Savings and pensions: How to be effective in communication?
In 30 seconds
Given the economic and employment instability in our country, saving for the future is becoming increasingly important. However, among the younger generations there is no awareness of the situation and no long-term vision. This means that there is no link between savings and pensions, and even that the former is completely non-existent. How can we effectively communicate these plans in order to increase their take-up?
Advantages of taking out a savings and pension plan at a young age
There is no right age to take out a pension plan, as the main factor in making the decision is your income. As people are entering the labour market later and later and salaries in our country are at the bottom of the European scale, it is difficult enough to make ends meet to be able to consider saving.
However, when a certain degree of stability is achieved, usually between the ages of 35 and 45, it is worth considering this option for the future. It should be borne in mind that public pensions are quite small. Therefore, if you want to live with a certain degree of peace of mind, you need to invest in a savings and pension plan. But what are the advantages of taking it out at this age?
Easier to achieve a goal
If you take out a pension plan at the age of 55, the time frame for saving for retirement is drastically reduced. This means that if you have a goal in mind, your contributions will have to be very high in order to achieve it. When you are 20 years younger, the number of contributions grows exponentially. Even if the contributions are smaller, it makes it easier to save for the long term and reduces the pressure to reach the target.
Higher returns
The further away you are from retirement, the higher the return you can get. Each pension plan has a different risk, which is adapted according to the profile of the person taking out the plan. The younger the age, the greater the risk that can be assumed, because even if there are variations, there is time to recover and increase the return. On the other hand, as age increases, it is recommended to opt for plans that are more conservative. In other words, with a lower risk.
Progressive adjustment of contributions
Contracts in our country are precarious, which means, as we have already mentioned, that it is difficult to save. However, savings and pension plans make it possible to adjust the amounts contributed over the course of a person's life. Therefore, even if initially the contribution of each instalment is small, it can be increased over time. It should also be borne in mind that these plans are tax-deductible, but there is a limitation. In other words, contributions do not need to be very high at the beginning, but should be adjusted to the individual's financial capacity.
How to communicate these benefits effectively
The advantages of starting to save at an early age are obvious. But if there is no awareness of these benefits, the take-up will remain at very low levels. In general, communication about savings and pensions is based on offering products or certain conditions that make it more attractive to take out savings. Given that their effectiveness is not very high, how can we improve communication?
Personalise communication to each segment
The development of artificial intelligence (AI) has made it possible to obtain more detailed information about our audience. Both from our own database and from different platforms, such as social media. The more we know about our audience, the better we can tailor our campaigns to match what they are looking for or to appeal to them. Since pension plans are not considered a necessity, they need to be sold as an interesting product with specific benefits for each profile.
To do this, you have to proceed with profile segmentation. In this way, groups can be created according to gender, age, income level or interests, among many other possibilities. In this way, the information offered will be adjusted to the stage they are at.
How to communicate these benefits effectively
The advantages of starting to save at an early age are obvious. But if there is no awareness of these benefits, the take-up will remain at very low levels. In general, communication about savings and pensions is based on offering products or certain conditions that make it more attractive to take out savings. Given that their effectiveness is not very high, how can we improve communication?
Personalise communication to each segment
The development of artificial intelligence (AI) has made it possible to obtain more detailed information about our audience. Both from our own database and from different platforms, such as social media. The more we know about our audience, the better we can tailor our campaigns to match what they are looking for or to appeal to them. Since pension plans are not considered a necessity, they need to be sold as an interesting product with specific benefits for each profile.
To do this, you have to proceed with profile segmentation. In this way, groups can be created according to gender, age, income level or interests, among many other possibilities. In this way, the information offered will be adjusted to the stage they are at.
Use their own channels and formats
If you want the younger generations to pay attention to content that they do not voluntarily feel particularly interested in, it is essential to use the channels where they spend the most time. This is the case of social networks. Nowadays, not only are they an excellent way to analyse consumer preferences and behaviour, but they also encourage the development of a closer and more human relationship, as opposed to the cold image of companies that only seek to achieve their objectives.
Social networks have the option of creating advertising campaigns, which can be customised for specific segments. The cost is very low compared to other strategies and the return on investment is good if you know how to select the right profiles for each product.
In terms of format, it is necessary to adapt to trends and consumer preferences. Instagram left behind text to give priority to photos, and now, with the arrival of other applications such as TikTok, both this and those that already existed are mainly committed to videos, which is the one that gets the most views and generates the most engagement.
Connecting with emotions
Consumers are saturated with advertising. Nowadays, in order to send a message and for it to reach its target, it is necessary to connect with their emotions and make them identify with what they see. In the case of savings and pensions, scenarios must be created that are congruent with our reality and that can show, with attractive content, the advantages of opting for this type of savings.
Personalised videos: the best option
The points mentioned above offer very good results as they combine attractive message formats, the connection with emotions and personalisation.
Personalised videos have provided a plus in all aspects of pension-related messages: optimising a message that perfectly explains the need to save and encourages conversion (effective contribution to the plan).