Ray Jaramis works as our Partnership Manager at Employment Hero, working closely with our superannuation partners. With a decade-long award-winning track record in financial services, he’s also armed with a degree in Applied Social Science. Ray is devoted to leveraging these insights to create digital tools that empower our users to take control of their financial lives. In this super series, he’s sharing everything about this changing industry and what’s in store for Aussies. Read on as he discusses how to increase member loyalty through a proposition that members love.
As an HR, payroll and recruitment platform, we naturally know a thing or two about employee engagement.
We know that employees who don’t feel recognised or appreciated are less loyal to their employers than those who feel recognised. We also know employees who feel recognised are more engaged, leading them to be more productive. The studies are done. Reward and recognition programs simply work and are key to employee engagement.
Earlier this year, we hosted a webinar that posed an intriguing question: What if we took the highly successful reward and recognition programs, known as Hero Points on our platform, and applied that concept to superannuation funds?
Picture this — your super fund sends you Hero Points on your anniversary of being with the fund, much like your employer might. Could this simple gesture be a path to ramping up member satisfaction and engagement? It’s a compelling thought, and we’re diving in to explore the possibilities.
For more insights on how traditional super fund advertising strategies may fall short, and how rethinking these approaches could benefit member engagement, read our article on Super Funds: The Problem With Direct Marketing.
How might super funds use the success seen with reward and recognition programs and apply these to their super members?
Reward and recognition programs are known to be an impactful strategic tool within the employment landscape. The question we pose is – can super funds leverage this powerful strategy with their members? And if so, what might that look like?
Drawing from their success, there emerges a compelling proposition: How might we replicate this success seen in the corporate world within the superannuation industry? This blog walks through an intriguing intersection of employee benefits and super fund member engagement.
How we thought about the problem
Rewards, recognition, and retention – the golden trio of the workplace. But, have you ever stopped to think about how this dynamic could play out in the world of super funds? When employees feel seen, they stick around. So, what if super funds could tap into this same sentiment? Imagine members feeling so valued that they can’t imagine ever switching funds.
Below, we’ve laid out some pretty intriguing stats on employee engagement drawing parallels with member engagement in superannuation.
| Employee Engagement | Member Engagement |
| 66% of employees would leave their organisation if they didn’t feel they were recognised. (1) |
Proactively retain and engage existing members, plus acquire new members. |
| 76% is the rate that under appreciated Millennial employees would leave their employer. (1) |
Leverage a ‘digital first’ approach to scale and grow increasing average member balances. |
| A 15% improvement in engagement can result in 2% increase in margins. |
Have happier, more engaged members enjoying more value from their fund who retain their current account. |
1 Forbes (2017:) 66% of employees would quit if they feel unappreciated
2 Deloitte (ND): Recognition programmes – are they important?
Breaking member recognition down further
In practice, what are some examples of when funds could reward their members? It comes down to what key milestones or engagement triggers each fund views as most important, or those that they are keen to highlight as part of their engagement strategy. Some starting examples are below;
Members anniversaries
Providing members with a ‘thank you’ at key milestones (e.g. member anniversaries).
Recognition of member practices
When members provide a very valuable piece of feedback or suggested way to improve your service.
Recognition of dedication to super
When displayed examples of favourable engagement behaviours (e.g. rollovers or confirming insurance choice).
Recognition of progress made
Recognise members who have set out goals and are making progress to achieving them (e.g. progress to a retirement goal).
Recognition of results on an end product
Recognise members who have achieved their milestones or financial goals (e.g. reaching pension phase or balance target)
The super fund opportunity
Super Funds who recognise the power of serving their members in an HR platform are winning the engagement game. Embracing the concept of embedded super, especially through digital employment platforms like Employment Hero, not only provides a unique value proposition but also crafts an experience that resonates deeply with members
With the rapidly evolving digital landscape, super funds have a golden opportunity to revolutionise member engagement and satisfaction.
Rethinking how superannuation information is communicated, such as through payslips, can also have a significant impact on member understanding and engagement.
The parallels between employee recognition and super member acknowledgment are striking.
And in direct response to the pervasive macro trends the industry faces surrounding member engagement and satisfaction, there’s no better time than now to reimagine the member experience.
Interested in learning how Employment Hero can help?
If you’d like to learn more about Employment Hero embedded super, reach out to Ray and the partnerships team at embeddedsuper@employmenthero.com.Â
Alternately, you can learn more about embedded super here or download our whitepaper.
Looking for other parts of the Employment Hero super series? Take a read.
Disclaimer: The information in this article has been prepared by Employment Hero Pty Ltd (ABN 11 160 047 709) and its related bodies corporate (Employment Hero). The views expressed in this article are general information only about our products and services, are provided in good faith and should not be relied on as professional advice. Employment Hero does not accept any liability for any loss or damages arising directly or indirectly as a result of reliance on, use of or inability to use any information provided in this webinar. You should undertake your own research and seek professional advice before making any decisions or relying on the information in this webinar.
