• Home
  • Admin/Tech
  • Benefits
  • Buzz
  • DB
  • DC
  • Diversity
  • Investment
  • Law & regulation
  • Risk reduction
  • Events
  • Whitepapers
  • Spotlights
  • Digital Edition
  • PPTV
  • Newsletters
  • Sign in
  •  
      • Newsletters
      • Account details
      • Contact support
      • Sign out
     
    •  

      You are currently accessing ProfessionalPensions via your Enterprise account.

      If you already have an account please use the link below to sign in.

      If you have any problems with your access or would like to request an individual access account please contact our customer service team.

      Phone: +44 (0) 1858 438800

      Email: [email protected]

      • Sign in
  • Follow us
    • Twitter
    • LinkedIn
    • Newsletters
    • YouTube
  • Register
  • Subscribe
  • Events
    • Upcoming events
      event logo
      Investment Conference

      This two part Investment Conference will bring you the latest updates from economists, asset managers and pension consultants. We will be taking a look at the outlook for the 2021 economy, alternatives, cashflow strategies and global equity markets to name a few, assessing how they fared through the volatility and what we can expect for the year ahead.

      • Date: 20 Jan 2021
      • Digital Conference
      event logo
      Webinar: Using passion for ESG to unleash member engagement

      This webinar will look at how pension schemes can harness their members’ interest in ESG to engage them more broadly with their pensions. In particular, it will look at exclusive research showing how members are reacting to ESG; their propensity to act versus their actual behaviour; and the expectations they have of providers in this regard.

      • Date: 26 Jan 2021
      • Webinar
      event logo
      Webinar: What to put on your GMP Equalisation project roadmap for 2021

      This webinar will bring together views from actuaries, lawyers, administrators, trustees and data experts to look at the pragmatic, collaborative solutions that are open to schemes to solve the GMP equalisation challenges in 2021. It will assess the individual challenges schemes face with equalisations and provide some practical options that are available to resolve these issues.

      • Date: 02 Feb 2021
      • Webinar
      event logo
      Webinar: Will the world return to normal in 2021?

      In this webinar, PP editor Jonathan Stapleton will be joined by BMO’s chief economist Steven Bell and director of fiduciary management, Christy Jesudasan, alongside PTL trustee director Melanie Cusack and Isio’s head of fiduciary management oversight Paula Champion to discuss the significant impact of these themes on the pensions sector.

      • Date: 04 Feb 2021
      • Webinar
      View all events
      Follow our Professional Pension Events

      Sign up to receive email alerts about our events

      Sign up

  • Whitepapers
    • How DC schemes can gain exposure to different asset classes in a low-return environment

      So far, DC plans have largely been focused on the onset of auto-enrolment and changes to the regulatory framework - be it the ‘charge cap,' ‘pension freedoms' or consultations around ‘value for money', says Annabel Tonry, Executive Director at J.P. Morgan Asset Management (JPMAM).

      Download
      Pension freedoms three years on

      In 2015 George Osborne, then the UK Chancellor of the Exchequer, decided that those age over 55 could take much more of their pension in cash. This has since opened up a range of possibilities for DC scheme members in the world of pensions.

      Download
      Find whitepapers
      Search by title or subject area
      View all whitepapers
  • Spotlights
  • Digital Edition
Professional Pensions
Professional Pensions
  • Home
  • Admin/Tech
  • Benefits
  • Buzz
  • DB
  • DC
  • Diversity
  • Investment
  • Law & regulation
  • Risk reduction
 
    • Newsletters
    • Account details
    • Contact support
    • Sign out
 
  •  

    You are currently accessing ProfessionalPensions via your Enterprise account.

    If you already have an account please use the link below to sign in.

    If you have any problems with your access or would like to request an individual access account please contact our customer service team.

    Phone: +44 (0) 1858 438800

    Email: [email protected]

    • Sign in
  • Industry

Why schemes should avoid gender bias in communications

Why schemes should avoid gender bias in communications
  • Kim Kaveh
  • Kim Kaveh
  • 14 November 2017
  • Tweet  
  • Facebook  
  • LinkedIn  
  • Send to  
0 Comments
At a glance
• Research shows just small differences between how men and women respond to pension messaging 
• Attitudes and responses to five positive and negative messages were similar for both sexes
• Financial literacy score for men was only marginally higher than that for women 

Methods should be the same for both men and women as, contrary to popular belief, research shows there are few disparities between how they respond, writes Kim Kaveh.

When it comes to communication, 'men are from Mars, and women are from Venus' - according to author John Gray whose famous 1992 book argued there are fundamental psychological differences between the sexes.

This is a bold assumption, and it is arguable the same conclusion has been drawn in the world of pensions.

Related articles

  • 2021 outlook: What's next for scheme governance?
  • 2021 outlook: What's next for regulation?
  • 2021 outlook: What's next for ESG?
  • 2021 outlook: What's next for schemes?

The People's Pension director of policy Darren Philp says it is clear there is a common belief that women are more risk averse, and therefore more likely to respond to negative pension messaging.

"This is especially the case when it comes to investment risk and investment appetite, for example, as the way financial services communicate with members has been particularly masculine.

"For example, saying 'it's good to take risks' is rather bullish, and despite the perception that men and women are from different planets, when it comes to communication, I think we all need to be grounded on planet earth."

Busting the myth

The People's Pension (TPT) and State Street Global Advisors (SSGA) recently conducted a survey to test out the theory that men communicate differently to women, and published the results in a report titled Gender, Age and Pension Savings.

The research conducted in mid-July assessed how 1,255 men and women from the age of 18 to 75 plus responded to messages, and found the attitudes and responses to five positive and negative messages were similar for both sexes.

For example, based on a point score system between -0.6 and 1.2, among 18 to 24-year-olds, males scored 0.59 to one of the positive messages displayed, and females scored 0.63.

