So what exactly is nudging? Nudging is a behavioral design concept which emphasizes positive reinforcement and indirect suggestions building on existing behavior to influence decision-making. The Mondato blog asserts that nudging can be far more effective and cost-efficient than traditional financial incentives or penalties. Heavy-handed nudging done in isolation, though, may cause fatigue effects that decrease customer engagement
"Inherently, nudging requires a longer-term strategy with other communications layered under it… Promotions can be really effective, especially done with the right customers at the right moment, but they have to be a part of a longer-term strategy rather than as a silver bullet." Jack Parker, Senior Client Services Manager at Juntos
Here at Juntos, we believe that long-term, warm conversations build trust and engagement with customers. Once this foundation is built, Juntos incorporates nudging, along with a range of other techniques, to influence positive financial behavior change.
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