How can you unlock ROI in your benefits strategy?
Overview and key points
Throughout 2025, HR teams have continued to wrestle with two critical challenges: talent acquisition and retention and employee engagement and wellbeing. The stakes are high – UK businesses face a staggering £293 billion productivity gap, largely driven by disengaged employees.
The engagement crisis
- Only 10% of UK employees are engaged at work—one of the lowest rates globally.
- Hybrid workers fare slightly better at 30%, but overall engagement sits at just 21%.
As revealed in our 2025 Guide to Employee Benefits whitepaper, workforce expectations are evolving fast. Organisations must rethink benefits strategies to attract, retain, and engage top talent. The question is: can your benefits programme help close the gap?
Statistically speaking—yes.
- 70% of employees are more likely to stay with a company that offers a well-structured benefits package.
The importance of personalised, flexible, and wellbeing-focused offerings has never been more important.
But here’s the challenge: business costs are climbing, and benefits budgets are under scrutiny. For business owners and finance teams, cutting back may seem like the obvious move, but in our opinion, the smartest strategy isn’t reduction. It’s driving greater value. And the key to unlocking that value? Data.
Why data matters
The insight provided by data transforms benefits from a cost centre into a strategic lever for engagement and performance. Here’s how:
- Identify engagement gaps
Pulse surveys, claims data, and usage analytics reveal what employees truly value. When engagement hovers at 21%, understanding why these gaps exist is critical. - Measure ROI
Wellbeing programmes deliver measurable results:- 89% of HR leaders report reduced sick days
- 99% see productivity gains
- 95% confirm positive ROI
(Source: Make a Difference Media)
- Target communication
Underutilised benefits often stem from lack of awareness. Data-driven insights help tailor messaging, so employees know what’s available—and how to access it. Ask yourself: When was the last time you checked how many employees actively engage with your benefits portal?
3 Steps to a data-led benefits strategy
- Understand your people
Use engagement surveys, demographic analysis, and usage data to identify what’s important for your people. - Select benefits that deliver measurable value
Prioritise offerings that align with employee needs and show clear outcomes—think EAPs, virtual GP services, and lifestyle apps. - Communicate regularly and effectively
Data shows that frequency and personalisation significantly boost uptake. Make benefits visible, relevant, and easy to access.
The bottom line
A benefits programme built on data is not just a cost—it’s a strategic investment in engagement, resilience, and performance. When employees feel supported across financial, physical, and mental wellbeing, your benefits programme will deliver.
In 2026, benefits will be judged not by cost but by impact. Will your strategy be ready?
If you’re unsure where to start or want to explore how data can transform your benefits strategy, connect with Dan Cockram today. He can help you identify gaps, leverage insights, and build a benefits programme that delivers measurable impact.
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