Although virtual meetings via platforms like Zoom have gained traction due to their convenience and the expanded reach they offer advisors, clients are increasingly favoring email as 73% of respondents cited email as their preferred mode of communication. Generational differences are evident in communication preferences, with older and retired clients embracing text messages and Zoom meetings, while millennials tend to favor email and have more difficulty expanding to new methods of communication.
Some clients have turned to robo-advisors as an alternative due to their sensitivity towards fees, especially during market downturns. These robo-advisors are allowing clients to reduce their investment management costs due to the lower fees. The study shows the importance of frequent and direct communication, addressing the root of clients’ concerns, and demonstrating value beyond portfolio performance and fees to maintain client satisfaction.
Market fluctuations after the pandemic have accelerated clients’ exploration of new financial advisors, with a significant proportion considering or making the switch. Advisors must adapt their communication strategies, enhance portfolio performance, and address fee-related concerns to ensure client retention and satisfaction.
At Oak and Stone, our advisor services offer the solutions advisors need to enhance portfolio performance, adapt communication strategies, and address fee-related concerns effectively.
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