Planners fail to tap into the power of branding
Financial planners are not taking advantage of the power of ‘branding’ in attracting potential clients, according to financial services organisation IOOF Holdings.
IOOF national sales manager Alexandra Tullio said almost half of all Australians have never had a financial adviser due to a lack of trust and a perceived risk associated in choosing one.
“Financial advice is intangible… you can’t determine the quality of the ‘product’ until well after you’ve ‘purchased’ it (i.e, when it’s too late). What’s more, the true benefits are often not reaped for years, even decades,” she said.
According to Tullio, the power of branding can help ease consumer fears, as trust embedded in brands is a key criterion in buyer’s pre-purchase analysis.
“Many overlook the power of branding in engendering trust. Branding enables you to distinguish your business through intangible attributes that are not easily replicated by your competitors, thereby providing you with a sustainable competitive advantage,” Tullio said.
“Managed correctly, brands can weather a volatile marketplace, where trends for product offerings cannot.”
Tullio said branding must be applied with clarity and consistency. For example, the fine print on a business card with multiple brands (the Financial Planning Association, your dealer group, parent companies, etc) can intimidate potential clients before they’ve even stepped into the office.
“In an already confusing world, dual branding exacerbates the situation and causes greater distrust. If you can consistently live and breath the proposition of one brand — the clarity of what makes you different is communicated loud and clear,” she said.
“Once you determine your brand, ensure all your activities corroborate your promise.”
AUTHOR
George Liondis
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