How Nest Pensions Uses Digital Communications to Empower Members

How do you build lasting relationships with an audience as broad as the UK population?

Deborah Perkins, Member Proposition Director at Nest Pensions, joined us to discuss how Nest navigates the unique challenges of engaging and supporting auto-enrolled pension scheme members.

Deb shares how Nest uses behavioural science, testing, and new digital platforms like its app to personalise experiences for over 13 million members - many of whom have little initial interest in their pensions.

The Unique Communications Challenge of Pensions

Communicating with pension scheme members means playing the long game.

Deb explains that Nest's members typically join through their employers via auto-enrolment, not through a personal decision.

This creates an immediate arm's-length relationship, where building trust and engagement becomes even harder.

Adding to the difficulty, pensions as a product have traditionally low levels of engagement across the board.

As Deb puts it, pensions aren't like the current accounts that customers check daily.

Many people only interact with their pensions once a year when receiving their annual statement - if at all.

Another challenge is demographic: Nest serves a lot of low to moderate earners, many of whom may feel excluded from mainstream financial services or lack access to financial advice.

Over the long term, maintaining accurate data for millions of members as broad as the UK population, is tough.

People move jobs, change addresses, or drop off communication channels, making it hard to keep them informed when it matters most.

Finding the Right Rhythm: How Often to Communicate

Deb acknowledges that frequency is a delicate balance for Nest.

Too little communication risks irrelevance, while too much feels like spam.

"We always start with hierarchy," she explains, prioritising essential communications like regulatory updates first, then operational messages that help members manage their pensions day-to-day.

"We're very fortunate to have behavioural scientists who help us figure out when and how to nudge effectively."

Deborah Perkins, Nest Pensions

Deb shares that Nest uses a test-and-learn model supported by behavioural experts to personalise timing and content wherever possible.

Overcoming Data Challenges

Data quality remains a huge hurdle, both for daily engagement and for critical life events like beneficiaries' details.

Nest often starts with employer-provided data, which can be incomplete or outdated from day one.

Deb highlights that even small errors, like misspelled names, can create big problems down the road.

Duplicate accounts are another frequent issue, as members accumulate multiple pensions from different jobs.

Despite these challenges, Nest uses a combination of first-party insights and third-party segmentation techniques to build a better understanding of its membership base.

How Nest’s New App Is Changing Member Engagement

Recognising the shift towards mobile-first behaviour, Nest launched its first app last year.

This move was about more than just convenience - it was a strategic play to gather better first-party data and meet members where they are comfortable.

"We've found that new members are far more likely to engage and set up nominated beneficiaries via the app than the desktop portal."

Deborah Perkins, Nest Pensions

Deb notes that app users are quicker to complete important actions like nominating beneficiaries, making the app an increasingly crucial channel for early engagement.

The app’s success is helping Nest refine what types of communications work best at different journey stages.

Why Mobile Matters More Than Ever

Nest's digital-first DNA made app development a natural step.

Deb explains that timely, in-app nudges can be far more effective at prompting actions than traditional emails or phone calls.

This approach supports Nest’s goal of being relevant without overwhelming members with irrelevant messaging.

Measuring Success: Combining Quantitative and Qualitative Insights

When it comes to evaluating success, Nest doesn’t just rely on surface metrics like logins or clicks.

Deb shares that every campaign or product update begins with clear hypotheses about the desired member behaviour changes.

From there, Nest tracks outcomes carefully, watching not just overall engagement rates but also deeper indicators of impact on different customer segments, including vulnerable ones.

Inclusivity is baked into the evaluation process from the start, not added as an afterthought.

Building a Culture of Innovation in a Regulated Environment

Working in pensions means balancing innovation with strict regulatory responsibilities.

However, Deb emphasises that risk management doesn’t mean avoiding change altogether - it means doing change well.

Deb credits Nest’s strong internal culture for supporting a thoughtful, test-and-learn approach to new initiatives like the app and behavioural nudges.

Compliance teams aren’t seen as blockers, but as partners in building better member experiences.

The Role of AI and Technology in Nest’s Future

AI is on everyone's radar - but Deb warns against rushing in blindly.

Nest is exploring ways AI could improve aspects like inclusivity checking, predictive insights, and better language accessibility.

However, Deb stresses Nest’s cautious approach, rejecting any uses that could risk member trust through misleading or superficial experiences.

For now, Deb believes there is still a lot of basic engagement work to be done before the future becomes fully AI-powered.

Advice for Financial Services on Improving Communications

Deb leaves us with two timeless pieces of advice:

• Start small and test: A test-and-learn mindset makes progress manageable, reduces risks, and creates room for experimentation.
• Prioritise customer curiosity: Really knowing your members is the key to creating meaningful, personalised communications.

There is no magic formula, Deb reminds us - just ongoing curiosity, testing, and refinement in a constantly changing environment.

FAQs

What Makes Pension Communication So Difficult?

Pensions are long-term, low-engagement products without the immediate visibility or urgency of daily banking services. This makes proactive and personalised communication essential but challenging.

How Does Nest Use Behavioural Science?

Nest works with behavioural experts to build its communications strategy, helping to design nudges and content that feel natural and timely for members, rather than spammy or overwhelming.

Why Did Nest Launch an App?

Building a mobile app improved member convenience, boosted engagement rates, and provided new first-party data, helping Nest personalise communications and services better across its membership base.

How Does Nest Manage Risk While Innovating?

Nest applies a balanced risk approach by embedding compliance into product development from the start, allowing safe innovation without sacrificing member trust or regulatory responsibilities.

What Are Nest’s Plans for AI?

Nest is cautiously exploring how AI could help improve inclusion, communication quality, and predictive personalisation, without compromising transparency or creating false or misleading experiences.

References

Pensions Dashboards: Looking Back on 2023, Department for Work and Pensions, 2023

Financial Lives Cost of Living (Jan 2024) Recontact Survey - Summary, Financial Conduct Authority, 2024

Reviewed by

Sam Kendall, 30.04.2025