The book, New Thinking helps advisers employ behavioural science to manage more successful conversations for both the customer and the adviser about client fees.
The book is authored by behavioural scientists, Professor Paul Dolan of the London School of Economics, and business author Steve Martin.
New Thinking uses the mnemonic MINDSPACE which describes nine of the most robust effects that can be employed to influence behavioural change.
| Effect | Definition |
| Messenger | We are heavily influenced by who communicates information to us |
| Incentives | Our responses to incentives are shaped by predicatable mental shortcuts such as strongly avoiding losses, hyperbolic discounting and mental accounting |
| Norms | We are strongly influnced by what others do |
| Defaults | We ‘go with the flow’ of pre-set options |
| Salience | Our attention is drawn to what is novel and seems relevant to us |
| Priming | Our acts are often influenced by subconscious cues |
| Affect | Our emotional associations can powerfully shape our actions |
| Commitments | We seek to be consistent with our public promises, and reciprocate acts |
| Ego | We act in ways that make us feel better about ourselves |
Aviva has also produced a series of bite sized videos which advisers can use towards the unstructured element of their CPD.
Andy Beswick, intermediary director at Aviva, said: “We know that many advisers are concerned about how best to communicate the changes brought about by RDR to both new and existing clients. This is especially the case with charging, as getting it right is absolutely key.
“We have worked closely with Professor Paul Dolan and Steve Martin, who are both experts in behavioural science, to come up with clear guidance and practical support for advisers as they tackle this transition.”
Professor Paul Dolan, London School of Economics, added: “Behavioural Science is attracting significant and growing interest in business. It teaches us how we can influence the day-to-day behaviour of people through subtle changes in the way we behave and interact with them.”
