Clients expect new communication methods to persist post-pandemic

If you changed your client communication methods in response to Covid-19, your clients may want to make that change permanent.

Of investors who used new communication methods with their advisors since the pandemic, 62% said they expected to fully or partially maintain those new methods after the pandemic ends, says a client survey from New York–based Broadridge Financial Solutions, Inc., a global fintech firm.

More than half of those surveyed (57%) had used new communication methods with their advisors, the survey found.

Video chat was cited by more than one-third (36%), with millennial investors most likely to use video chat with their advisors (59%).

Still, only 9% of overall respondents preferred that method above all others.

Phone calls and email were cited as new communication methods by 58% and 46% of clients, respectively.

The survey also provided insights about improving advisory services.

When asked what they like to see in communications from advisors, clients said they preferred a customized approach. For example, about one-third (32%) wanted tailored money-saving tips and ideas about new investment vehicles that could work for them. Just under one-third (29%) wanted a personalized analysis of investing habits.

Advisors may also want to consider leveraging social media — especially to serve younger clients.

The majority of millennial (87%) and gen Z (86%) clients said they were comfortable having an advisor follow them on social media to offer a more customized experience. In contrast, 60% of gen X and 20% of baby boomers were comfortable.

Millennials (87%) and gen Z (86%) were also most likely to be receptive to reading advisor communications on social media, compared to gen X (59%) and baby boomers (18%).

Advisors can also consider reaching out to clients’ families. Four in ten clients (44%) said their advisors hadn’t communicated with their spouses, partners, children or heirs.

“With clients spending more time at home due to the pandemic, advisors have a once-in-a-lifetime opportunity to develop a deeper relationship with their client’s entire family,” said Michael Alexander, president of wealth management at Broadridge, in a release.

“It doesn’t have to be more complicated than a video conference,” Alexander said. “This is a natural moment to engage, educate and communicate with spouses, partners and children.”

The survey of 1,000 clients who currently use financial advisors in Canada and the U.S. was fielded in June 2020 by market research firm Engine.

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.