Posts related to wealth management and financial advisor marketing.

Market Success

 

Independent Advisors need a strategy-led, systematic growth program.

The Financial Advisor SMART BOOK™ outlines the Revenue Architecture Methodology that financial advisors can use to add structure and predictability to their revenue engine. We introduce nine steps and advisor-specific marketing and sales strategies that are helping advisors capture client value.

The comprehensive guide helps independent financial advisors build a strategy-led, systematic growth program with 9 proven strategies. The goal is to help advisors:

  • Increase Volume: Generate More Visits & Inquiries
  • Increase Client Value: Get Better Qualified Inquiries
  • Increase Velocity: Increase your Conversion Rate
  • Increase AUM and Revenue: Optimize Engagement for AUM growth and Revenue Impact.

Having a vision and game plan for growth is essential for financial advisors to thrive in a challenging marketplace. The Smart Book™ outlines how you can achieve more predictable and sustainable revenue growth by establishing a Revenue Architecture that fits your firm. The key is to commit to a systematic sales and marketing process by following the 9 proven strategies to guide your approach.

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Financial advisors are an amazingly difficult prospect to engage. They are incredibly busy and already have a wealth of resources available to them; in fact, it may be fair to ask if they even need to engage with wholesalers? That’s why we say the best way to convert financial advisors to customers is to build your marketing automation program around them.

Lead generation starts with effective segmentation

Before focusing on key strategies, Sales and Marketing must have defined a set of engagement personas and customer segments. Marketing has worked with personas for at least a decade, but only since the advent of marketing automation software have engagement personas become empowered and brought to life.

Defining financial advisor segments for lead generation

Creating clarity with Sales is a two-step process:
  1. Lead scoring – a measure of how active a financial advisor is on your digital properties
  2. Lead grading – a measure of how profitable the financial advisor is likely to be

 

Advisor Marketing Focus

 

While it may take several iterations to get lead scoring and grading optimized, the process should be fruitful for Sales and Marketing. It crystallizes Marketing and Sales perspectives around which advisors are most profitable and which digital behaviors are believed to be most relevant to a sale. Some marketing automation vendors have one score that represents profitability and interest. However, being able to separate advisor behaviors from profitability factors simplifies discussions by clarifying customer segments by profitability as seen in the above graphic. As an example, Pardot applies a numerical value for an advisor’s lead score and a letter grade (A-F) for an advisor’s expected profitability.

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Professional Selling

A go-to-market model is based on your business model and your target audience of personas. It helps you envision the best ways to access your ideal clients. Yet, in addition to understanding how you might best access your particular target client segment, you should consider what is best for you and your firm. For example, what volumes do you need? How comfortable are you with outbound prospecting? To what degree are you comfortable using social media or digital marketing?

Begin by determining how to access your ideal clients.

A. Determine your territories or market focus as a team – who will focus on which prospects or segments.

B. Identify referral partners (asset management relationships, custodians, referral networks, COIs, etc.)

C. Identify marketplaces or communities that may be relevant (e.g., FeeOnlyNetwork, Investopedia, NAPFA, FPA Planner, Zoe Financial, SmartAsset, and others)

D. Identify touch points should might based on the audience, e.g. inbound and outbound marketing, PR/media outreach, advertising, re-marketing, high-value content, and thought leadership, webinars.

E. Identify social and other media channels you might use to reach prospective clients (Google or Facebook Advertising, LinkedIn Sponsored posts, etc., radio, print), media/PR, content/thought leadership publishing/syndication, speaking, charitable activity, e-mail, apps such as a retirement readiness quiz, webinars).

F. Consider what capabilities you will need to support your go-to-market strategy, including web channels, collateral, technologies, processes, skills, and measurement/monitoring.

G. Align your team around the go-to-market model and high-level campaign strategies, ensuring buy-in and supporting execution commitment.

Target selectively:

  • Be selective about which clients to target. That is, which clients have the potential to be profitable, and the willingness to form long-term relationships.
  • Manage the others – losing unwanted customers efficiently without loss of focus.
  • An A-B-C Client Model is a handy tool to segment your client base and manage your portfolio.
  • Long-term success will rely on a go-to-market strategy and plan that reaches your target clients and positions your firm with a competitive advantage.

Explore all 9 strategies for growth by downloading the Financial Advisor SMART BOOK™.

