Welcome to the intriguing world of behavioral science (BeSci), where subtle cues and thoughtful design converge to shape customer behavior in powerful ways. In this short guide, we’re going to alert you to some of the core principles of BeSci that relate to your customer engagement and loyalty strategies.

rediem harnesses these principles to elevate your loyalty programs beyond the conventional, crafting experiences that resonate deeply and foster lasting engagement. But it’s helpful for you to understand some of the core principles as you are designing your program for maximum delight and engagement.

What is Behavioral Science?

Behavioral science examines the influence of psychological, cognitive, emotional, cultural, and social factors on decision-making. Understanding these factors allows brands to create environments that guide consumers toward desired behaviors seamlessly.

Key principles of ‘besci’ include:

• Heuristics: Mental shortcuts that simplify decision-making.
• Biases: Predictable patterns of deviation from rational judgment.
• Social Proof: The impact of others’ actions on individual behavior.
• Loss Aversion: The tendency to prefer avoiding losses over acquiring equivalent gains.

A great book that takes a deep dive into all of this is ‘Nudge’ by Richard Thaler and Cass Sunstein (fun fact: rediem’s co-founder, Regan, took a class with this professor in grad school)

We put all this knowledge to good use in crafting a loyalty program that not only attracts but deeply engages your customers.

Strategic Application of Behavioral Insights in Designing Your Program

Nudges: Subtle Guides to Desired Actions

Nudges are about making the desired action the easiest path forward. They are subtle yet powerful because they maintain freedom of choice while encouraging certain behaviors.

Strategic Actions:

• Optimize Timing: Integrate nudges during moments of high engagement, such as at checkout, immediately after a purchase, or during the discovery phase on product pages.
  • Note: You can do all of this with the ‘nudges’ feature in rediem rewards
• Personalize Reminders: Use data-driven insights to customize reminders, making them relevant to the individual’s recent interactions or preferences.