Large Language Models Enable Design of Personalized Nudges across Cultures
This addresses the problem of costly behavioral data collection for nudge design, though it is incremental in applying LLMs to a specific domain.
The study tested whether large language models (LLMs) could design personalized nudges to encourage air travelers to offset CO2 emissions, finding that LLM-informed nudges increased offsetting rates by 3-7% in some countries but not others.
Nudge strategies are effective tools for influencing behaviour, but their impact depends on individual preferences. Strategies that work for some individuals may be counterproductive for others. We hypothesize that large language models (LLMs) can facilitate the design of individual-specific nudges without the need for costly and time-intensive behavioural data collection and modelling. To test this, we use LLMs to design personalized decoy-based nudges tailored to individual profiles and cultural contexts, aimed at encouraging air travellers to voluntarily offset CO$_2$ emissions from flights. We evaluate their effectiveness through a large-scale survey experiment ($n=3495$) conducted across five countries. Results show that LLM-informed personalized nudges are more effective than uniform settings, raising offsetting rates by 3-7$\%$ in Germany, Singapore, and the US, though not in China or India. Our study highlights the potential of LLM as a low-cost testbed for piloting nudge strategies. At the same time, cultural heterogeneity constrains their generalizability underscoring the need for combining LLM-based simulations with targeted empirical validation.