Technological breakthrough: the power of digital communications in the pensions landscape
But it’s important to remember that engagement is different from communication; engagement is what happens as a result of good communication. This is about making pensions interesting – and, when it comes to elevating your messaging, there are a few things to keep in mind…
There is no alternative to digital
When you think about the world outside of pensions, the digital space is usually the first place where a brand impacts its users – and the same rules apply when it comes to the way members expect to interact with their workplace pension.
Keeping an eye on new technology in the market which could influence the sustainability of your scheme really matters here, because embracing the world of digital means so much more than switching from print to online newsletters or replacing your traditional paper statement with a personalised video. If you’ve already done this, great – but if that’s as far as you’re willing to go, you’re missing out on endless opportunities to positively impact the lives of your employees using innovation that you can measure.
When it comes to good governance and best practice, the importance of data analysis, metrics and reporting is clear to see. So why is it that the same standards aren’t applied to measuring the impact of pension communications and levels of member engagement? Through increased reach, targeted member experience journeys, more impactful content, and improved measurement, effective communication closes the gap between scheme costs and members’ perceived value of their reward package. It leads to better engagement, which leads to a better use of your budget and more positive results. You just need to measure it to prove your return on investment.
Master or servant?
As the move to master trust accelerates, organisations are often tempted to default to the perfectly acceptable off-the-shelf provider communications that come as part of the package. And why not? They’re all bought and paid for, so it makes sense. But don’t your members deserve better than ‘perfectly acceptable’ when it comes to receiving information about their financial future?
A one-size-fits-all approach isn’t good enough when it comes to member engagement; and if you’ve already made the switch to master trust and decided to use the provider communications that come as part of the package, that’s exactly what you’re getting. Yes, these are generally communications that work; and, yes, some of them are actually quite nicely done too. But, as an employer, surely you want your people to know that you care about their long-term wellbeing – and not just their daily 9-5.
Taking an approach that doesn’t give away the keys to the castle with that employer kudos you worked so hard to build before you switched is crucial here. This is about helping employees understand that you value them enough to provide a scheme that works specifically for them – not for everyone else. Adding a bespoke engagement layer that supplements those generic supplier communications is the way to go here. By appointing expert advisers and service providers, you’ll benefit from a diverse range of views and experience that will play an important part in the way your scheme is viewed. Your reputation is at stake, so think about this carefully.
Changing priorities
Member engagement isn’t a tick-box exercise and you can’t treat it that way. We’re now in the age of employee experience, and organisations are moving away from silo’d thinking when it comes to their employee value proposition and the total reward package therein – of which the workplace pension is only one part. Preparing for retirement is about so much more than pensions these days, and it’s important to remember that people’s ability to retire how and when they want is at stake here.
Different generations have different ideas, especially when it comes to money. The events of 2020 and 2021 have seen a real shift in priorities when it comes to managing monthly expenditure, with more people taking saving for life after work into their own hands. Looking to the future isn’t easy for a lot of people right now – and failing to acknowledge the importance of financial wellbeing, while sending out generic reminder postcards, newsletters and statements, means your communications simply won’t land with the impact they need.
In our Rethinking Member Engagement whitepaper, we explore what great pension communications look like in the digital age – along with practical ways to improve your current offering.
The author is Roger Hattam, managing director of Gallagher – Employee Experience & Communication.
This article is provided by Gallagher – Employee Experience & Communication.
Supplied by REBA Associate Member, Gallagher
Consultancy services including organisational wellbeing, culture change and internal communications.
