Empowering customers in times of economic uncertainty.
During global turbulence, people tend to reassess their investment strategies. In this blog post, we'll explore the importance of long-term savings and how banks and insurance companies benefit from empowering customers to control their finances with innovative solutions.
When there are troubling matters happening around the world, people tend to view their long-term savings with heightened concern and attention. Uncertain economic conditions can create worry around retirement savings, and many individuals may feel more inclined to keep a closer eye on their pension plans. Banks and insurance companies can play a significant role here in providing innovative solutions that address customers' long-term savings needs, such as products enabling seamless pension switching or an overview of their financial health.
Lessons from the past.
The global economic situation we live in today reminds us of previous events in history. Luckily, after living through them, patterns can be identified and lessons from the past can be recognized.History has shown that long-term savings, such as pension plans, are advantageous; in fact, long-term investments almost always outperform the market, and jumping in and out of investments could jeopardize long-term savings plans. After the Great Recession in 2007–2008, the majority of public pension plans recovered within six years.
The stability of pensions.
One common concern that arises for consumers during turbulent times is the stability of pensions. Individuals may worry that their pension funds are invested in volatile markets or that their employer may not be able to honor pension obligations due to financial strain.
This presents an opportunity for banks and insurance companies to provide solutions that cater to these concerns. By offering products that allow customers to assess the financial health of their pension plan, review investment strategies, and diversify their retirement savings, they can establish themselves as reliable partners in securing a prosperous retirement for their customers. At the same time, they will get all the data insights they need to improve their services and stay one step ahead in the increasing competition.
In addition to turbulent times causing concerns about stability, people may also reevaluate their retirement goals. Banks can benefit from offering a transfer service that enables customers to transfer their pension plans to the bank in question. By doing so, the bank can gain new capital and increase its customer base. This is especially relevant during turbulent times, when consumers may be more likely to review their financial situation and look for deals that are more beneficial than those they already have.
A unique opportunity.
Overall, turbulent periods can create a sense of urgency around retirement planning, and people may take a more proactive approach to managing their pensions during these times. This creates a unique opportunity for companies to offer innovative solutions that cater to these changing needs. By giving customers access to cutting-edge technology that keeps them informed about their pension investments and guides them to the best possible savings by transferring providers, financial companies – old or new – can establish themselves as key players in the retirement planning game.
Don't let your customers worry about the safety of their pensions; offer them peace of mind by becoming their trusted pension partner today. Contact us for more information.