GROW REVENUE, GENERATE MORE REFERRALS & REDUCE …€¦ · grow revenue, generate more referrals &...

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How Successful Wealth Management Firms Leverage Technology to Create A Superior Client Experience GROW REVENUE, GENERATE MORE REFERRALS & REDUCE OPERATING COST

Transcript of GROW REVENUE, GENERATE MORE REFERRALS & REDUCE …€¦ · grow revenue, generate more referrals &...

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How Successful Wealth Management Firms Leverage Technology to Create A Superior Client Experience

GROW REVENUE, GENERATE MORE REFERRALS & REDUCE OPERATING COST

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CONTENTS

INTRODUCTION 3

1. UNDERSTAND THE DIGITAL PREFERENCES OF TODAY’S CLIENT 4

2. LEVERAGE TECHNOLOGY TO REDUCE RISKS 6

3. CREATE AN ON-DEMAND EXPERIENCE FOR CLIENT MEETINGS 8

4. CREATE A 360 DEGREE VIEW OF THE CLIENT 10

THREE USE CASES 11

AN 800 CLIENT WEALTH MANAGEMENT FIRM: BETTER CLIENT DATA CREATES A BETTER CLIENT EXPERIENCE 12

A TOP 20 GLOBAL ASSET MANAGEMENT FIRM: ELIMINATES PERFORMANCE ISSUES & GIVES ADVISORS SPEED 14

A 400 CLIENT WEALTH MANAGEMENT FIRM: HIGH TOUCH CLIENT ACTIVITIES REQUIRE SOUND TOOLS 17

CONCLUSION & SUMMARY 19

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INTRODUCTION

New technology innovations continue to impact how Private

Wealth Management firms engage their clients, Advisors, their

markets and the competition. Competition among wealth

management services has intensified. Regional banks, online

brokers, and nonfinancial players such as Fintech Firms are now

scrambling for client’s attention. [BCG] Exchange-traded funds and

other investment vehicles offer low-cost alternatives to higher-

margin products. The new vehicles are attractive when actively

managed funds haven’t delivered enough return to justify their

higher cost. [BCG]

Successful wealth management firms are leveraging technology

to create a client experience where Advisors and Relationship

Managers can be more attentive and available to their clients

based upon their digital preferences. Making the smallest

improvement can have a significant impact on client acquisition,

retention, growth and reputation.

ZynBit is a leading provider of simple, smart and seamless software

designed to change the way wealth management firms and their

clients operate and interact. This eBook explores the role that

ZynBit plays from the viewpoint of three financial services firms

to mitigate regulatory risks, deliver a superior client experience,

acquire and retain Clients and create operational excellence.

Based upon the experiences of wealth management customers,

we have identified four primary ways that Successful Wealth

Management firms can create an excellent client experience that

surpasses the competition.

1 UNDERSTAND THE DIGITAL PREFERENCES OF TODAY’S CLIENT GO TO SECTION

2 LEVERAGE TECHNOLOGY TO REDUCE RISKS GO TO SECTION

3 CREATE AN ON-DEMAND EXPERIENCE FOR CLIENT MEETINGS GO TO SECTION

4 CREATE A 360 DEGREE VIEW OF THE CLIENT GO TO SECTION

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1

UNDERSTAND THE DIGITAL PREFERENCES OF TODAY’S CLIENT

Today’s clients want an on-demand service that puts control in

their hands to decide when and how often they have access to

their Financial Advisors.

TWO KEY CLIENT COMMUNICATION PREFERENCES

The Upcoming Generation of wealthy clients expect

Advisors to mirror their around the clock lifestyle.

Today clients move at a fast pace and therefore need

communication available to them via many channels.

[BCG. Global Wealth 2017: Transforming the Client Experience. 2017]

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The new generations of wealthy clients are more technically savvy

than earlier generations. Individuals with high net worth want a

digital experience that stays with them across all communication

channels.

THREE WAYS HIGH WEALTH CLIENTS USE TECHNOLOGY AS A COMMUNICATION CHANNEL.

