Pension communication researcher Wiebke Eberhardt has been awarded with a €5,000 research grant from IPE Pensions Scholarship Fund to support her research on improving pension communication.
Today, Wiebke Eberhardt presented research results on the Retirement Belief Model at the Netspar working group on pension communication in Tilburg (The Netherlands). The joint research with Lisa Brüggen and Thomas Post demonstrates how psychographic information can be used to segment pension plan participants and how pension communication can be adapted to the segments.
Presenting pension information in a simple way with short sentences, without difficult terms, and in plain vanilla language improves participants’ understanding of pension plan features. However, we find no effect on participants’ subjective evaluation of the information quality or on their willingness to take action.
Visualizations are a promising pension communication tool for improving participants’ understanding and encouraging planning actions. We examine the impact of different forms of visualizations on the level of pension information understanding, willingness to take action, and on participants’ moods, perceptions of usefulness, and ease of use. Visualizations (as compared to text) are highly appreciated by participants and increase understanding of pension information. But, for participants with low financial literacy and numeracy skills, visualizations reduce willingness to take action.