Boutique financial advisory firms may be able to improve their lead generation capabilities through the use of technology and social media.
While having a strong referral network with accounting and specialist advisory firms is still important for attracting prospective clients, there's a large market of investors wanting to go direct, according to Robbie Bennetts, founder of Robbie Bennetts Enterprises.
Bypassing the traditional method of seeking out a financial planner, he said many self-managed superannuation fund (SMSF) trustees, for instance, often seek products and shortened statements of advice online.
He said this means it's getting more and more difficult to source new clients for those who do not have the adequate scale and resources to do so.
"I think there's a number of areas in the market – the people who attract clients online, there's TV advertising and then you've got your traditional planner registries, like the Financial Planning Association," Bennetts said.
"Whether people are buying direct or they're dealing with manufacturers directly, the question is how small practices are meant to compete with the big advertising dollars of, say, industry super funds," he said.
Referring to his company's marketing tool – Platinum Partner Program – he said the software works as an add on to the planner or accountant's database and effectively utilises social media in order to market relevant products and services to clients that make up the database.
"It's used to educate people about the need to purchase a certain product, whether that be for superannuation, insurance or an SMSF," Bennetts said.
Once the client has been 'educated' about the benefits of a certain product or service, they can then make the decision to seek out professional advice.
"What our system does is either allow them to buy product direct, or the moment there is any complexity at all, it immediately notifies the client that they need to get advice and someone will contact them in 24 hours," he said.
"In many ways, I wouldn't call it outsourcing, it's outsourcing the technology to get more business for yourself," Bennetts said.
