Breaking Through the Noise: How Fintechs Can Market Effectively to Financial Advisors
Grow Intentionly
September 3, 2024
The fintech landscape has transitioned from rapid expansion to a focus on sustainable, profitable growth. McKinsey’s research predicts fintech revenues to outpace traditional banking by nearly threefold between 2023 and 2028.
Financial advisor Michael Kitces proposes a framework for the evolution of financial planning. While Financial Advice 1.0 and 2.0 represent our past and present focus on reactive solutions, Financial Advice 3.0 paints an optimistic picture of the future.
This vision highlights deeply tailored planning experiences, where human expertise and digital support work together to engage clients proactively. Financial Advice 3.0 prioritizes a more thorough analysis of each client’s unique situation, revealing opportunities for customized financial strategies.
The doubling of AdvisorTech businesses on the Kitces.com Fintech map within five years reflects this growth. Additionally, new categories — from 29 in 2018 to 37 in 2024 — showcase the expanding fintech landscape.
These trends reinforce the need for effective marketing strategies. Fintech companies seeking to capture the attention of financial advisors must be strategic in their approach.
Strategies That Work
To stand out in this crowded market, consider the following tips:
1. Clearly Articulate Your Value Proposition: Demonstrate how your product solves advisor problems and improves their efficiency.
| Scenario: Your product streamlines customized portfolio construction. | Example: Create tailored model portfolios that meet your clients’ unique needs in just a few simple clicks.. |
2. Leverage Industry-Specific Language: Show your understanding of advisor needs and challenges.
| Scenario: Your product helps advisors manage client expectations. | Example: Our client communication platform provides customizable templates for quarterly reviews and performance updates, helping you maintain strong advisor-client relationships. |
3. Build Trust and Credibility: Showcase testimonials, case studies, certifications, and subject matter expertise.
| Scenario: Your product is backed by industry experts. | Example: Our advisory board includes former compliance officers and leading financial advisors, ensuring our platform meets the highest industry standards. |
4. Focus on ROI: Quantify the financial benefits advisors can expect from using your product.
| Scenario: Your product helps advisors increase AUM without adding more clients to manage. | Example: Our planning platform helps advisors uncover held-away assets, increasing AUM per client by 15%. |
5. Be Proactive About Adoption: Offer hands-on implementation guidance and build a comprehensive library of training materials.
| Scenario: Your product is a complex platform. | Example: We offer a dedicated implementation and onboarding team, plus lifetime access to regularly updated training resources. |
6. Address Compliance Concerns: Assure advisors that the platform adheres to industry regulations.
| Scenario: Your product handles sensitive client data. | Example: Our platform is SOC 2 Type II certified, ensuring the highest level of security and data protection. |
7. Target Industry Associations: Join groups like the Financial Planning Association (FPA) or the Certified Financial Planner Board of Standards (CFP Board) to connect with advisors.
| Scenario: You want to connect with a specific niche of advisors. | Example: Partner with the National Association of Personal Financial Advisors (NAPFA) to reach independent advisors focused on fee-only planning. |
Bonus Tips:
- Leverage Social Media: Share industry news, insights, and thought leadership content on platforms like LinkedIn.
- Attend Industry Conferences: Network with advisors and showcase your product at relevant events.
- Offer Educational Resources: Provide webinars, whitepapers, or articles that address advisor pain points.
Intention.ly, the growth engine design consultancy firm transforming the way finserv and fintech companies approach marketing, is dedicated to helping firms build high-performing marketing strategies. Learn more about our Marketing Services and contact us today to explore how we can partner with you to achieve your marketing goals.
Intention.ly in Practice offers practical guidance and actionable strategies for financial services and fintech firms. Stay tuned for the next in our series: Why Specialized Agencies Get Better Results for Financial Marketers.
