Financial Advisor Marketing & Technology

Marketing & Technology For Independent Financial Advisors


Archive for August, 2014

Email Marketing KPIs For Financial Advisors

Email marketing is the most effective marketing tool available to financial advisors but not all email marketing platforms perform the same. Fortunately, performance measurement of the efficacy of email marketing platforms comes down to a few well-defined key performance indicators—email open-rates, click-throughs, delivery rates, and adoption of campaign-tracking technology.

Aberdeen Group, an independent research firm, in an April 2011 Research Brief, evaluated major email campaign platforms based on email marketing KPIs including:

  • Email open-rates
  • Click-through rate
  • Delivery rate
  • Adoption rate

Aberdeen research is  respected. It studies the experience of practitioners across industries to produce “fact-based analysis based on a proprietary framework independent of outside influence.” Its process identifies “Best-In-Class” providers. In email campaigns, Constant Contact is best in class, according to Aberdeen’s study. Aberdeen’s authoritative study of email marketing KPIs ­— summarized below — is instructive to financial advisors, especially Advisor Products users currently being contacted about upgrading to our powerful new platform, which integrates seamlessly with Constant Contact for email campaigns.

“Constant Contact users demonstrate better results than users of other email solutions in several key performance indicators that are critical in measuring email marketing effectiveness,” according to Aberdeen, “with 36% (open rate) and 60% (click through rate) better marketing activity rates.”

Of the 600 executives surveyed in Aberdeen’s study of email campaign software, 286 were companies with fewer than 100 employees. Here are highlights of Aberdeen’s study of the performance of email campaign platforms over a one-year period:


  • Email open-rates of Constant Contact users improved by 5.6% versus 3.1% for users of other email marketing systems.
  • Click through rates of Constant Contact users improved by 5.4% versus 2.2% for users of other email marketing systems.
  • Delivery rates of Constant Contact users improved by 7.4% versus 4.1% for users of other email marketing systems.
  • Revenue generated by Constant Contact users 5.8% more revenue over the one year period versus 2.1% for users of other email marketing systems.
  • Constant Contact users were 38% more likely to have a process for updating their database by removing opt-outs
  • Adoption of technology to track, measure, and report on email marketing activities is 77% higher among Constant Contact users.

That last bullet is most significant. Adoption of analytics for tracking the effectiveness of email campaigns was 77% higher among CTCT users than the average user of the other email marketing platforms, according to Aberdeen. The report concluded that companies that develop a formal process for tracking analytics outperform those that do not, specifically, by generating 32% higher growth in revenue from email campaigns.

Advisor Products is working with senior leadership at Constant Contact to engage financial professionals in conducting measurable email campaigns. Advisor Products now bundles Constant Contact into its content marketing solution for advisors, the Financial Advisor Communication System.

How To Increase RIA AUM Using Email Newsletters

Email newsletters are enjoying a renaissance and remain the most effective marketing tool available to financial advisors.

“Email newsletters, an old-school artifact of the web that was supposed to die along with dial-up connections, are not only still around, but very much on the march,” says media columnist David Carr in  The New York Times. “Bloomberg, Fast Company, The New York Times, Politico and many other news organizations are finding that they can grab attention — and readers — in the inbox.”

According to Carr, readers drowning in the flood of information on the Internet yearn for organized information to bring order to the chaos. “At a time when lots of news and information is whizzing by online, email newsletters — some free, some not — help us figure out what’s worth paying attention to,” Carr says.

So I am pleased that Constant Contact, the world leader in email marketing, has partnered with Advisor Products. As a result of this partnership, advisors are able to conduct educational email marketing campaigns with content that UHNWIs actually value. While Advisor Products has had an email newsletter since September 2001, integrating Constant Contact is a game-changer for our users.

Trey Byrnes
Inverness Financial Group

Our email newsletter content combined with Constant Contact’s technology, templates, analytics and personal coaching gives our users new marketing capabilities to attract new assets and communicate with clients regularly.

Here, in his own words, is the story of Trey Byrnes, CPA-turned-wealth manager and the founder of Inverness Financial Group of Newburyport, Mass. Since late 2008, Byrnes has been sending contacts a branded newsletter created by Advisor Products, and he shares his experience of those five years. Keep in mind, he’s not yet benefited from the Constant Contact integration.

