People are motivated by a lot of things, but money usually ranks somewhere near the top of the list. Goals with associated financial incentives or disincentives are more often met than those without; at least that is the thinking behind a new wave of software services and mobile applications.
New technology is giving life to creative ways to use money to incentivize success. Take DietBet, for example. DietBet calls itself a social dieting game. It “supplies the motivation, support network and game structure” to help users achieve their weight loss goals. Users can challenge friends, family and co-workers to a 28-day competition to lose weight. They can wager real money, or just bragging rights.
Similarly, HealthyWage designs and organizes weight loss challenges and contests in which participants can win money for losing weight. It offers challenges such as the 10% challenge wherein users who pay a $100 fee and lose 10% of their body weight in six months, win $200.
With GymPact, users commit to exercising a specific number of days per week. They promise to pay at least $5 per day of the agreed-upon total that is missed. If goals are met, there is a slight monetary reward.
These health and wellness motivational companies have done what educators have been trying to do for years. They’ve made something that is generally resisted into a game. They’ve made a chore fun, and they use a motivator that works for many—money.
If it works for diet and exercises, would it work for another chore like budgeting or saving for a life goal? Stickk.com is currently testing that theory.
Stickk users can elect to pay a financial penalty if they fall short of their goals. In the June 15 article,“The New Money Apps”, the Wall Street Journal reported on a Stickk user with the goal of paying down half of her $10,000 credit-card debt. Any week that she doesn’t meet her desired $180 weekly goal, the system automatically transfers $20 from her account to that of a friend.
The user profiled in the WSJ isn’t the only one leveraging Stickk’s functionality. The article goes on to state that 30% of the Stickk’s 150,000 user base elect to pay financial penalties for underperformance on goals.
While it may seem outlandish to suggest clients bet on their ability to meet financial goals, it is helpful to know that these tools exist, and plenty of people are using them with success.