This post is updated. The original post was published in 2017.

Personas represent the needs and behaviors of your ideal clients and are helpful in shaping your positioning and messaging.

We recently published the 2020 Edition of the Financial Advisor SMART BOOK™.  This resource is a comprehensive guide to help independent financial advisors build an ‘independent difference,’ that is, a strategy-led, systematic growth program with 9 proven strategies. The goal is to help advisors:

  • Increase Volume: Generate More Visits & Inquiries
  • Increase Client Value: Get Better Qualified Inquiries
  • Increase Velocity: Increase Conversion Rates
  • Increase AUM and Revenue: Optimize Engagement for AUM growth and Revenue Impact.

[Strategy 2 of 9] Valued Offering ~ Craft Market-Ready Service Offerings and Segment Messaging

You will be surprised how effective it is when you communicate offerings based on specific personas that represent the needs (or pain points) and behaviors of your best clients.

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Professional Selling

Build a technology platform to support your go-to-market strategy.

 

We recently published an enhanced edition of the Financial Advisor SMART BOOK. This resource is a comprehensive guide to help independent financial advisors build an ‘independent difference,’ that is, a strategy-led, systematic growth program with 9 proven strategies. The goal is to help advisors:

  • Increase Volume: Generate More Visits & Inquiries
  • Increase Client Value: Get Better Qualified Inquiries
  • Increase Velocity: Increase Conversion Rates
  • Increase AUM and Revenue: Optimize Engagement for AUM growth and Revenue Impact.

Read more

Brand Matters

Set yourself apart with an authentic and differentiated brand identity

We recently published the Financial Advisor SMART BOOK. This resource is a comprehensive guide to help independent financial advisors build an ‘independent difference,’ that is, a strategy-led, systematic growth program with 9 proven strategies. The goal is to help advisors:

  • Increase Volume: Generate More Visits & Inquiries
  • Increase Client Value: Get Better Qualified Inquiries
  • Increase Velocity: Increase Conversion Rates
  • Increase AUM and Revenue: Optimize Engagement for AUM growth and Revenue Impact.

[Strategy 4 of 9] Brand Presence: Craft a Distinctive Brand Identity and Digital Presence

Brand matters, but many advisors look and sound the same. You want your brand identity to tell a story and build trust in the hearts and minds of your prospective clients. Set yourself apart with an authentic and differentiated brand identity, collateral, and digital presence.

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Effective Asset Management buyer engagement begins with an understanding of the ideal customer or client and influencers for your products and services.

Your marketing success will depend on strategies and programs that rely on accurate identification and targeting of market segments. Depending on your business model, you will target a variety of different audiences. An asset management firm might consider top-level market segments like  Wirehouse FAs, Independent BD firms and independent/Fee Only RIAs and Hybrids. But these groupings do not go far enough to properly tailor your advisor engagement strategy. Engagement strategies will vary significantly across these groups and even further within each group. There are a wide range of advisor types and styles that you must consider when crafting an engagement strategy.

An effective advisor engagement strategy requires a deep understanding of how your investment offerings fit with the target groups, subsegments and the size and economics of each sector.

Yet too often, our marketing and communications efforts are not targeted towards the most promising target segments. The benefit of improved segmentation is the ability to drive sales by crafting differentiated communications, deploying customized marketing programs, aligning distribution strategies and improving marketing and sales focus.

So how do we identify our ideal advisors and influencers?

The answer is to segment the market around criteria that matter.

Understand segmentation and the factors in your business model that should determine the ‘ideal advisors’.

  • Segments should have similar preferences within each segment and distinct preferences between segments.
  • Segments should be actionable for purposes of marketing planning and sales execution.
  • Segments should consider a range of factors that matter to your offerings, (e,g.  financial viability in terms of size, scale, margins; investment style, e.g. discretionary vs non-discretionary, etc.)

