How Bryan O’Hanlon is using behavioural economics to improve customers’ financial wellbeing
“With anything new, I think that the first steps are always the hardest because you haven't proven the concept yet.”
When Bryan O’Hanlon’s team at Bank of Ireland was interested in trying out a new approach to communicating with customers using behavioural economics, it was unchartered territory for the organisation. It required a bit more time to explain the journey. Bryan explains, “the approach ultimately received the support required to progress with an initial test, by demonstrating how behavioural economics could be used to help the bank improve our customers financial wellbeing, a core strategic pillar of the bank’s sustainability strategy.“
Staying ahead of industry change
Bryan’s varied experience across the organisation has helped to inform his approach to innovation. Over the last decade, he has worked in diverse areas like marketing and segment management, gaining experience within a variety of teams. His current role sits within the Group Marketing and Propositions team. He and his teammates often joke that they have the best job in the bank, because what they do is so dynamic and interesting.
Their work requires close collaboration with international teams and partners, gaining exposure to new ideas and approaches. Bryan is conscious of keeping pace with rapid changes in technology and customer preferences. Education also plays an important role. “I think it's important to always be pushing yourself in different directions throughout your career,” Bryan says.
He recently completed a course in Applied Behavioural Science, a Professional Diploma in Creativity, Innovation and Leadership with UCD and is currently undertaking the Professional Diploma in Digital Transformation with IOB, “which is hugely interesting, relevant to my work now and ultimately where I hopefully want to end up career wise as well.”
Solving customer needs
Bryan’s work is closely connected to the strategic aims of the bank and to the financial wellbeing of its customers. He feels lucky to be able to take a leading role in supporting these impactful initiatives from the kernel of an idea to a launch, and all the stages of development in between. Bryan adds, “it does really add to that sense of purpose and that feeling that you are genuinely making a difference to your customers on important issues through the work that we do.”
This year, Bryan was awarded the IOB Future of Finance Award for Positive Impact in Sustainability for his work on Bank of Ireland’s financial wellbeing initiatives. His team – and the wider organisation – are deeply invested in making a positive impact in the area.
He explains that his team is always looking at how they can hardwire financial wellbeing in to how they solve customer needs with products and services. "When it comes to financial confidence and finances generally, we all have embedded behavioural norms and assumptions which means we don't always make the most prudent decisions around our finances, which I'm sure we can all attest to… If we can understand those dynamics, we can help people make more informed financial decisions which will ultimately deliver on our objectives around financial well-being."
Helping customers with long-term debt
One of the first campaigns that Bryan worked on, with the wider Bank of Ireland Group teams, was an initiative to support customers with long-term credit card debt. Bryan used the principles of behavioural economics – a method of economic analysis that applies psychological insights to explain human behaviour and decision making – to help over 9,000 customers with long-term credit card debt to manage their finances more effectively.
The customers were making minimum payments on their credit card debt for over 12 months. "They were paying interest on their debt each month and that can grow and accumulate," he explains. "We wanted to contact these customers and to use behavioral economics to try and engage with them in a different way – to give them very simple, actionable things that they could do to make practical steps forward to reduce that balance and improve their long-term outlook."
The communications provided advice to customers on how they could save money by making a one-off payment to reduce the overall balance of debt, or even switching to a personal loan with a lower interest rate.
Building confidence and impact
The campaign achieved great success. Analysis carried out with a segment of the customer group showed that 22% took one of the suggested actions, compared to 11% in the control group which received no communication. This success has led to exciting new international collaborations. The team are currently partnering with Harvard’s Sustainability, Transparency and Accountability Research (STAR) Lab to develop, deliver and test behavioural informed and insight-based interventions to support customers in the areas around sustainability and financial well-being.
Bryan was also recognised at the IOB Future of Finance Awards 2024 ceremony. It was a career milestone for Bryan. “I think for the work to be recognised by an independent body, one as prestigious as the IOB, and its judging panel, is a huge honor. And I think it's a testament to the work that's been done by myself and the teams collectively on the individual projects, and the impact that that’s had with our customers to date.”
IOB Future of Finance Awards
Bryan O’Hanlon won the 2024 IOB Future of Finance Award for Positive Impact in Sustainability. Learn more about the IOB Future of Finance Awards 2024 winners.
