Gravity: Bridging the gap between behavioural economics and business
Over t he past s evera l years, behavioural economics and behavioural science have been gaining traction in the corporate world. Behavioural economics draws on psychological insights into human behaviour to explain economic decision-making. For example, it can answer the question around why people consistently overspend on luxury cars and underspend on retirement savings.
Having once been relegated to academia, inf luential thinkers such as professor of psychology and behaviour economics Daniel Ariely and Ogilvy UK’s vice- chairman Rory Sutherland have brought behavioural economics into the spotlight as a powerful way to solve problems and drive business success. Locally, a few companies have been exploring this ‘crossbreed’ of psychology and economics to solve problems. Cape Town-based 22seven, for example, draws on behavioural f inance thinking to help people better manage their money.
Another local start-up, Gravity, is seeking to use a combination of learnings from behavioural economics and social psychology to solve both business and social challenges.
Finweek caught up with its young founders David Perrott and Sebastian Thompson, recent graduates of advertising and marketing school Red and Yellow, to find out more about their behavioural change agency, which they launched in October 2013.
WHAT GAP/NEED IS GRAVITY SEEKING TO ADDRESS IN SA?