiency
- 6. The need for energy efficiency in the United States is greater than ever 39% of our power generation The leading cause of climate change Efficiency is the cheapest and best solution
- 7. 28 States Mandate Energy Efficiency
- 8. Perceptions 80% 49% 50% of Americans think they use less energy than they did 5 years ago think their homes are already energy efficient claim to have made 1-3 efficiency improvements to their homes Source: Energy Pulse 2013
- 9. Other challenges with making energy efficiency happen through utilities • Siloed marketing efforts; very little cross- marketing or follow-up • Talk to everyone as if they’re the same • Too many recommendations
- 10. Customer engagement via segmentation, personalization, and marketing automation
- 19. What Have We Learned
- 20. 35% OPENS 7% CLICK- THROUGHS 15% Industry Averages 3.5% Highly targeted email marketing drives engagement
- 21. 15% Pilot 3 7% Pilots 1-2 Industry Averages 2% Overall program opt-in rates through the roof
- 22. Heating System Tune-up 33% Attic Insulation 26% In-home Analysis 24% CFLs and LEDs 16% Crawl Space Insulation 9% Refrigerator Recycling 9% Free Products & Install 64% Refrigerator Recycling 47% Attic Insulation 39% CFLs 18% In-home Assessment 18% Energy Monitoring 13% Pilots 1-2 Pilot 3 12% of all participants self-report 14% of all participants self-report Self-reported Measure Completion
- 23. A Behavioral Framing Experiment Test four different behavioral framing principles in email campaign effectiveness ENDOWMENT SOCIAL PROOF LOSS AVERSION POWER OF FREE
- 24. Same Content and Offers, Different Messages Principle Concept A/B Test Endowment You took the first step. Don’t quit now. Savings Data (y/n?) Loss Aversion Rebates available. Don’t lose yours. Subject line Power of Free Free savings plan Heavier design Social Proof Your neighbors… Call-to-action
- 25. Behavioral Principle Opens Clicks Loss Aversion 43% 13.5% Social Proof 43% 11.0% Endowment 33% 6.5% Power of Free 36% 2.5% Behavioral Experiment Results
- 26. If you want to change behaviors: - Segment your audience - Customize the actions for them - Make the action list manageable - Apply behavioral nudges over time
- 27. Thank you!