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Urgency and engagement: Empirical evidence from a large-scale intervention on energy use awareness
Affiliation:1. Università degli Studi di Milano, Department of Economics, Management and Quantitative Methods (DEMM), Via Conservatorio 7, 20122 Milan, Italy;2. Università Cattolica del Sacro Cuore, Department of Economics and Finance, Via Necchi, 5, 20123 Milan, Italy;3. Politecnico di Milano, Department of Management, Economics and Industrial Engineering, Via Lambruschini, 4b, 20156 Milan, Italy
Abstract:We study how to foster engagement in the energy sector, where signals about consumption are opaque and infrequent. We evaluate an energy company's large-scale communication campaign for promoting natural gas self-reading. Self-readings allow utilities to bill customers on the basis of real - as opposed to estimated - consumption. Exploiting variation in campaign messages, we test the impact of imposing a sense of urgency on customers through a deadline for submitting a meter reading. We find that messages that induce a sense of urgency are twice as effective than generic messages in encouraging self-readings, consistent with recent research on the urgency effect. The increased sense of urgency moves to action customers with both high and low levels of baseline engagement; the effect is stronger on the former.
Keywords:Consumer behavior  Information  Urgency  Gas consumption  Engagement
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