Go beyond groups (like Wirehouse, Indy, RIA) and consider factors that distinguish advisor’s likely interest, fit and engagement styles. Examples you might consider are:

  • Advisor business model
  • Advisor value proposition (e.g., wealth manager, investment manager, stock picker)
  • End client interaction – proactive vs reactive
  • Portfolio Management Approach: discretionary vs non-discretionary
  • Product/Market Mix – expansive or niche/limited vs full portfolio
  • Current relationship – established vs new
  • Position among peers – opinion leader vs trend follower
  • Stage in career: Ramping up, established, finishing up
  • Organization: Lone wolf, small team, office
  • Specialization within team: relationship vs product leadership
  • Channel preferences: wholesaler vs online/self-directed
  • Communication preferences: email vs letter/newsletter vs brochure
  • Education: direct/wholesaler vs webinar/video/TV
  • Awareness model: advertising vs product search

Identify and focus on the segments that work for you

  • Reviewing existing and/or planned segments in light of your business model
  • Identify and measure Total Addressable Market (TAM) so you can better measure awareness and engagement levels
  • Prioritize your target audience (e.g., by discretionary/non-discretionary, firm size/AUM, shared attributes, etc.)
  • Identify target audience buyer composition (e.g., personas, DMUs (decision making units) and influencers

 

Content is the thread that connects marketing and selling.

Done correctly, content gives you the ability to:

  • Engage with your prospects
  • Advance their understanding that what you have to offer can make a difference to them
  • Eventually, convert them into buyers

Only by fully understanding your prospective buyers’ pain points, key challenges, intents, preferences, and more can you create content that truly resonates with them.

Let’s review some simple pointers that can help you create content of this kind.

START BY PUTTING YOURSELF IN YOUR PROSPECTS’ SHOES

Ask yourself if the content you’re creating and the experience it engenders is relevant, valuable, unique, compelling, provocative, exclusive, and/or enticing. In short, do something different.

To evaluate the quality of your content, ask yourself these telling questions:

  • Will our content help prospects address key problems and challenges they’re facing?
  • Will it provide them a framework to better evaluate their challenges and begin assessing approaches to solving them?
  • Will they interrupt what they’re doing to acquire and interact with our content at the point of our presenting it to them?

Unless your answers are yes, yes and yes, you’ve got more work to do.

THIS SHOULDN’T BE THE PROVINCE OF PRODUCT OR CORPORATE MARKETING.

60% to 80% of companies today, including those that pay homage to the importance of content, fail to experience success because they consign content strategy and development to Product or Corporate Marketing. In turn, those marketers allow product and brand messaging to define content’s composition. They develop creative messages that are often product- or brand-centric, and then they promote the content in calls-to-action across a host of digital and social media channels.

They’re creating monologues, not dialogs.

Our recommendation – invert the approach. Determine who to target and what’s important to them (their pain points, for example) and then develop your content before the campaigns and creative process begins. Then, and only then, develop creative that’s intended singularly to promote the content asset(s).

And always make sure that it’s your Demand Generation people who are leading the charge.

CONTENT ATOMIZATION – MAKING MORE OF WHAT YOU ALREADY HAVE.

Content “atomization” allows you to extend your content into component parts, thereby reinforcing your narrative and messages by serving up “bite-sized chunks” of information.

Using this technique, a single “pillar” content asset such as a white paper and be re-used in hundreds of different ways – as blog posts, infographics, webinars and more.

It’s the smart way to feed the machine.

BE GUIDED BY THE PRINCIPLE OF EQUITABLE EXCHANGE.

Effective content marketing is a function of nurturing a prospect from interest to commitment. In that context, it’s worth spending a minute on a concept known as Equitable Exchange – what are you going to give to your prospects and what are they willing to give you in return?

At the beginning of the buying cycle, you’re looking for permission to continue the dialogue. The prospects award you this in exchange for a non-obligatory content asset of perceived value. It may be a white paper or a sales aid – something that helps prospects gain insights, build knowledge and ultimately do their jobs more effectively.

Going forward, you’re looking for qualification and readiness, while your prospects are looking for solutions and credibility. The equitable exchange shifts to an often more obligatory value equation. Content can be case studies, tools and other assets of higher perceived value that can move the process along.

Just remember, content isn’t a tactic – it’s a strategy. It’s the strategic element that inspires your target audience to carry on a dialogue with you.

Download a copy of the Buyer Engagement eBook: “Exposed: The False Promises of Revenue Marketing”

Financial Advisor Marketing

Financial Advisors are an amazingly difficult prospect to engage. They are incredibly busy and already have a wealth of resources already available to them – do they even need to engage with wholesalers? The best way to convert financial advisors to customers is to build your marketing automation program around them.