Meanwhile, for prevention-focused messages, among 18 to 24-year-olds, males scored 0.10 in response to a negative message, while females scored 0.13.

The research used the Regulatory Focus Theory - which states people view the world in these two modes:

Prevention focused - where people act on the basis of avoiding fear, or promotion focused - where people act with the goal of achieving gain.

Philp says: "When we tested that online with people, the results were surprising, because we actually thought there would be a gender story there, and there wasn't."

The aim was to establish whether the industry has an opportunity to better tailor and focus messages to both genders in the same way - and based on the results, it is clear promotional-based messages should be used for all.

However, schemes must know how to do this effectively.

Behave London director Hannah Lewis, who authored the report, says: "The research indicates the industry must be very careful when listening to just the words people use to describe how they feel."

Similar responses

She also says schemes could use the results to find out what really drives behaviour.

"The next phase would be to measure whether we can boost savings using our findings, by testing on scheme members."

The study also found when respondents were asked how they felt about pension savings on a scale from sad (one) to happy (nine), males scored 5.34, and females scored 4.80.

Meanwhile, when testing how they felt on a scale from calm (one) to nervous (nine), females only reported slightly more nervous feelings about pensions (3.99) than their male counterparts (3.66).

Philp says there is a fair amount of doom and gloom around pensions.

"For example, hearing about people losing their pensions and having to wait longer for the state pension gives people a negative impression."

"People read and respond to messages in different ways and I think when schemes and providers communicate to people they need to think about the behavioural response they would want from members, but positivity wins here."

It is also important to ensure messages are jargon free, natural, friendly, and pass literacy age tests.

The SSGA and TPP analysis found based on a score between one and five, the average female financial literacy score was 2.80, while males scored 3.34, which suggests there is room for improvement for both genders.

Lewis says words and pictures that have negative connotations should be matched with more rounded explanations.

"People are bad at absolutes, and very good at ratio, so schemes need to demonstrate things visually."

Aegon head of pensions Kate Smith adds that people do want a good quality of life so saving now would result in a good quality of life later on.

"We should keep nudging people and reminding them of that.

"There's a lot more we can do in this 'digital media age' by breaking down messages and save off images and videos and all sort of things to encourage people."

It is clear SGGA and TPP's analysis has shattered the stereotype that men and women are from ‘different planets.' But just being aware of this knowledge is not going to ensure members develop good savings habits.

Schemes must now take this information, and ensure the same positive language is being used to communicate pensions to both sexes, as well as ensuring financial literacy is improved.

SSGA and TPP's research was inspired by insights offered by The Pensions Advisory Service (TPAS) data which analysed 39,883 records from April 2015 to March 2017.
Based on answers to a series of questions, scores were calculated to establish the respondent's personal orientation towards saving. The data was then weighted to represent the general public.

  • Tweet  
  • Facebook  
  • LinkedIn  
  • Send to  
  • Topics
  • Industry
  • Darren Philp
  • State Street Global Advisors
  • The peoples pension
  • Hannah Lewis
  • Kate Smith
  • diversity

More on Industry

The projects include a virtual conference in the spring
PMI and NextGen to collaborate on series of projects to represent the next generation in pensions

The Pensions Management Institute (PMI) and NextGen have partnered to offer a series of initiatives to “give a voice to the next generation of pension professionals”.

  • Industry
  • 14 January 2021
13 LGPS funds seek shared actuarial, admin and governance provider; Maps looks for independent evaluator

Norfolk County Council has issued a tender notice for a multi-provide framework agreement for the provision of actuarial services, governance, and administration support and consultancy services.

  • Industry
  • 13 January 2021
Have your say: What do you think will be the most important pension issues in 2021?

In this latest Pensions Buzz we want to know what will be the biggest pension issues in 2021.

  • Industry
  • 13 January 2021
Opperman said the powers will only apply to schemes where the act occurs after the powers come into force
Opperman: New TPR powers will not be backdated

New Pension Schemes Bill powers given to The Pensions Regulator (TPR) to issue contribution notices will not be backdated, pensions and financial inclusion minister Guy Opperman has confirmed in a written parliamentary statement.

  • Industry
  • 12 January 2021
Trustees could set out their resolutions in a formal statement. Image by USA-Reiseblogger from Pixabay
New year, new you? - New Year's (pensions) resolutions

Jake Churchill and Grant Suckling set out their five aims for pensions in 2021.

  • Industry
  • 12 January 2021
blog comments powered by Disqus
Back to Top

Most read

Opperman: New TPR powers will not be backdated
Opperman: New TPR powers will not be backdated
DWP sets de-minimis for flat-fee AE charges and launches work to standardise cost reporting
DWP sets de-minimis for flat-fee AE charges and launches work to standardise cost reporting
Barclays Bank UK Retirement Fund integrates ESG and climate risk into £1.3bn DGF
Barclays Bank UK Retirement Fund integrates ESG and climate risk into £1.3bn DGF
TPR response to funding code consultation reveals level of industry concern over twin-track regime
TPR response to funding code consultation reveals level of industry concern over twin-track regime
LGPS to become negative cashflow 'by 2024'
LGPS to become negative cashflow 'by 2024'
Trustpilot

 

  • Contact Us
  • Marketing solutions
  • About Incisive Media
  • Terms and conditions
  • Policies
  • Careers
  • Twitter
  • LinkedIn
  • Newsletters
  • YouTube

© Incisive Business Media (IP) Limited, Published by Incisive Business Media Limited, New London House, 172 Drury Lane, London WC2B 5QR, registered in England and Wales with company registration numbers 09177174 & 09178013

Digital publisher of the year
Digital publisher of the year 2010, 2013, 2016 & 2017
Loading