How to Achieve Personalization in Wealth Management


Brought to you by WBR Insights

(Image source:

Personalization is everywhere, and customers are being inexorably drawn towards brands that can tailor experiences specifically to them. Wealth management is no exception — but let's have a quick look at retail statistics to see just how big the effect can be.

When their experience is personalized, shoppers are 40% more likely to spend a larger amount than they initially planned. Being confronted with personalized offers and product recommendations naturally increases the chances of them spotting more items that appeal to them. In fact, they are twice as likely to add an item to their basket if they identify the shopping experience as highly personalized.

The impact of personalization is clear, and industries such as retail have been seeing great results from the practice. Wealth management has been a little slower to the party, but 2020 is the year we can expect to see the industry finally unlock the power of personalization.

Wealth Management and Personalization

We live in an era where digital customers make decisions on the fly — often on mobile devices or other digital channels. This means wealth managers need to strike when the iron is hot with personalized marketing and take advantage of those small decision-making windows.

The rise of the robo-advisor has been the first barrage to be released in this war. Back in 2016 nearly half of wealth managers didn't believe an AI could provide financial advice or optimize and manage a person's assets and investments as well as a human advisor could. However, in the three years that followed, the number of wealth managers who do believe in the power of AI to deliver financial advice has risen to nearly three quarters.

While workers in many industries have long feared robots coming for their jobs, this doesn't have to be the case. AI-powered robo-advisors exist to supplement the human advisor role rather than replace them, providing greater efficiency, increased regulatory compliance, reduced costs, and pathways to new and exciting tech-based products and services. With robo-advisors handling a chunk of the heavy lifting, it frees up human advisors to focus on those clients and issues which benefit from the human touch.

"When companies adopt the right new technologies for their business, many exciting opportunities are presented, and new benefits surfaced," writes Katherine Wilson for Illuminate Financial on Medium. "Whether this is improving the productivity and happiness of staff who are freed from repetitive manual work, allowing managers to sleep better knowing their operations are compliant, or discovering new possibilities to get ahead of the competition and offer a better service to their clients — the list goes on, and it can be a win-win for all stakeholders."

Beyond Robo-Advisors

While robo-advisor and AI technology allows wealth management firms to deliver tailored advice — both digitally and face to face — it only scratches the surface of what is possible with personalization. What we've covered so far helps brands differentiate themselves through customer experience, but what about customer acquisition and conversion?

Into this space steps marketing automation for personalized messaging, delivering tailored content based on browsing behavior as well as personalized landing pages based on sophisticated buyer personas. Being able to deliver personalized experiences the very first time a prospect engages with your brand begins the relationship-building process from that moment. Then, as that relationship deepens through the continued use of personalized marketing, prospects begin to trust your brand and will look to you when they are ready to avail themselves of your services. This is inbound marketing 101 for sure, but with personalization, it becomes more efficient than ever.

And the modern customer doesn't just desire personalization — they expect it. If your wealth management firm isn't doing everything possible to deliver those kinds of experiences, customers will have no problem seeking out your competitors. Personalization goes beyond knowing their names and using technology such as robo-advisors; it's about making every interaction with your brand feel like it has been tailored just for them and that your wealth management firm truly understands their specific needs.

"Any great salesperson or account manager will know their conversion rates and relationships improve the better they know the person they are dealing with," continues Wilson. "For the person on the other side of the table, how awesome is it when a service provider seems to immediately understand what you are looking for and helps you quickly find the product or help you need!"

Final Thoughts

Personalization is the future, and it's going to continue to be the key brand differentiator which sets one wealth management firm apart from another. If you can treat each client as an individual and tailor their experience with personalized services and marketing, you stand the best chance of acquiring and retaining their business.

Personalization is set to be a hot topic at Digital Wealth 2020, taking place in May at The Ritz-Carlton Fort Lauderdale, FL.

Download the agenda today for more information and insights.

WBR Insights is the custom research division of Worldwide Business Research (WBR). Our mission is to help inform and educate key stakeholders with research-based whitepapers, webinars, digital summits, and other thought-leadership assets while achieving our clients' strategic goals.

Return to Blog