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Align value-added programs with your brand!

By Steven Miyao

Advisors not only find value-added programs helpful, but more than 66% of advisors agree that participating in a value-added program makes them more likely to keep client assets with the firm that provides the program. The danger for marketers is that these programs are expensive and often only the financial advisor benefits and not the product provider. Firms need to align their value-added programs with their brand to benefit equally.

Our research, and Horsesmouth's latest FA Vision Value-Added Programs Survey, shows that value-added programs should lead to increased business with the firm. Two-thirds of advisors agree with that assertion. As indicated by the charts below, the survey further showed that advisors get the most value out of third party speakers who are engaged by the product provider and the least value from internal wholesalers who provide these programs.

So why do many product providers not get a good return on their value-added program investment?

Advisors like third party speakers, but often these speakers are not able to tie their messages to the brand of the firm. That is specifically true when the speakers' topics are generic and not linked to the firm's brand. Imagine, for example, a third party speaker doing a seminar on "opportunities with business owners". This seems to be an important topic and advisors value a good third-party speaker, but how do you ensure that six months later the advisor will remember that your organization influenced her success in this area?

Firms should focus their value-added programs on elements that align with their brands. iShares is seen synonymous with ETFs, Vanguard with low cost investing, and Calvert with sustainable and responsible investing. If one of these firms provides a program to an advisor which aligns with its key brand attribute, the advisor is far more likely to remember that connection and drop a ticket.