They demand full use of digital infrastructure capabilities.

Clients use multiple devices, for five or more hours a day.

IQ69% of high net worth individuals have a high level

of digital literacy.

[PwC: “Sink or Swim: Why Wealth Management Can’t Afford to Miss the Digital Wave.” 2016. ] [EY Wealth Management Outlook - 2018]

Advisors and Relationship Managers need to consistently and

repeatedly assess the digital preferences of clients and alter

their communication work processes to accommodates for the

client's preferred methods. A firm’s ability to fulfill and adapt

to client preferences go a long way to creating experiences and

relationships that last and generate more referrals. Successful

Wealth Management Firms are ready to deliver on these

expectations and they use technology to get there. Most firms

have been leveraging CRM applications to track client information,

however these applications historically have low adoption rates

by Advisors and RMs as it provides little value to the actual client

experience and efficiency of the business. Technology such as

ZynBit exists today to put the focus back on the client experience

and excellence in practice management.

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2

LEVERAGE TECHNOLOGY TO REDUCE RISKS

In recent discussions with wealth management customers, the

ability to continue to use technology to mitigate risks and stay in

compliance is key to making sure that Advisors and Relationship

Managers can stay on the task of servicing the clients.

According to Deloitte, there are five main key risks that wealth

management and their parent companies face. We will cover

four out of the five from the technology viewpoint.

» OPERATIONAL

» COMPLIANCE

» REPUTATION

» STRATEGIC

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OPERATIONALOperations is at the core of how all client data, activities, and

assets are managed. If a firm’s operations are not streamlined and

the appropriate technologies are not in place to manage the day

to day operations, this can leave a gaping hole that can surface

big risk to the business. In this eBook is a use case from a leading

wealth management firm where technology is at the center

of their back-office operations, information management and

regulatory reporting. GO TO USE CASE

COMPLIANCEAdvisors and RMs have an established set of governance and code

of ethics that they must uphold. To maintain this, Advisors must

invest significant time in continuing education and monitoring.

Applications and tools exist for Advisors to offload many

administrative tasks and monitoring to free them up to maintain

high levels of compliance.

REPUTATION Client interaction is at the core of profitability for firms. With each

interaction, Advisors need to be well- versed in trading practices,

portfolio management, and investment guidance to clients. As

noted in sections above, the client expectations are demanding

and if firms are not well equipped to meet those demands, client

experience will suffer and so will the firm’s reputation. This

eBook contains a use case, where FinTech has been implemented

to streamline the client interaction and experience. This allows

Advisors to increase the number of meetings with clients without

jeopardizing the client experience and provide self-service tools

that give the client a more on-demand experience.

STRATEGIC With the increase in self service options and rising competition,

firms are looking at how they can be more strategic. By removing

the obstacles around data management requirements, and

information management, firms can invest in their sales/marketing

efforts. FinTech plays a leading role in how firms can effectively

executive on sales/marketing strategies to grow their business, for

example, the ability to translate web leads to booked meetings for

Advisors with an on-demand client experience.

Mitigating risk will always have critical impact on practice

management. Technology will play the lead role in how firms

continue to reduce risks in the four areas of operations,

compliance, reputation and strategy. Without the right technology

in place to manage this, firms could be increasing their risk vs.

reducing them.

“ When Technology can perform the work of reducing risks and staying compliant, the firm can focus on revenue generating activities.”

COURTNEY ROBERTS

CHIEF OPERATIONS OFFICER -BARBER FINANCIAL GROUP

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3

CREATE AN ON-DEMAND EXPERIENCE FOR CLIENT MEETINGS

With the pressure to reduce costs, the trend has been for client-

facing wealth management teams to work with more clients.

One Wealth Advisor can meet with 521 households a year.

That’s the average that a Barron’s study reported in 2016.

[Greenspring Advisors. “How many Clients Does Your Advisor Work With?”]