I go to my website and sign a couple of people up for my email newsletter every month – referral sources and prospects.  About 10 of the approximately 140 people I signed up to receive the newsletter over the last five years became clients. Many are people I barely know. This is the best marketing tool I have ever used.

This quarter, someone became a client who I met five years ago and added to the email newsletter list way back then. It’s a $1 million client if it all works out over the next few months. She sold a piece of real estate in early June. She had been receiving my email newsletter every Friday afternoon since I added her to the subscriber list five years ago. She called me two weeks before the closing, scheduled an appointment, and signed up as an advisory client shortly thereafter.  I never had a single conversation with her in that five-year period other than sending her the weekly email. She lives in another state.

Earlier this year, a local prospect signed up for the newsletter.  After receiving the newsletter for about three months, he called and set up an appointment.  At our first meeting, he decided to become an advisory client and transferred $400,000 in assets.   He also mentioned the effectiveness of our newsletter.

How do I explain the success of this email newsletter? It’s just a touch, a weekly touch on Fridays. But people love it. To the best of my knowledge, fewer than 15 people unsubscribed in five years — and most of those were people changing their email addresses. That’s unheard of! Everyone gets so many emails every day, but people love the market recap grid at the top of the email, the weekly news coverage and concise presentation.

Clients don’t realize the email newsletter is automated. So I get emails asking me why I am at the office late on a Friday night. It’s an amazing tool to remind people I am here.  It has also proven to be a very easy way for subscribers to make a referral by simply forwarding the newsletter to a friend or colleague that might be interested in my services.

It will be interesting with constant contact because I will be able to see which articles each person reads.

I’ve hired consultants for marketing, and I’ve done mailings, and I even led a series of webinars a few years ago, but nothing I’ve ever done has been as effective as the Advisor Products weekly email newsletter.

Advisor Products is so far ahead of everyone else in the space.  I was with AdvisorsSquare before API and was disappointed.  While my BD at the time was promoting other vendors, I switched to API anyway.  It is more expensive, but for me it has been worth every penny.  After comparing products over the years, I feel API is a in whole different league than its competition.

An Update On The Financial Advisor Communications System

The entire Advisor Products team is working hard to achieve an ambitious set of goals that will transform the way financial advisors communicate.

Here’s an update on our work at Advisor Products in launching the Financial Advisor Communications System:

Clients First. We’ve launched a campaign to upgrade subscribers to the new Advisor Products platform for advisor websites. Before marketing Financial Advisor Communication System anywhere else, we are calling all of our clients to tell them about the Financial Advisor Communications System. Actually, our new and generous strategic partner, Constant Contact, is calling Advisor Products’ clients.  In the calls, you’ll learn about a limited-time offer of $1,000 savings on an upgrade to this new platform for advisor websites. If you are a current subscriber to the Advisor Products email newsletter service, please expect a call from a Constant Contact coach. Your coach is responsible for making you use the integrated Constant Contact-Advisor Products system for working with UHNWIs. You will be trained on how to use Advisor Products articles, videos, calls to action, and status updates with your clients, prospects, and referrals sources while leveraging Constant Contact’s powerful email marketing technology and analytics and enabling you to conduct measurable marketing campaigns that are sure to raise AUM over the long haul.  Embedded below is a video about the upgrade offer. Please let me know if you want to be contacted.

Eureka! I’ve come to understand clearly only lately that every 100 people you connect with represents “X% of annual growth in AUM” at an RIA. How much exactly is “X” worth?  It depends on whether you ever see the contact, whether you complement Advisor Products content with your own blog posts, and how well you personally connect with people. Anecdotally, we know from users that the system works very well over the long term. With Constant Contact;s, we are working to improve the efficacy in measurable ways. I’m looking for the optimal way to track AUM of our users. Let me know if you have an idea.

What is FACS? Financial Advisor Communications System is a scalable content marketing system based on the proposition that people do care about content. Clients and prospects—your social media connections and email subscribers—need authoritative, informative, and easy-to-consume wealth management news, and they don’t care whether their advisors writes it or not. Since our content is based on ideas from Robert Keebler, Fritz Meyer, and other leading thinkers who speak at the Advisors4Advisors weekly professional education webinar series, our content is packed with important ideas for UHNWIs.

Campaign Basics. Each campaign is comprised of: (1) tweets that link your social network connections to (2) an article on your website, and (3) allow them to sign up for your email newsletter. Once signed up, you begin a long-term conversation with each contact using FACS.

