Almost 80% of employees surveyed in Eastbridge’s MarketVision™ — The Employee Viewpoint© Spotlight™ Report cited payroll deduction as their preferred payment method for future benefit purchases. As for other payment methods, 17% cited credit cards and only 5% cited EFT. Compared to our 2013 study, the preference for payroll deduction increased by 3% and credit cards by 14%, though payroll deduction remains the dominant preference.
In addition, when employees were asked to rate various reasons for buying voluntary products on their level of importance, around 90% of surveyed employees rated “the convenience of having premiums payroll-deducted” as important. The top two reasons were “reasonable cost for the coverage” and “products purchased filled my needs.” While “endorsement by the employer” and “influence of friends/family/co-workers” ranked lower on the list, almost three-quarters of respondents rated these reasons as important.
Eastbridge publishes MarketVision™ reports every few years covering the needs, wants and expectations of key customer groups – brokers, employers and employees. The MarketVision™ — The Employee Viewpoint Spotlight™ Report updates the study completed in 2017 and provides relevant information carriers can use to develop better marketing strategies, including a more refined employee value proposition.
MarketVision™ — The Employee Viewpoint©, a Spotlight™ Report
Eastbridge Consulting Group, Inc. is a marketing advisory firm serving insurance and financial services organizations in the United States and Canada.