Evidence receipt / recommendation
Published · transcript-backedKristen Berman: recommendation
2 Oct 2022 Lenny's Podcast Using behavioral science to improve your product | Kristen Berman (Irrational Labs)
“One would be to set the incentive on the behavior because the behavior is going to align more with the customer outcomes than the active use or the retention.”
Source trail
Everything needed to verify it.
- Speaker
- Kristen Berman
- Attribution
- Verified speaker
- Claim type
- recommendation
- Recorded
- 2 Oct 2022
- Publisher
- Lenny's Podcast
Transcript context
…You may not have a clear answer to this, but any advice for setting those incentives correctly? Anything you've seen work well? Yeah. I think for us there's two tips. One would be to set the incentive on the behavior because the behavior is going to align more with the customer outcomes than the active use or the retention. And of course... And I'm not suggesting we don't measure active use and retention in these things, you should definitely measure them, but setting the incentive, and the KPI, and the product, and the marketing team on the behavior is going to result in a more customer-friendly product and outcome. And then, second would be increasing the duration of the incentive. So, if you're trying to hit a quarterly outcome, you're likely going to do things that will impact the short term to give that a bump. If you're trying to hit an annual or even longer outcome, you're going to be looking out for the best interest of the company and the consumers in a little bit different way. Awesome. For the LendingClub example, what did you end up doing in the end, by the way? Did she just like, "Nah, let's not do this."…
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