Premium
Using interactive “Nutrition labels” for financial products to assist decision making under uncertainty
Author(s) -
Gunaratne Junius,
Nov Oded
Publication year - 2017
Publication title -
journal of the association for information science and technology
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.903
H-Index - 145
eISSN - 2330-1643
pISSN - 2330-1635
DOI - 10.1002/asi.23844
Subject(s) - computer science , product (mathematics) , decision aids , human–computer interaction , medicine , alternative medicine , mathematics , geometry , pathology
Product information labels can help users understand complex information, leading them to make better decisions. One area where consumers are particularly prone to make costly decision‐making errors is long‐term saving, which requires understanding of complex concepts such as uncertainty and trade‐offs. Although most people are poorly equipped to deal with such concepts, interactive design can potentially help users make better decisions. We developed an interactive information label to assist consumers with retirement saving decision‐making. To evaluate it, we exposed 450 users to one of four user interface conditions in a retirement saving simulator where they made 35 yearly decisions under changing circumstances. We found a significantly better ability of users to reach their goals with the information label. Furthermore, users who interacted with the label made better decisions than those who were presented with a static information label. Lastly, we found the label particularly effective in helping novice savers.