Great “Canned” Content. While “canned” content has been derided by marketing consultants in the financial advisor trade press and by competitors selling advisor websites, these individuals are wrong and misstating facts. Canned content, which is a pejorative way of describing the educational content for UHWNIs that Advisor Products provides, can accomplish the same goals as paying a writer by the hour to interview you and write up your financial wisdom as a blog post, but at a fraction of the cost and with more authoritative information.

Constant Contact-Advisor Products Partnership. Advisor Products recently signed a strategic partnership agreement with Constant Contact. CTCT has not formally announced the partnership.  It is  publicly held  and it must comply with Reg FD. That does not preclude me from telling you what’s happening at Advisor Products. CTCT  is going to help me train advisors on best practices in email marketing. CTCT is telling me that Advisor Products knows content marketing for financial advisors better than anyone, and they want to help more advisors utilize my content with CTCT’s email marketing technology, training, and personal coaching program. While I am a pimple on the “tookis” of CTCT, it’s a dream come to true for me to have validation from the best email marketing company on the planet.

Financial Advisor CTAs. In marketing jargon, FACS adds “calls to action” (CTAs) to advisor websites. A CTA is a graphic. It invites visitors to your website — your social connections, email-newsletter subscribers, and other people who come to your website as a result of a search — to view a video, but requiring an email address to subscribe.

How FACS Generates AUM. A page is created on your website to subscribe to your e-newsletter. You add new potential clients and referral sources to your subscriber list as needed, and anyone visiting your site can also subscribe. You manage your contact list in Constant Contact and can track everything they’ve ever clicked on that you’ve sent them. Since subscribers can unsubscribe anytime, only people in tune with your message stay. It’s a self selecting process. These leads might take years to close. It’s wise to think of them as long-term relationships. Assuming you made a good first impression on someone when you met them — at a cocktail party, local event, or that someone was referred by a friend. Eventually, these fleeting contacts become clients, sometimes years after they first started receiving your email newsletter, simply because you have provided them with years of financial insights. With Constant Contact coaches guiding you toward best practices in distributing Advisor Products content for UHNWIs, this simple program will grow your RIA’s AUM and can be augmented with your own original SEO blog content make to even more powerful.

Using FACS With Constant Contact. FACS enables financial advisors to conduct content marketing campaigns, send weekly market updates automatically, and conduct social campaigns. The image directly above shows how call-to-action graphics (CTAs) can be placed on a site. Every page of your site prominently features a banner linked to a video with ideas for UHNWIs. The uncommon knowledge conveyed makes contacts value your informational touches. While Advisor Products has offered an email newsletter since September 2001, it did not enable advisors to manage their list as effectively and its analytics did not allow for reports showing you who opened which emails. By bundling Constant Contact we are able to harness its power for engaging users. You will use this system. With Constant Coaches exhorting you to implement email marketing best practices in distributing Advisor Products content for UHNWIs, you will grow AUM.

Nut and Bolts. When you use our system to post a 140-character status update, it gets displayed on your profile for all your connections to see on LinkedIn, Facebook, and Twitter. When a person in your social network wants to know more about a topic in your status update, they click on the link in the update. That takes them to an article on your website with more information (and sometimes a short video) about the topic mentioned in your 140-character update. Off to the side or on the bottom of most pages of your website page are banner ads that we insert and that are updated automatically inviting visitors to your website get even more information about the very topic that brought them to your website. It could be a “Retirement Income Report” based on research by Craig Israelsen or Manish Malhotra, or Wade Pfau, or it could be an estate planning update based on Bob Keebler educational content about taxation of UHNWIs, or the monthly assessment of corporate earnings and LEIs by economist Fritz Meyer. Point is, it is great content that smart people with money value. So they subscribe to your email newsletter and eventually, one day, a group of these individuals become clients. How many? That depends largely on you and your effort to reach out to them periodically to complement our effort on your behalf.


New Financial Advisor Marketing Campaign: Potential Threats To The Bull Market

Advisor Products is about to launch a new email campaign on our financial advisor communication system (FACS).

The campaign implements a reliable Internet marketing technique to provide financial advisors with a marketing funnel. Anecdotally, we know it will increase RIA AUM.

The goal of every campaign is to get people to sign up for your email newsletter.

This campaign is about potential threats to the five-year bull market run.

If you want to know more about FACS, here’s my most recent update on our progress.

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