Timing is Everything for Pension Engagement

With pensions, timing can be a powerful tool. The Financial Conduct Authority (FCA) recently published a compelling paper, Timing is of the Essence: Testing When to Engage UK Pension Customers, that offers critical insights for pension providers seeking to engage with their customers more effectively.

The findings from this research reveal that the “when” of customer engagement is just as important as the “how.”

While around 42-55% of pension customers opened emails, only 1-7% clicked through to calls-to-action.

Actionable Insights for Pension Providers

The research provides clear direction on how pension providers can turn these four findings into effective engagement strategies, especially within digital platforms:

1. Leverage Digital Journeys Around Life Events
   Use behavioural data to trigger personalised engagement at key life moments. For instance, if a customer recently changed jobs or received a promotion, a well-timed digital nudge could encourage them to revisit their pension contributions. Incorporating these insights into CRM and data analytics systems can help automate these interactions and make them feel seamless and personal.
2. Align Engagement Campaigns with Key Dates
   Digital pension providers can implement targeted campaigns around New Year and tax season, when customers are naturally inclined toward financial introspection. Use these times for annual pension reviews, projections, or advice on making the most of tax-free allowances.
3. Utilise Age-Based and Tenure-Based Reminders
   Building milestone reminders into the digital user experience, whether it’s through in-app notifications, emails, or personalised dashboard alerts, can prompt users to consider their retirement goals at timely intervals. This approach can increase the relevance and impact of messaging without overwhelming users.
4. Make Complex Information Easy to Digest
   Simplify the language around pension products, especially within app interfaces or online dashboards. Consider developing clear, jargon-free content that guides users through complicated aspects like asset allocation or fund selection. This user-centric approach can make pensions feel more accessible and less intimidating, increasing engagement.

Takeaway for Pension Providers

The FCA’s findings underscore that pension engagement isn’t just about delivering the right information, it’s about delivering it at the right time. For digital providers, these insights highlight the power of a data-driven, customer-centric approach that aligns engagement efforts with natural moments in customers’ lives. By integrating these strategies, pension providers can drive not only awareness but genuine engagement, helping customers make informed decisions that secure their financial futures.