Fractal Analytics, a leading data science, analytics and artificial intelligence company has announced the acquisition of Final Mile. Final Mile is consulting firm engaged in driving behavior change, integrating cognitive neuroscience, behavioral economics, and design, to solve critical business and developmental sector challenges.
Fractal Analytics has not disclosed the terms of the acquisition. Commenting on the acquisition, Srikanth Velamakanni, Group Chief Executive & Executive Vice-Chairman, Fractal Analytics said, “While artificial intelligence is becoming an integral part of products and services we consume, AI needs to incorporate better understanding of human behavior to improve human-machine interface, simplify information consumption and drive lasting behavior change.”
Final Mile uses behavioral sciences to understand decision-making and influence consumer and social behavior. The company has helped enterprises solve behavioral challenges in financial services, healthcare, consumer goods, e-commerce, and developmental and non-profit sectors. Final Mile adopts innovative research methods including games and simulations to understand the non-conscious consumer behavior.
The convergence of data analytics, artificial intelligence, and behavioral science offers nuggets of insights to various industries, particularly in retail, consumer, financial and healthcare. “The human decision-making process is complex. To fundamentally address a challenge or shape the decision-making process, one must identify and understand what truly drives behavior. Organizations can achieve better outcomes by applying learnings from cognitive neuroscience, behavioral economics and design. That is our focus.”, said Biju Dominic, Co-founder and Chief Executive Officer, Final Mile.
Both the companies have been working together since 2007. Fractal Analytics offers its solutions across various industries including consumer packaged goods, financial services, healthcare, insurance, technology, media, and retail. Final Mile covers a variety of business domains and also engages with the development sector to address social behavioral issues.
Final Mile’s approach to behavioral science is based on the “nudge” theory created by Nobel prize-winning economist Richard Thaler. The nudge theory suggests that changes in a consumer’s “choice architecture” – the environment in which people make choices – can positively influence their decision-making and lead to better choices.
The acquisition of Final Mile will significantly help Fractal Analytics to develop solutions at the intersection of data science, AI, and behavioral science and make a strong foothold in the market. “Final Mile’s track record in influencing human behavior through behavioral science, combined with Fractal’s data science and AI capabilities, will help our clients drive lasting behavior change internally and externally”, said Srikanth.