Message Effectiveness and Psychological Profiling for Lifetime-Time Income Products
(A2026-132601)

AUTHORS

Pat Auger, Melbourne Business School; Jody Evans, Melbourne Business School

ABSTRACT

The aging population presents one of the most pressing financial challenges of our time: how to help retirees manage longevity risk and make financial decisions less cognitively and emotionally burdensome. Lifetime income products (LIPs), such as annuities, offer protection against outliving savings, yet consumer demand remains low. We explore whether more engaging messages and psychological profiling can improve consideration of LIPs. In a study of 543 Australian retirees, we test four message frames (emotional, portfolio, simple, and storytelling) delivered via video. Storytelling is the most effective message frame and perceived message effectiveness (PME) strongly predicts annuity consideration. We refine prospect theory and present PME as a possible proxy for psychological receptivity. We offer a basis for more effective segmentation, targeting, and communication strategies.