Five Preconditions of Effective Engagement
Five preconditions of effective consumer engagement – a conceptual framework Product information, consumer choice and market engagement Lauren Solomon & Ben Martin-Hobbs ABOUT CONSUMER POLICY RESEARCH CENTRE (CPRC) An independent think-tank established by the Victorian Government in 2016, CPRC produces evidence-based research to informs government policy and business practice reform. We work collaboratively across the government, regulatory, business and community sectors. We also conduct, support and promote interdisciplinary consumer research. Our goal is to deliver a fair outcome for all consumers. To find out more, visit: cprc.org.au Five preconditions of effective consumer engagement – a conceptual framework Introduction 1 Summary and Recommendations 3 Demand-side engagement – 11 what problem are we trying to solve? In Focus: Being careful about what we mean when we say... 14 Five preconditions of 17 effective consumer engagement – a conceptual framework Policy, regulatory & 23 practice interventions to improve outcomes of consumer engagement Precondition 1: Barriers for customers with reduced capacity are removed 25 Precondition 2: Key information is disclosed, clear & accessible 30 Precondition 3: Comparison tools are simple & effective 38 Precondition 4: Switching costs (financial & non-financial) are low 44 Precondition 5: Consumers are aware of how to access, assess and act on information 51 Trialling and implementing interventions 61 Conclusion 65 Consumer Policy Research Centre i Introduction: A loss of focus on consumer outcomes Introduction: A loss of focus on consumer outcomes Since the mid-1970s, government policies in Australia have generally sought to increase the level of competition in Australian markets. This has been achieved, in particular, by reducing import protections, strengthening laws against restrictive trade practices, controlling mergers and removing anti-competitive regulation.
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