The Pensions Trust has relaunched its website with more tools and information for members, employers and advisers, as schemes look for ways to engage members amid an increasingly complex pensions landscape.
The freedom and choice reforms increased the options available to pension fund members, leading to a proliferation of schemes offering online tools to prevent them being overwhelmed by their options.
The challenge is helping employers and trustees consider the needs of their members at various stages of their careers
Peter McInulty, Rubicon Benefit Communications
“The project has been going for a year, but we were waiting to see how the rules would firm up,” said Paul Murphy, head of strategy and business development at The Pensions Trust. “We wanted the election to be out of the way.”
The website contains information tailored to members, employers and advisers, as well as modelling tools for defined benefit and defined contribution.
“We [tried to create] as many tools as possible, so that members can make informed decisions. Employers are keen that as much information as possible is available,” said Murphy.
He added that the trust collated hundreds of questions to create an ‘Ask a question’ section on the site.
“One of the abiding pleas from our members is ‘Can you keep this simple for us’,” Murphy said. “We needed to create an electronic media that was accessible no matter where you were or who you were.”
Future selves
Many schemes now use modellers to allow members to calculate potential levels of benefit in retirement based on their contribution levels and other factors.
One of the abiding pleas from our members is ‘Can you keep this simple for us?’. We needed to create an electronic media that was accessible no matter where you were or who you were
Paul Murphy, The Pensions Trust
However, Jon Bryant, director of online and communication at consultancy Aon Hewitt, said research showed members can be discouraged from saving by the concept of their future selves.
He added that its research showed that using a conceptual future self to convey the importance of saving to scheme members could have a “deleterious” effect.
“The concept of using the word ‘future’ makes people feel akin to giving money to another person.”
Bryant said the use of technological tools such as websites, microsites and apps was growing quickly, with the consultancies’ revenue from these areas increasing fourfold over the past three years.
However, he added: “Online is just one component, we don’t see schemes using just online tools.”
Peter McInulty, communications consultant at Rubicon Benefit Consulting, said schemes should focus on member engagement and understanding rather than technology and tools.
Speaking about the role of communications since the introduction of the freedom and choice agenda, McInulty said: “The shift is behavioural rather than a change in strategy in terms of media [or] channels.
“Freedom and choice necessitates a seismic shift away from the traditional concept of cliff-edge retirement – the post-work pension – to a new focus on long-term savings.”
He said the challenge is helping employers and trustees consider the needs of their members at various stages of their careers and to emphasise the focus on contributions – in particular for the auto-enrolment generation.
Karen Partridge, head of client services at communications consultancy AHC, said personalised member communications were key to increasing engagement.
“Personalisation is the big theme,” she said. “It’s mostly through member segmentation… In the US [it] has had some really good results.”