Let’s put that in perspective. Wealth Advisors typically meet

with each household three times a year. That is 1,563 client

meetings per Advisor.

To set up one meeting requires five touches. It requires back-

and-forth emails to set times and dates. It also requires phone

calls to confirm.

The year has only 250 business days, so the average Advisor

manages 6.2 meetings per day.

TYPICAL WEALTH ADVISOR CLIENT CONTACTS BREAKDOWN

1,563

CLIENT MEETINGS A YEAR

521 HOUSEHOLDS

1 WEALTH ADVISOR

6.2 CLIENT MEETINGS PER DAY

TOUCHES TO SET UP ONE MEETING

5

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HOW IS THIS POSSIBLE?

Firms are relying on technology in their operations to improve

efficiency and productivity. They’re also doing so to improve the

quality of service and to reduce operational risk. Wealth managers

themselves look to smart innovation to enhance the client

experience and to improve operating efficiency. [Technology and Operations

Trends, 2018]

Wealth managers can shortcut the normal back-and-forth

communications when it comes to scheduling and confirming client

meetings. They can do so by making their real-time availability

displayed to clients through a simply to use personalized calendar

booking experience that puts control in the hands of the client.

With technology, BCG says, wealth managers can “design

advanced, high-impact client journeys from front to back —

creating a new generation, 2.0 version of the client experience.”

Nevertheless, BCG says, many firms “have failed to provide even a

minimum level of client-facing digital technology.” [BCG]

REAL-TIME

CALENDAR AVAILABILITY AND CLIENT SCHEDULING

SALES

ENABLEMENT

SYNC

CLIENT ACTIVITY DATA TO CRM

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4

CREATE A 360 DEGREE VIEW OF THE CLIENT

Having a 360-degree view means having the ability to capture all

client activity information in a single view readily available to the

entire organization.

Centralized Client data and information is a critical path towards

team agility. Client data, insights, and preferences should be only

a click away for the entire team and easily accessibly within the

work environments where Advisors and relationship managers live.

Barber Financial, a successful wealth management firm with over

800 clients uses this centralized team approach. With centralized

Client information and communication feeding into Salesforce and

using ZynBit to capture and collect the Client activity data, they

now have an environment where the entire team can service the

Client in a way that is simple to use and fast and efficient to the client. GO TO USE CASE

McKinsey’s study noted that the most successful firms were

more likely to work as part of a team than as a sole practitioner.

[McKinsey, State of Retail Wealth Management] To work effectively in such cross-

functional teams, firms must record all their interactions with each

client. They must store them in a secure manner that’s accessible

to all team members. The client record must track preferences

of individual clients. It should identify which clients prefer to

hold formal meetings in the firm’s office, versus more relaxed

settings. Firms are beginning to see that they must provide a

variety of client experiences to attract and engage with a variety of

investors,” says strategy and marketing advisor April Rudin. “Every

single client wants to be understood and serviced in a customized

fashion….” [April Rudin. “2018 Outlook for US Wealth Management: ‘The Year of the Client.’” ]

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THREE USE CASES

HOW 3 LEADING FIRMS ARE LEVERAGING SIMPLE & SMART TOOLS FOR SUPERIOR CLIENT EXPERIENCE

ZynBit helps wealth management firms provide a better client

experience. We do so by providing reliable, efficient ways to

gather virtually all forms of communications with clients. The

communication channels may include… Email, Phone Calls,

Meetings, Events. ZynBit is a simple solution to seamlessly

collect, track and analyze client activity data, increase Advisor

productivity and create an excellent client experience.

With ZynBit, client activity data is automatically captured at the

source and providing it back to the client information repository-

commonly Salesforce (or other CRM Tools). With such data stored

centrally, members of an extended client-support team can view

all historical activity with a client, across all channels.

The best way that Wealth Management firms can assess what

technology they need to improve the client experience, improve

productivity, and achieve operational excellence is by learning how

other firms have found success to achieve these goals.