Lead generation starts with effective segmentation

Before focusing on key strategies, Sales and Marketing must have defined a set of engagement personas and customer segments. Marketing has had personas for a decade but only since the advent of marketing automation software have engagement personas become empowered and brought to life.

Defining financial advisor segments for lead generation

Creating clarity with Sales is a two step process:

  1. Lead scoring – a measure of how active a financial advisor on your digital properties
  2. Lead grading – a measure of how profitable the financial advisor is likely to be

 

Advisor Marketing Focus

 

It may take several iterations to get lead scoring and grading optimized, however, the process should be fruitful for Sales and Marketing. The process crystallizes Marketing and Sales perspectives around which advisors are most profitable and which digital behaviors are believed to be most relevant to a sale. Some marketing automation vendors have one score that represents profitability and interest. However, being able to separate advisor behaviors from profitability factors simplifies discussions by clarifying customer segments by profitability as seen in the above graphic. As an example, Pardot applies a numerical value for an advisor’s lead score and a letter grade (A-F) for an advisor’s expected profitability.

Read more

Do you have the right foundation for advisor engagement?

We break down the resources and systems that asset management firms need for effective advisor engagement into four categories: 

  1. Brand: Do our firm’s brand positioning, visual communications and branded channels provide a communications platform for advisor engagement?
  2. People: Are our organization and talent prepared to effectively engage advisors across the end-to-end advisor lifecycle?
  3. Processes: Are we executing a closed-loop process to engage advisors across the end-to-end advisor lifecycle?
  4. Technology: Does our solution include the right “stack” of revenue technologies including digital channels, marketing automation, salesforce automation, data management and business intelligence/analytics?

These four resource categories make up what we call a “revenue system”. They form the foundation for advisor engagement and sustainable revenue execution. These resources need to be in place at a sufficient level of maturity to enable revenue teams to attract, nurture, deepen and expand advisor relationships and convert asset management sales.  Yet few asset management firms have the right mix of capabilities across these categories. Brand channels and communications, messaging and voice are often not competitively distinguished and consistently communicated. The organization and talent approach is often siloed, creating disjointed advisor engagement for self-directed advisors and revenue processes are not “closed-loop” where marketing activities and programs are tracked through sales, informing what’s working and how to re-shape program tactics. Finally, technology systems are often not fully integrated, thereby resulting in poor data quality and less-than-ideal automation effectiveness.

Today’s advisor lifecycle experience is fluid and self-directed. Messages and experiences must be consistently delivered across marketing and sales. Leaders recognize that marketing and sales teams come together to manage non-linear advisor journeys. So, what are the resources required for an effective revenue system?

We break down resources into a checklist of four systems categories for world-class advisor engagement.

 

Brand

Pervasive experiences, impressions and visual communications that reinforce a differentiated position.

  • Consistent brand identity and visual communications, including logo design, tone and imagery colors embodied in a consistent brand standard
  • Brand enablement of 3rd party distribution and direct channels including digital and direct.
  • The digital presence across web and social media – with consistent copy, content and visual identity

People

Organization and talent that bring a holistic understanding of the integrated front office and teamwork.

  • Revenue-first organization that puts advisor experience first
  • Collaborative culture
  • Innovation focus
  • Technology and digital savvy
  • Recruiting and talent development
  • Metrics and incentives to reinforce the right behaviors

Processes

A continuous closed-loop process that eliminates “marketing” and “sales”  language in favor of a revenue-focused approach and process.

  • A closed-loop process that recognizes the continuous and non-linear engagement of today’s financial advisors, teams and influencer communities
  • Embracing the concepts of equitable exchange and permission marketing to deliver value in exchange for value
  • Orchestration of advisor engagement strategies for high profile/high value accounts
  • Closed-loop tracking and intelligence about what is working and not working across the lifecycle engagement model
  • Enabling content and resources that support real time aadvisor engagement and that addresses true persona needs and pain points.

 

Technology

Marketing and technology stack that includes applications for marketing, sales and data management.

  • Channel Platforms (web, social advertising, PR)
  • Marketing Automation & Tools
  • Sales Force Automation
  • Data Management
  • Business Intelligence Analytics

 

Download a copy of the Buyer Engagement eBook: “Exposed: The False Promises of Revenue Marketing”