At this year’s Pershing INSITE conference, there was a big focus on educating the 2,380 attendees on the evolution of the industry.  Two areas of focus were around providing digital advice and having a great digital presence.

Digital Advice
Many in the industry refer to online services as robo-advisors. However, this term seems to refer to more of a self-service model. When financial advisors are using technology to better service their clients this fits the description of "digital advice." 

The industry can agree that for decades financial advisors have moved away from doing all their work with pen and paper, utilizing technology to service clients.  But as technology has evolved, there are more robust capabilities and even more questions about how to incorporate them all into a client service offering.

Ben Harrison, head of business development and relationship management at Pershing Advisor Solutions, in a private conversation, shared how advisor sentiment is split when it comes to robo-advisors. Half see it as an opportunity and half see it as a threat.

Harrison said, “Advisors need to clearly articulate what they do. What do they offer beyond asset allocation and model-based portfolio management? They need to manage the emotional side. The human element. They need to read the clients and see where they are in the delivery of the advice.”  

He said it best by stating, “People plus technology is a winning solution.”

Mark Tibergien, CEO of Pershing Advisor Solutions, also in a private conversation, shared that robo-advice has stirred up a lot of people.  Some see it as a threat and others have a wait-and-see philosophy.  Tibergien shared, “We view it as an opportunity.  At the end, it is not about delivery of an algorithm.  It is about an experience.”  

He advised that the industry move to a digital engagement strategy.  Advisors can be competitive if they have a nose-to-tail solution.

In a panel on the impact of digital advice, Margaret Hartigan, CEO of Marstone, Inc. believes that the changes in the industry will allow advisors to create deeper engagements with their clients.  [Note:  Pershing has brought in Marstone to help with digital advice implementation for their advsisors.]

Bill Harris, CEO of Personal Capital, who also sat on the panel, shared, “The next step that technology provides is mass personalization.”

Digital Presence
Complementing digital advice is online marketing, whether it is to clients, prospects or some other audience.

Michelle Feinstein, director of product strategy and client engagement for technology solutions at Pershing, sat on a panel on the topic. She spoke about trends of some older clients still wanting to come into an office, while others want to go online.  

“We are all using up to four devices at one time.  There are all these channels to be educated,” shared Feinstein.  “The presence should be on the device of choice.”  She believes a website should be a gateway to better conversations.

Kerri Tansey, vice president in global marketing and group manager of program management at Pershing, also sat on the panel. She thinks it is important for advisors to take a close look at how they are connecting and engaging with their clients and prospects today. They should become familiar with digital best practices and tools that are available to not only help them engage with their current clients, but to ensure they can be flexible and adapt to provide their clients the customized and personalized online experiences that we have all grown accustomed to in our daily lives.

Content has to be at the core of the online presence, and it should not only be in the form of text, as visuals help increase online success.  

Tansey advised, in addition to ensuring an advisor has a modern, mobile optimized website, social media is a great way to help increase awareness and engagement, ultimately helping to build the brand.

When it comes to a digital presence plan, Tansey advised to ask these questions:  What are the objectives? Who is the audience? What are the channels? How often will we post content?  Then set up an editorial calendar to determine when and what will be published.

A clear message came across to INSITE attendees … those that take advantage of the digital enablement strategy are setting themselves up for future success.

Mike Byrnes is a national speaker and owner of Byrnes Consulting LLC. His firm provides consulting services to help advisors become even more successful. Need help with business planning, marketing strategy, business development, client service and management effectiveness? Read more at ByrnesConsulting.com and follow @ByrnesConsultin.