Keep reading to find three use cases:

AN 800 CLIENT WEALTH MANAGEMENT FIRM:

BETTER CLIENT DATA CREATES A BETTER

CLIENT EXPERIENCE GO TO USE CASE

A TOP 20 GLOBAL ASSET MANAGEMENT FIRM:

ELIMINATES PERFORMANCE ISSUES AND GIVES

ADVISORS SPEED GO TO USE CASE

A 400 CLIENT WEALTH MANAGEMENT FIRM:

HIGH TOUCH CLIENT ACTIVITIES REQUIRE

SOUND TOOLS GO TO USE CASE

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Barber is a wealth management firm that serves about 800 clients from its home office in Lenaxa,

Kansas. The company has more than 35 employees. It has been using Salesforce.com as its CRM system

since 2010.

Barber advisors focus on three elements to ensure a strong Client Experience:

1. A Client Operations group books meeting with clients. They achieve the right cadence and frequency of meetings. They manage technologies to schedule meetings and to collect appropriate data from communications.

2. A relationship team reviews data from prior client meetings to be sure Advisors are aligned with the goals clients have shared in prior communications.

3. Wealth Advisors have more time to spend with clients. They lose less client-facing time to administrative overhead. They have more time for networking and prospecting.

800 CLIENT WEALTH MANAGEMENT FIRM

BETTER CLIENT DATA CREATES A BETTER CLIENT EXPERIENCE

INDUSTRY

Financial Services |

Wealth Management

FAST FACTS

Founded in 1996

35+ employees

800+ Clients

Using Salesforce since 2010

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BEFORE ZYNBIT

AFTER ZYNBIT

The firm require 5 touches to schedule a single meeting The firm requires an average of just one touch to schedule a

single meeting

Clients couldn't pick their own meeting times, so the

scheduling process required too much back-and-forth.

Clients can easily pick their preferred meeting time from a

shared digital calendar. ZynBit captures the meeting in both

Outlook and Salesforce.

The firm used manual processes to capture interactions

with clients. They cut and pasted text between Outlook and

Salesforce.com.

ZynBit automatically syncs the records of all interactions

with clients, including emails, phone calls, and events.

The client history in Salesforce was incomplete. Reporting

was weak. The business faced regulatory risks.

Barber has a complete and reliable picture of client activity

in a single place. Client activity reporting is strong. The risk of

regulatory noncompliance is greatly reduced.

800 CLIENT WEALTH MANAGEMENT FIRM

" With ZynBit, we can maintain a high level of operational efficiency that serves our clients with the best experience. We also have more data to understand how many times we are meeting with clients and making sure they are getting the attention they need so we can retain and build our client base."

COURTNEY ROBERTS

CHIEF OPERATIONS OFFICER - BARBER FINANCIAL GROUP

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A Top 20 Global Asset Management Firm began implementing Salesforce in 2015 with a 3- year plan

to replace several legacy, homegrown Client management systems. Over the next 2 years, phased

Salesforce in to their workforce of over 5000 Financial Advisors and their support staff. As part of their

Salesforce implementation, Salesforce for Outlook was the link between email communications and

the CRM for sales force productivity but lacked breadth and performance. The organization quickly

began to evaluate more advanced sales enablement technologies which could also enhance the Client

experience and capture more Client relationship history.

Today, this leading global firm is standardizing on ZynBit to get the job done.

TOP 20 GLOBAL ASSET MANAGEMENT FIRM

ELIMINATES PERFORMANCE ISSUES & GIVES ADVISORS SPEED

INDUSTRY

Global Asset Management

FAST FACTS

5000 Financial Advisors

and their support staff.

Using Salesforce since 2015

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BEFORE ZYNBIT

AFTER ZYNBIT

Outlook Desktop Performance Issues ZynBit eliminates performance issues and gives Advisors

speed

IT Helpdesk Tickets Unmanageable ZynBit eliminates friction between the business and IT

Advisor Productivity Down vs Up Advisors have more time with Clients and spend less time

fighting with technology and clerical tasks in Salesforce

Lack of Client History for compliance and continuity Client records and complete and accurate for better service,

compliance and continuity

Need for Better Client Experience with Booking

Appointments and Annual Reviews

Happy Clients with more new appointments booked and

increased opportunity pipeline. Automation for booking

client annual reviews

No Support for Mobile Interface Mobility and convenience for Advisors when their away from

the office.

