DC DEBATE


What could the future of member communications look like if we utilise data more effectively?


StuartMurphy: As an industry, our previous engagement efforts have tended to either do the minimum possible, send out keymessages to all members regardless of personal situation, or segment communications according to quite blunt factors such as age or pot size. Some have done a bit of all three. Ourmember research tells us thatmembers are


more likely to engage if we communicate with them on a personal level. In an environment where trustees, employers


and schememembers are time-poor, data-rich and finding underlying information a struggle to organise, we can use technology to ensure we send the right communications to the rightmembers at the right time. An example of this would be looking across a scheme’smembership, comparing locations, pay grades and age, then analysing contribution levels. This analysis could also look at contribution levels


for similar cohorts across the provider’s wider book and potentially across the industry.


SamanthaChandler: Understanding the membership profile will help schemes use the most appropriate methods to communicate. For some, receiving information about pensions


via socialmedia will seemcompletely ridiculous. For many others, it will represent themost effective and familiarmethod. So it is critical that schemes use data (which in many cases already exists) to consider the bestmethods and timing. Focused, personalised communication could be


the norm. The overall look and feel could be chosen by themember. This isn’t about schemes designing something different for everyone.


Work still to be done on member communication


Recognise improving comms as a main benefit of technology


employees only on a yearly basis See presenting all information on


one platform as a benefit Provided information to their


Aware of automated member communication


Do not tailor or personalise information Send notifications via an online platform Send notifications via email


Do not allow employees to choose communication method


0 Source: PwC Understanding what is important and using


technology and data to allowpeople to obtain that information and digest it as they want to is the real future. This way, people’s location, working patterns, preferences and life choices are all factored into the communications strategy by putting choice under member’s control.


John Reeve: I would suggest that the concept of member communications may become meaningless as better use of data will mean that communication will be based on an individual’s full financial position, not just their pension. Current communications, which focus on an


individual’s pension without consideration of other financial matters or even other pensions, are already flawed and will look more and more outdated as other areas of financial services develop their solutions. Open banking has created the opportunity


Our member research tells us that members are more likely to engage if we


Stuart Murphy, head of DC client management, Legal & General


36


communicate with them on a personal level


for more tools that bring together individuals’ multiple accounts, credit cards, debts, and so on. The future must be the incorporation of pensions into this communication, rather than more pension- only communication. Data consolidators will lead this revolution using


data to provide a holistic view of an individual’s financial position and to drive actions appropriate to their overall position. In this way, it will be possible not only to manage risk and return, but also to maximise tax efficiency.


20 40 60 % of employers 80 100


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