The Economics of Fitness and Wellness
Why We Skip the Gym: Commitment Devices
How present bias makes people overestimate how often they'll exercise, and how commitment devices and incentives help people stick to plans.
Many people plan to exercise but don’t follow through.
Present bias
Present bias means we value immediate comfort over future benefits. Exercise costs effort now; benefits come later.
Overestimation
A famous study by economists Stefano DellaVigna and Ulrike Malmendier (“Paying Not to Go to the Gym”, 2006) found that monthly gym members attended so rarely that they paid more per visit than if they’d bought individual passes. They overestimated their future attendance.
Commitment devices
Tools that lock in future behaviour:
- Pre-paying for classes.
- Workout partners.
- Betting money on reaching goals, through apps that take your money if you fail.
- Public pledges.
Temptation bundling
Economist Katherine Milkman tested “temptation bundling”: allowing yourself a treat, like a favourite audiobook, only while exercising. It increased gym visits.
Incentives
Small payments for exercising can build habits, though effects may fade when payments stop.
A student only listens to her favourite thriller audiobook at the gym. Wanting to know what happens next, she goes more often.
Present bias affects everyone; commitment devices help.
- Present bias makes us favour comfort now over health later.
- Gym members often overestimate attendance.
- Commitment devices lock in future behaviour.
- Temptation bundling and incentives can boost exercise.
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