Ability for Alternative to solutions to meet highly regulated

Information Security requirements

Critical corporate data is secure and protected from external

threats

TOP 20 GLOBAL ASSET MANAGEMENT FIRM

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The firm puts high value on its Client experience, lasting relationships and Advisor productivity. Like every other workforce, Advisors

need solutions which are simple and intuitive. The technologies they use need to be seamless and smart. The firm’s CRM leadership team

identified this as an opportunity to select a more wholistic solution which could consolidate many of their requirements with one solution

that is simple for Advisors, seamless for IT and provides a smarter, more elegant Client experience.

Before ZynBit, IT struggled to support Salesforce for Outlook as it was desktop software which had to be installed and continuously updated

across 1000’s of devices. Helpdesk tickets were growing and Advisors became frustrated as they continuously had to work in multiple

systems to document and update Client interactions and opportunities.

Worse, Advisors were actually losing productivity due to performance issues. The organization was struggling to get beyond the basic

blocking and tackling of Client relationship management in order to recognize the individual and organizational value and return they

expected for their investment.

BENEFITS WITH ZYNBIT

A meeting booking process

that removes friction in the

scheduling process for an

optimal client experience.

Syncing of Salesforce records is easier

to manage and ZynBit eliminates

unnecessary administration to

maintain strong data integrity.

Advisors can spend their

time focused on the client

experience and getting

referrals for new business.

TOP 20 GLOBAL ASSET MANAGEMENT FIRM

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A wealth management firm that serves more than 400 clients. The company’s five Advisors work with

clients in 17 states.

They have been using Salesforce.com since 2012.

Problem:

The firm faces risks to their business when key client interactions are not recorded properly.

Furthermore, they need client meetings to be properly scheduled, recorded in Salesforce, and available

to Advisors in Outlook and on their mobile, so no client meeting is ever overlooked.

400 CLIENT WEALTH MANAGEMENT FIRM

HIGH TOUCH CLIENT ACTIVITIES REQUIRE SOUND TOOLS

INDUSTRY

Financial Services |

Wealth Management

FAST FACTS

5 Wealth Advisors

400+ Clients

Using Salesforce since 2012

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BEFORE ZYNBIT

AFTER ZYNBIT

The firm used a tool that synced information unreliably

between Outlook and Salesforce.

ZynBit reliably syncs information between Outlook and

Salesforce.

They often missed meetings and gathered incomplete

information from communications with clients.

Advisors now spend less time on non-revenue activites. They

spend most of their time interacting with clients. They also

spend more time generating new business.

They no longer miss client meetings.

Their client reports are complete.

400 CLIENT WEALTH MANAGEMENT FIRM

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CONCLUSION & SUMMARY

With the many changes buffeting the business of wealth

management, select firms will thrive by delivering a strong

client experience.

Financial and regulatory pressures are forcing firms to find ways

that improve their client experience efficiently and cost-effectively.

ZYNBIT FOR WEALTH MANAGEMENT FIRMS

ZynBit builds intelligent automation for the next generation of

Wealth Advisors focused on revenue growth while delivering a

superior client experience. We help companies leverage real-time

information to out maneuver the competition and acquire and

retain your ideal clients.

ZynBit is focused on providing financial services firms with the

best technology to grow revenue, increase client referrals and

achieve operational excellence.

Learn more about how you can test the ZynBit application for your organization at https://app.zynbit.com/Account/Register

OVER 5,000

FINANCIAL SERVICE PROFESSIONALS USE ZYNBIT

OVER 90

FINANCIAL SERVICES FIRMS USE ZYNBIT

OVER 300

RATINGS

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@ ZynBit, 2018