Don’t Miss the Mark on Measuring Benefits Communication ROI

Did you know only 54% of companies effectively measure their benefits communications in the workplace? And even fewer go beyond surface-level metrics like open rates or HR inquiries? If you’re investing a significant part of your budget on providing benefits—and most companies consider it one of their largest expenses—than you need to ensure that what you're doing to promote those benefits is working.?

As you continue to invest in employee benefits programs, make sure you take advantage of the opportunity to truly understand the return on that investment (ROI) in terms of engagement, satisfaction, and actual employee outcomes.?

The Traditional Metrics (and Why They’re Not Enough)?

Most organizations rely on a few key metrics to gauge the success of their benefits communication efforts:?

• Enrollment rates during open enrollment: While this shows how many employees are opting into benefits, it doesn’t reveal whether they truly understand the value of those benefits or are satisfied with their choices.?

• Click-through rates (CTR) on benefits emails: A high CTR can indicate interest but it doesn’t guarantee that employees read or comprehend the material.?

• Number of inquiries to HR about benefits: Fewer inquiries could suggest clarity in communication, but it could also mean employees are confused and hesitant to ask questions, or simply not engaging with the information at all.?

Why These Metrics Fall Short? While helpful, these traditional metrics focus on actions rather than deeper outcomes. Enrollment doesn’t necessarily equate to employee satisfaction or comprehension. Click-through rates are often disconnected from genuine engagement, and low inquiry volume might signal disengagement rather than clarity.?

The Hidden Metrics That Really Matter?

To truly measure the impact of your benefits communication, you need to track metrics that reflect understanding, satisfaction, and long-term engagement.?

? Metric 1: Benefits Understanding Score?

• Description: This metric assesses how well employees understand their benefits through post-communication quizzes or surveys.?

• Why It’s Important: Employees who thoroughly understand their benefits are more likely to use them effectively, which leads to increased satisfaction and better ROI.? ?

Metric 2: Participation in Non-Mandatory Programs?

• Description: Track engagement with voluntary programs like wellness initiatives, mental health services, or gym memberships.?

• Why It’s Important: High engagement in non-mandatory programs is a clear sign that your communications are not only reaching employees but also motivating them to take action.? ?

Metric 3: Employee Satisfaction with Benefits Communication?

• Description: Use regular feedback tools (surveys, pulse checks) to measure how satisfied employees are with the way benefits information is communicated.?

• Why It’s Important: Satisfied employees are more likely to engage with future communications and view the organization’s benefits offerings in a positive light.? ?

Metric 4: Retention of Benefits Information Over Time?

• Description: Conduct follow-up surveys months after major communication events (like open enrollment) to assess how much information employees have retained.?

• Why It’s Important: Effective benefits communication should have a lasting impact, helping employees make informed decisions throughout the year, not just during enrollment.? ?

Metric 5: Correlation with Health and Productivity Metrics?

• Description: Compare engagement with specific health benefits (e.g., wellness programs or mental health services) over previous years.?

• Why It’s Important: This metric shows the tangible effect of your benefits communication on employee well-being, providing a clear link between communication efforts and organizational outcomes.?

Actionable Steps to Elevate Your Benefits Communication ROI?

Step 1: Set Clear, Specific Goals?

Start by setting measurable, specific goals that align with your overall HR strategy. For instance, instead of aiming for broad "improved participation," set a goal to increase engagement in wellness programs by 20% among previously non-participating employees.? ?

Step 2: Diversify Your Communication Channels?

One-size-fits-all communication strategies no longer work. Use a mix of channels like email, mobile apps, video messages, and text reminders to reach different segments of your workforce. Tailoring your approach to various demographics improves overall engagement and message retention.?

Step 3: Gather and Act on Employee Feedback?

Create a continuous feedback loop where employees can share their thoughts on benefits communication throughout the year, not just during open enrollment. This feedback can help you make real-time adjustments and improve future communication efforts.? ?

Step 4: Implement New Metrics Over Time?

Gradually introduce the hidden metrics we've discussed. Start with one or two new methods, such as Benefits Understanding Score or Retention of Information surveys, and build from there. Over time, you'll get a more accurate picture of the real impact of your communications.?

Call to Action: Ready to measure your benefits communication more effectively? Download our free benefits communication checklist or schedule a consultation with our benefit communications experts!?