Engaging customers in demand response programs: The role of reward and punishment in customer adoption in Switzerland

It is challenging to engage customers in demand response programs, which require significant interventions customers’ normal energy consumption patterns. Moreover, little known about how can be motivated adopt innovations that promote collective benefits. This research investigates the effectiveness of two most basic elements incentive-based policies — reward and punishment with regard customer participation sustainable domain. We counter prevailing assumptions innovation technology favor use rather than customers. Based on a series experimental studies, we find mixed evidence. appears at least as effective engaging innovations. Even more importantly, both are shown overcome concerns relating technology. Moderated mediation reveals economic incentives disincentives ameliorate critical obstacles because strongly their own personal benefit over willing for ‘self-serving’ reasons contributes The findings this thus have novel practical theoretical implications involving