Can digital advice forge stronger client relationships?

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3 minute read 14 Sep 2018
By

Nalika Nanayakkara

WAM US Advisory Leader

Wealth and Asset management industry leader. Passionate about innovative market solutions as well as helping underserved demographic groups get the financial advice they need.

3 minute read 14 Sep 2018

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Success in the age of the customer relies on the harmony of both digital and human advice.

Wealth management is on the cusp of a digital transformation, with all its opportunities and ruthless ramifications. More and more, clients want online tools and mobile functionality as well as a seamless customer experience that is fast, convenient and intuitive.

With investment in innovation and digitization, wealth managers can launch their operations toward the next horizon of growth by upgrading client touch points and overhauling their value propositions.

The insights you develop today and your near-term decisions can lead you to seize growth opportunities tomorrow and shape a brighter future – for both your clients and your firm.

How is digital impacting advice and service delivery?

How is digital impacting advice and service delivery?
How is digital impacting advice and service delivery?

Why is hybrid the ideal advice model to meet client needs?

Implementing a successful hybrid model requires deep understanding of clients and the ability to deliver the services they need through the channels they prefer. The benefits include:

  • Broader spectrum of offerings
  • Flexibility to choose digital or human advice
  • Greater focus on clients' financial well-being
  • Stronger relationships

How will digital advice models impact the role of financial advisors?

As more clients turn to digital advice channels, advisors must focus on relationship building, goals-based planning and the overall financial well-being of their clients. By serving as “financial therapists,” advisors can enhance client experience and gain a competitive edge.

Priorities for achieving a successful digital advice strategy

  • Focus on client experience
    Develop a customer-centric digital advice strategy and design, identifying which services are most meaningful and attractive to your customers.

  • Balance service delivery
    Determine which services to automate, making certain your model offers a balance of digital and personal advice.

  • Capitalize on the advantages
    Leverage the perks of automated advice including accessibility, scale, consistent auditable outcomes, advisor productivity and the focus on value creation.

  • Modernize the advisor’s role
    Help shift advisors’ focus toward value-adding activities, like goals-based investing, financial planning and education.

  • Optimize digital marketing technology
    Implement the use of digital marketing technology including financial education, mobile enablement and social media management systems.

  • Prepare for challenges
    Anticipate how adopting a new model, along with increased use of technology, will impact business and operating models and culture.

  • Remember the rules
    Engage regulators around your proposed hybrid advice model, securing necessary approvals.

Summary

Client preference for digital channels and pressure to grow revenue mean you must rethink strategies, operations and technologies. 

About this article

By

Nalika Nanayakkara

WAM US Advisory Leader

Wealth and Asset management industry leader. Passionate about innovative market solutions as well as helping underserved demographic groups get the financial advice they need.