3 ways to supercharge your IFA business with fintech

IFA businesses are adopting fintech at a rapid pace. Use it to give your business a boost!

There have been a lot of changes within the financial services industry recently. Due to the uptake of new technology, changing client demands, and more competition, no one can afford to be complacent. The employment rate in the financial advisory industry is set to increase by 7% by 2028 according to the US Bureau of Labour Statistics. Competition isn’t limited to rival firms anymore. Developments in financial technology (fintech) has created a new competitor for financial advisors: the robo-advisor. It isn’t a surprise that 60% of advisors claim that attracting new clients is their main challenge.

To stand out, financial advisors must incorporate new technology into their business model. While fintech may have created some of the challenges, it may also be the solution. 53% of small firms and 70% of large firms plan to invest in technology in 2019. Read on to discover the top 3 ways that fintech could help grow your business. 

1. Free up time for high-value work

There are some tasks that a self-service platform can’t do. Three-quarters of clients are concerned about a prolonged market downturn. Only a financial advisor can understand their concerns on an emotional level. They may need to spend more time supporting clients who are feeling uneasy about the state of today’s economy. However, it can be difficult to spend more time with clients when you’re buried under a mountain of admin work. That’s why 17% of financial advisory firms are investing in fintech. Automating regular tasks like admin work or portfolio rebalancing gives employees more time to spend on building customer trust and loyalty.

Many IFA businesses are also adopting a hybrid approach to reduce the number of customer service calls they receive. Live chat and automated messaging software is being used to respond to common customer queries. It can even send clients to relevant webpages and resources where they can find more information. When the time is right, the chatbot will connect the client to an advisor. Firms can tailor their automated service funnel to suit their customers’ needs. Rather than fear robo-advisors, these savvy firms are incorporating them into their customer experience strategy. By doing so, not only are advisors freeing up more of their own time, they are also saving their customers’ time. 

Tip: supercharge your customer service with Ibby’s cobrowsing software. The dual cursor technology will allow you to browse with your customers in real-time so you can guide them through complex processes, increase online conversions and reduce the number of drop-offs. Combine this with live chat for an outstanding customer service experience.

2. Know what clients want before they do

Financial advisors expect fintech to disrupt the service they provide to clients. When surveyed, advisors claimed that emerging technology is changing their role and clients’ expectations. Advisors expect future clients to turn to them for help to plan their financial investments and educate them, rather than simply manage their finances. IFA businesses must have an in-depth knowledge of their clients before they can offer strategic advice.

Advisors are turning to software that tracks clients’ situations and will help them gain an in-depth understanding of what advice clients need, both now and in the future. For many, this means investing in a smart CRM system. Collating customer data from multiple touchpoints in one place allows advisors to better support their customers. The right software can provide advisors with the context they need to give strategic advice. If a client doesn’t think their advisor understands their needs, they may decide to look elsewhere for financial advice.

CRM software that can keep up with the advances in messaging is in high demand in the financial sector. Gone are the days when customers would call between 9 am – 5 pm to discuss their account. Today, clients expect to reach their financial advisor by email, live chat, SMS and social media. Advances in CRM tools makes it possible to capture client conversations across multiple messaging platforms and record them against each person’s profile. This data creates robust client profiles that can be used to personalise communications. Advisors can now engage with customers at key times in their lifecycle using automated messaging. This can include simple things automated messages on birthdays as a nice gesture for clients, or automatically contact and re-engage former customers whose business has lapsed.

Advisors can also use this information to be more proactive. If they understand customers’ interests and financial goals, they can reach out to high-value clients to offer support when it’s needed. This can help build client loyalty and improve customer retention.

Ibby’s CRM will keep all client records in one place so you can access the information you need to support clients and build customer loyalty. Its advanced messaging software allows you to contact customers on live chat, SMS, email and Facebook Messenger!

3. Generate leads at scale

Growing a business in the financial services industry can be challenging. Especially if you are a smaller IFA business that may not have the same resources as a larger firm. Potential clients don’t always stick to standard office hours when they contact you. Then, when you contact a new business lead, you could end up wasting time if they are unsuitable. 

Financial advisors can use automated solutions to increase the volume of quality new business leads and make it easier to follow-up on potential clients. Chatbots are a handy way to capture leads 24/7 and add potential customers’ details directly to the CRM. Once in the system, automated tasks can be set-up to assign a team member ownership of each lead. An automated workflow can be created to send a message to new business leads after they have submitted their enquiry. Acknowledging their submission is a great way to start building a strong relationship right from the first interaction.

Advisors can also cut down on the number of poor leads they receive by using automated chat templates to ask pre-qualifying questions. This lets them focus on nurturing valuable leads and turning them into customers. 

Take the next step with Ibby

At Ibby, we are combining the latest tech for IFA businesses and financial advisors to revamp their customer journey. From chatbots to messaging workflows, open banking features and co-browsing – we can empower your team and your funnel to maximise sales and support.

Sign up to start your free trial and discover the power of conversational automations for financial advice.


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