We’ve all seen the headlines: the greatest wealth transfer in human history is coming and predictions say that financial professionals could lose as much as 90-95% of their intergenerational clients once the dust has settled. As we prepare for this generational shift of assets amongst clients and prospects, a key success factor for advisors will be their ability to engage and attract new Millennial clients while at the same time retaining the business of the Millennial heirs to the existing Baby Boomer and GenX clients.
But the multi-million-dollar question remains: How can you better prepare your practice to weather this “winter is coming” moment in the financial services industry? My best advice: Embrace the technology that is necessary to bring success with this younger generation of investors. According to a recent study, Millennials learn differently because of their lifelong relationship with technology, and to speak their language, you’ll need to create your own relationship with technology. By engaging Millennials through the social platforms they use, you’ll create opportunities from these future challenges so that you can not only be prepared, but stay ahead of the game.
MAKING THE CONNECTION
It’s easy to come off as hyperbolic when singing the praises of technology as a cure-all for the challenges facing the advisory community. However, when it comes to retaining clients or converting Millennial clients, it’s important to understand that technology is all about making a connection. Whether you want to utilize technology for marketing or managing your Millennial clients and prospects, engaging through the platform they’re using is paramount – especially since they’ve already completely immersed themselves. In order to connect with them, you must live in their world.
But the technological landscape can be daunting, even for the early adopter. One of the biggest challenges for an advisor who hasn’t started implementing strategies to attract Millennials is not knowing where to begin. In response, we’ve compiled four technology-driven practices that we see advisors using successfully to both pursue millennial clients and strengthen existing relationships.
FOUR TECHNOLOGY PRACTICES TO EMBRACE
The more knowledgeable you are about trending technologies, the more resources you can use to attract and service younger investors. Although the time frame of the great wealth transfer does allow for a little trial-and-error in choosing which technologies will work best for you, the urgency of remaining a viable option for millennial clients is only increasing. Now is the best time to begin transforming your business through technology to create a model that offers Millennials what we all seek: a deeper and more meaningful connection with clients of all ages.