We want to become the largest and most service-oriented pension broker in the German-speaking world
In this interview, Frank Buschmann of Ecclesia and Tobias Bailer and Marc Sontowski, managing partners of the pension solutions group until the takeover, who are now jointly responsible for the pension solutions group at Ecclesia, explain why what has always been an ideal match is now coming together, and what new opportunities are arising for all parties involved.
Mr. Buschmann, what were the reasons for the takeover of the pension solutions group?
Buschmann: For more than ten years, we have had a successful cooperation with the pension solutions group. Now we have decided to join forces in order to gain in clout. With this acquisition, we are strengthening the pension provision segment at Ecclesia in a targeted manner with the aim of offering existing and new customers even better pension solutions and services and to continue to grow in this business segment in the future.
What makes company pension plans and income protection so attractive? Why is Ecclesia investing here in particular?
Buschmann: There is growing demand in the market for company pension solutions that close gaps in employees' retirement income as efficiently as possible in the event of old age, disability or illness. Due to the high level of subsidies and grants from the state and employers, company pension plans are one of the most attractive options on the market. Many companies use this specifically to enhance their attractiveness as employers. A survey of our customers showed that 90 percent of our customers' employees see occupational retirement provision as the best way to effectively provide for the future. We are investing in this area in order to be able to offer existing and new customers appropriate pension solutions for their employees.
Why is the pension solutions group such a good fit for Ecclesia?
Buschmann: To put it succinctly, the two companies are simply an ideal match. For example, we have a small but highly productive sales organization that specializes in the implementation of employer- or mixed-funded pension plans. The topic of deferred compensation and individual advice to employees tends to take a back seat for us. However, we have a huge potential customer base for whom the communication of occupational pension solutions would be useful. pension solutions is a brokerage firm specializing in the communication of occupational pension solutions and complements our range of services with this facet. And our digital approaches are also a good match.
Mr. Bailer and Mr. Sontowski, what makes a “dream team” out of Ecclesia and the pension solutions group in your view?
Bailer: Due to the many changes that have taken place in the company pension market since the beginning of 2023, we have given a lot of thought to how we will react to them and position ourselves for them. At the same time, Ecclesia also reassessed the market. So we finally came together because we saw the potential we had in common. We know and appreciate each other and have been implementing projects together every day for years. So we know each other's strengths and weaknesses and have already celebrated many successes, but also dealt with defeats. This enables us to identify complementary skills and position ourselves accordingly. What is also very important to us is the identical values we live by and the “mindset”. At both Ecclesia and our company, the focus is on people. We do meaningful work, create value and customer benefit, and embody the concepts of quality of interaction and enthusiasm for occupational pension provision.
What are the goals you have in common?
Buschmann: The declared goal of the joint strategic merger is to become the largest and most service-oriented pension broker for client companies in German-speaking countries.
Bailer: We want to be the industry pacesetter and become a synonym for occupational pension provision in Germany. Or to put it another way: just as Kleenex is synonymous with tissues, we want to be the first name that comes to mind when you think of occupational pension provision. I am convinced that we will succeed in this together, because we are driving forward topics such as hybrid personal advice, digital advice channels, customer-centric behavior of all employees and data-supported advice processes in all areas of company pension provision and will lead them to process excellence. Our basic motivation is to provide financial security for the employees of our client companies – during their working lives and in old age. We have products that basically everyone needs, that are affordable and available without limit. Perfect!
That leaves the most important question: What do your customers get out of it and which customers benefit from what?
Buschmann: We can now offer our customers more digital solutions that make company pension plans more enjoyable from the company's point of view. These solutions relieve the administrative burden on HR departments, allowing them to get back to their core tasks. We provide our customers' employees with new advisory options that present the solutions offered by the company in a transparent and comprehensible way. This leads to increased employee participation.
Bailer: Exactly right, these are the key arguments. The crucial thing about this statement is that we will be able to implement this relief and enthusiasm for company pension plans even better together in the future. Our experience in the market has shown us that we offer real added value for the customer on these points. This is precisely where we will start and ensure a high level of customer satisfaction through our joint service. Indeed, all parties involved will benefit from this. Employers will be relieved of administrative tasks, increase their professional attractiveness and motivate their employees. This in turn leads to better identification with and loyalty to the company. Employees benefit from an improved pension situation through individual advice. And the great thing about it is that we can operate independently of industry and size! A lot will change for our existing customers at the pension solutions group: we can now offer all topics in “de-risking”. A real 360-degree approach in the joint service.
What does the merger with Ecclesia mean for the pension solutions group's network of cooperation partners?
Bailer: We also see our cooperation partners as our customers. The network will continue. We are very pleased that we will be able to offer all cooperation partners an even greater range of services in the future. We are expanding our employee capacities, strengthening our innovative power, investing more in our technologies and adding further topics such as working time accounts to our range. This is how we are expanding our role as a pacesetter – and that is just a small selection of the optimizations we are offering our high-performing cooperation partners.
For years you have been running a company independently, and now you are part of a large group. What do you think will change for you and what are you looking forward to?
Sontowski: We will continue to think and act as entrepreneurs and incorporate our life's work into something big and meaningful. The past few years have been particularly challenging as entrepreneurs. We have had to make many decisions. As part of a large group, there will be more exchange of experiences and support in the future. We see a great opportunity in the stronger market position. This will enable us to offer a broader portfolio of products and services in the growth market of “occupational pensions”. We are very excited about our new roles and how we can contribute our SME experience to a larger group. We are very much looking forward to working with the new team to implement our shared visions and to the new development opportunities that we can now offer our employees. The opportunities and synergies are huge, as is our motivation – let's tackle it together!