International Review of Environmental and Resource Economics > Vol 19 > Issue 2

Methods to Tailor Behavioural Interventions: A Systematic Review of Categorisation Approaches in (Energy) Economics

M. Nikoloski, Institute for Environmental Studies, Faculty of Science, Vrije Universiteit Amsterdam, The Netherlands, m.nikoloski@vu.nl , W. J. W. Botzen, Institute for Environmental Studies, Faculty of Science, Vrije Universiteit Amsterdam, The Netherlands, M. Talevi, School of Economics, University College Dublin, Ireland, J. Blasch, Technische Hochschule Ingolstadt, Germany, S. Banerjee, Institute for Environmental Studies, Faculty of Science, Vrije Universiteit Amsterdam, The Netherlands, M. P. Cazenave, Institute for Environmental Studies, Faculty of Science, Vrije Universiteit Amsterdam, The Netherlands
 
Suggested Citation
M. Nikoloski, W. J. W. Botzen, M. Talevi, J. Blasch, S. Banerjee and M. P. Cazenave (2025), "Methods to Tailor Behavioural Interventions: A Systematic Review of Categorisation Approaches in (Energy) Economics", International Review of Environmental and Resource Economics: Vol. 19: No. 2, pp 117-158. http://dx.doi.org/10.1561/101.00000175

Publication Date: 11 Sep 2025
© 2025 M. Nikoloski et al.
 
Subjects
Behavioral economics,  Experimental economics,  Biases,  Heuristics,  Discrete choice modeling,  Econometric models,  Environmental economics,  Behavioral decision making,  Discrete choice models,  Individual decision making,  Consumer behavior
 
Keywords
JEL Codes: Q48D91C81D12C55
Energy efficiencybehavioural interventionsmachine learningclusteringsustainabilitysystematic review
 

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In this article:
1 Introduction 
2 A Conceptual Framework of the Different Categorisation Algorithms 
3 Systematic Review Methodology 
4 Results 
5 Discussion 
6 Conclusion 
Acknowledgements 
References 

Abstract

Transitioning to clean energy is necessary to meet the climate targets of the Paris Agreement. Accelerating decarbonisation requires improving energy efficiency and making large-scale green energy investments, inter alia in residential homes. Household energy behaviours and investment decisions are mostly suboptimal as individuals often face significant psychological barriers and are subjected to cognitive biases. Consequently, one-size-fits-all interventions, that are aimed at fostering green energy behaviours, lead to information overload and rebound effects, thereby being inefficient. A growing proposition in behavioural sciences is to personalise the delivery of behavioural interventions (BIs) to facilitate the uptake of energy-efficient behaviours. This is typically done, for example, by tailoring different BIs to individuals to overcome individual biases in the adoption of green appliances and renovations. Nonetheless, there is no clear know-how to use different statistical methods to tailor BIs. While researchers rely on various techniques to customise BIs for specific groups, this segmentation process lacks coherence overall. In this paper, we systematically review and sort the literature on statistical classification and clustering models, including machine learning methods, that have been used to optimise BIs for improving residential energy efficiency. Our review provides a holistic overview of these different methods, along with recommendations for practitioners to use them. It further highlights the role that machine learning algorithms can play in automating BIs, for example, by using sophisticated data analysis and pattern recognition to identify intricate relationships between decision-making factors. These insights can lead to highly optimised personalised strategies for increased energy efficiency.

DOI:10.1561/101.00000175

Online Appendix | 101.00000175_app.pdf

This is the article's accompanying appendix.

DOI: 10.1561/101.00000175_app